Sree Iyer: Namaskar. Welcome to Daily Global Insights with Sri and Sree. Today is June 3rd, Thursday, episode number 176. And we have a lot to cover. Sridharji, namaskar, and welcome to PGurus Channel.
Sridhar Chityala: Namaskar good morning to everybody, and it’s a cloudy Thursday in Manhattan. As you can see around.
Sree Iyer: Yes indeed, and I can see it in the background, sir. And we will start straight with Barack Obama saying that Joe Biden is finishing the job with my former staff where I left off. So, essentially he is kind of acknowledging that he is leading from behind.
Sridhar Chityala: Yes, Mr Obama coined, this phrase, we will lead the world from behind. So, that particular terminology continues in terms of the execution of Biden or Obama-Biden Administration 3. We had always had some inkling and we had indicated, now, in the New York Times article, he confirms that it is his administration that Biden is overseeing by virtue of the policies and the continuation and most of the members of the team are from his past administration. So, we have made the first kind of formal acceptance or formal revelation that it is Mr Barack Obama’s administration, we always had questions as to, who was running it now, here we go.
Sree Iyer: China Trade Envoy and US Treasury secretary Janet Yellen meets by video and discussed the Economic Situation, Bilateral Cooperation, and other issues of mutual concern, according to Commerce Ministry statement. Who was she meeting with sir?
Sridhar Chityala: She was meeting with the trade, foreign Secretary of China and this is not reported in most of the mainstream media in the United States. This news has been picked up. It’s quite revealing that while we have one aspect, which is namely the sanctions and tariffs in some components being lifted by the Congress, we find that the treasury secretary is having a conversation with her counterpart in China, and she is discussing Economics, Trade as well as things of importance on a bilateral matter. Not covered in the mainstream media.
So, it looks like there is a Front End news which is around belligerents on how to deal with China. But on the back end, there seem to be negotiations and they seem to be normalization attempts going on to patch up, which is one of the reasons why you see less and less rhetoric on Taiwan between China and the United States.
Sree Iyer: And we’re going to analyze this a little bit more as more interesting items come down the pipeline here. Biden appoints Vice president Kamala Devi Harris to lead efforts on voting rights. So this is on top of what is being done in various States, sir?
Sridhar Chityala: This is to bring the federal architecture, rather than the states are doing their own. Because the Biden Administration recognizes that they have no way by which they can address this at a state level with about 32 plus States controlled by the Republicans. So they’re trying to do it and who else, but, Kamala Devi Harris. She’s in charge of the Border. She is in charge of the Voting Rights. She’s in charge of climate, she’s in charge of dealing with Central America. I don’t know. What she is actually going to do, but she’ll seem to carry lots of titles.
Sree Iyer: Sir, it is masterful inactivity, thus far. So let’s wait and see. Joe Biden says, “Terrorism from White Supremacy” is the most lethal threat to the Homeland. So this is amazingly reminiscent of what Mr Rahul Gandhi known as Pappu said, some time ago, when he said that the late biggest threat to India is Hindu Terror. I think this was the Samjhauta Express incident that took place, many of the threads, there are still not solved. In fact, one Army Colonel is still left in limbo, I can go on. Sir, your thoughts.
Sridhar Chityala: My thoughts are, it is a very profound statement. I would be surprised based on the comment that the observation this probable script was written and very generously passed on by Mr Gandhi to Biden, who knows it is possible, but it really is quite amazing that such a statement is being made, when the world is witnessing all kinds of things within the United States.
Sree Iyer: The Construction Project known as Line 3, connecting Wisconsin-to-Alberta is heading for disruption, with mass protests and for cancellation by Biden. Is this something that is a groundswell like an Antifa movement or is it something else? How do we read this news, sir?
Sridhar Chityala: First and foremost I think this was one of the projects that were we discussed in one of the earlier DGI the project is well underway, this is the joint collaboration between Canada and the United States. This project again brings a significant amount of jobs and energy security to the United States. This is one of the reasons why the United States became the net exporter during the Trump regime. This was again targeted by Biden, this project is well, underway it is being done by US Army Corps. Having said that, they recognized that the US Army probably is far more powerful and the Canadian Lobby is powerful. So the only way that they can sabotage, this is to have the people in Minneapolis, you know, in that segments of the pipeline to conduct agitations in Minneapolis and basically bring people to the awareness that this project needs to be stopped. What we are witnessing is an amazing, amazing disruption of activism led Protests and sabotage of economic activities in this country.
Sree Iyer: So, we have the hidden hand of Mr Obama looks like there is another hand that is directing events in and around America, perhaps a world.
Sridhar Chityala: Perhaps, And I think well yesterday or day before yesterday, we covered the Albanian president raising his hand and talking about it. Some of the Indian journalists have talked about it. Some of the incidents in Russia, for example, Mr Putin has talked about it. Some of the incidents in Western Europe, you know, people have talked about it. And very officially the United States 110 million of the 150 million dollars has been invested to recraft the United States from education to awareness and so on. It is very clear that there is also another hand that looks fairly visible in these destructions.
Sree Iyer: Chamber of Commerce says that the US Labour shortage is going to become a national economic crisis. Mayorkas has three solutions, Mass Migration, recall deported Illegal aliens and end remain in Mexico program. So, all these Solutions are another rose to bring in more immigrants in an illegal way. I don’t know what is going on in this country, sir t I am completely at a loss right now, we are still in the grip of a pandemic. The last time they are allowing people in, they didn’t even test them if they were covid positive or not. So we’re going to have one more outburst and their housing them in places where there are dense populations. I have no idea. What is going on? Am I being too paranoid?
