Trade

Larry Kudlow Opens Mouth, Sends Stocks Tumbling

Written by SK Ashby

Larry Kudlow crawled out of a large tub of Werther's Originals this morning and spoke just long enough to immediately send stocks tumbling by over 300 points.

Trump's top economic adviser appeared on Fox Business where he said there's still a great deal of distance between China and the United States on trade.

U.S. stock benchmarks traded at session lows late-morning Thursday after White House Adviser Larry Kudlow said a "sizable distance" remains between the U.S. and China in protracted trade negotiations. President Donald Trump's national economic council director on Thursday made his comments during an interview with Fox Business Network. Kudlow said previous talks covered "a tremendous amount of ground" but said enforcement will be very important, as well as technological and structural issues.

Commerce Secretary Wilbur Ross appeared on CNBC last week where he said they're "miles and miles" away from striking a deal with China.

White House Council of Economic Advisers chairman Kevin Hassett also appeared on CNBC this week where he said they're "still waiting to see" if they've actually made any progress in trade talks.

All of these Trump regime figures are more or less saying the same thing; they don't appear to actually know what the status of the negotiation is. We've heard nothing specific about the negotiations. We've heard nothing specific about the possible solutions or what obstacles remain. And I don't believe that's because the Trump regime is being uncharacteristically tight-lipped. It's possible they simply have no idea.