Steve Moore joined The Cats Roundtable this Thanksgiving weekend to give thanks for the record-long expansion of the U.S. economy, the strength of the U.S. dollar, as well his confidence and skepticism regarding new rumors of a U.S.-China trade deal.
Despite the yearlong trade war with China, the U.S. economy has kept up a solid pace driven by strong consumer spending, with the stock market hitting or near all-time highs.
Moore admits that though the economy has slowed down more than he prefers, he doesn’t hesitate to tell listeners it’s still “the best of times.” He doesn’t want to put the shoe on before we check the fit though, hoping that a new USMCA trade deal can be passed by the House to help economic growth.
The latest report on the economy, which came out Wednesday, will likely have no influence on the Federal Reserve—which has cut interest rates three times this year—to cut interest rates further.
Moore takes a different angle, believing one or two cuts are still necessary as the economy is “not quite where we need to be.”
But, he added, the economy is in “better condition” than this time last year. He reflects that the Federal Reserve seems to be echoing Trump’s criticism of the central bank last year when it rose interest rates, and caused the stock market to tumble.
Moore considers that more economic growth is being hindered by the gridlock in Washington. With the USMCA trade agreement in limbo on the Hill, Moore believes politicians are letting partisanship dictate their time rather than the desires of the people.
“The only thing that is holding this up, John, is pure politics,” he admitted. With Speaker of the House Nancy Pelosi and Democrats focused on the impeachment inquiry into the President, Moore sees Democrats setting themselves across from American workers and businesses who would benefit from action on a North American trade deal. And with the media focused on impeachment, Moore thinks it distracts from the stonewalling by Democrats to create bills that would benefit health care, jobs, and education.
Moore criticized the Democratic presidential candidates, such as Warren and Sanders, for pushing for a more European-brand of government and for failing to read the signs. He cites the strength of the U.S. dollar against the Euro, with Europe’s economy at risk of stagnating and being left behind in the global race between the U.S., China, and Japan. Moore thinks Europe needs to “move away from socialistic impulses” by adopting President Trump’s business first policies, that include cutting taxes, and easing regulations.
As for a looming trade deal with China? Moore remains skeptical, with a healthy dose of confidence.
“I’ll believe it when I see it,” he expressed to The Cats Roundtable, saying only a signature from Xi would convince him otherwise. With the fickleness of the Chinese government in previous attempts to resolve the trade dispute with the U.S., he doesn’t want to put the cart before the horse. Moore thinks that China would be shooting itself in the foot if it chose not to sign a deal, adding benefits will be felt by both nations.
With the Thanksgiving weekend coming to a close, Moore tells The Cats Roundtable it’s important to take pause to give thanks that the U.S. is a country “that has so much economic opportunity.”
“We are an opportunity society,” Moore said, adding with his final word, “that if one wants to make something of themselves, the latest report proves America is the place to do it.”