Sridhar Chityala: Now, I think you are well justified in your apprehensions. You are well justified in stating this bewildering situation that is developing. So we have 11 million illegal immigrants in the country who needs to be normalized. Then, we have had a border surge, which has brought in close to more than half a million people just in the first four months of the year. Because they couldn’t deal with the surges, they sent buses. So buses brought them and located them into various cities.
Now, Mayorkas has announced three plans. One is, I have a mass migration policy whereby, I’m going to go to Central America and bring these people. Second, he is basically saying all those illegal aliens who were deported, you know, how do you kind of rationalize and how do you normalize this thing? So you going to bring all those illegal people who are deported, you know, being brought back. And then you also are going to have this program that those who are attempting to cross the border, couldn’t cross the border or there were delays, they said to stay in Mexico. Now you’re going to bring all of them back. Remember, all of these people are coming in and only after, the due validation process verification process. They may get their normalized status or temporary permits but in the meanwhile, they’re saying coming because we’re not going to have any checks. There is no covid-19 test. There is no background test, there’s nothing. They are just coming in and you have Madame Escobar who works in Mayorkas’s department also being part of this whole camouflage program called normalization. And all I can say is that this is seems to be a political agenda of Democrats to see, by the time they get to 2022 to have enough people all to be given voter ballots and you know so, the Democrats have control of both the House and the Senate and the whole agenda. So that seems to be the only motive. There’s nothing to believe that political agenda is very clear which is by hook or by crook flood the nation with people give them their ballots, so they vote Democrats.
Sree Iyer: Well, they tried this in Florida, a few decades ago that didn’t quite work out to that end, isn’t it?
Sridhar Chityala: Well, we are now got a new tool or a new technique, which is called as borrow, borrow, borrow our way out. We are going to borrow money, till cows come home. So, we borrow every year, previously, probably Democrats had little more frugally conservative members in their rights. Now, there seems to be no Frugal. It is progressives led by Mr Obama himself because I still go back to that email that he wrote in the Georgia Senate elections when he said that our project Progressive agenda is at stake. This is time for people. This is very decisive. All of you come and vote and we need to get our agenda going. This is the Senate, we need to have the senate in control. So, I go back to the email constantly as a reference framework and he himself has acknowledged in his interview in New York Times that he’s driving this agenda that with his past administration.
Sree Iyer: Wisconsin, lawmakers Advance a bill to stop the election workers from fixing mistakes on election Ballots. Pennsylvania Legislators head to Arizona to Observe an Election Audit. Trump endorses Texas Governor Greg Abbott for Re-election. Sir, before I hand it down to you, I just wanted to tell our viewers that, you know, there is a lot of churn going on about these elections, the voting rules, and so on, and so forth, states are jumping in. And now, you can see that vice-president Harris is also going to be heading a panel. To know to understand all these things, I wrote a new book of fiction that is Imminent it’s going to be coming out very, very soon. And this is again, like I said, a book of fiction, the talks about what could happen in a future election in the United States. Now, with that in mind, I hope you will give me the same kind of support that you gave me with my other who painted book series. Yes, this book also starts with the words who painted stay tuned. And Sridharji, your thoughts on these legislators going back and forth.
Sridhar Chityala: Well first and foremost the Pennsylvania legislators are going to Arizona is revisiting the 2020 elections and looking at the validity of the election process not that they can change the 2020 elections but, it is to see what exactly transpired what was the extent of the fraud. Because Pennsylvania Arizona both had, but, Pennsylvania was most notorious in terms of the incidents that took place along with the state of Georgia. So that is why these legislators are going up and down. So that’s one facet.
The second part of it is basically there was an error in the law and they want to make sure that the error is fixed. In Georgia and probably even in Wisconsin and in Michigan, you found on the election day that ballots that were incorrect, they cannot fix the ballots, the election officials cannot fix the ballot, it is invalid. And there it stands. Or you give it back and those fellows go back and come back, but not on the same election day. If it’s a postal ballot, you mail it back to them. The question is in this instance, what they’re saying is an amount of fraud that occurred because there was no validation that, the officials were changing the ballot papers. So they want to fix that one. So Wisconsin is leading the way. Once one state does it your point that most of the other states will follow a similar pattern? This is only in the Republican states that you will not find this in the blue States.
The third is Greg Abbott the wise re-election, Texas and Florida are leading the red States in a lot of reforms that are going on ranging from the election laws to the Border surges to unemployment benefits, opening up the economy, masking and de-masking, racial Theory, including climate Accord, the whole series of activities. These two states are leading the Republican state. Hence, Greg Abbott re-election is critical.
Sree Iyer: Sir, I’m getting an earthquake. Hold on. Please continue sir. It was a pretty big Shaker.
Sridhar Chityala: That’s it
Sree Iyer: Thank you, sir. And we just got an earthquake in Silicon Valley. I will tell you the numbers in a short while, but it was a pretty trembler. In fact, I don’t know if you saw my screen Shaker.
Sir, elections are something far too important to be given in the hands of states and counties. This is my take, that there has to be a uniform way to select the most powerful person on the planet. And it’s my hope for 20 years now, the US has been in the grip of the questionable verdict that has been handed down for this election President. I hope that sanity prevails that if not 2024, by 2028 the US has the best selection system in the world.
Let’s go. Next question, the next news item, Democrat wins special election for the congressional seat in New Mexico. Washington Post says that labelling lab Lakes has debunked conspiracy theory was wrong. Rep. Ron Johnson we have come full 180 degrees turn on lab leak theory. So now we are starting to see people walk back, whatever they are saying in the past and it also having in emails of Anthony Fauci, a Chinese CDC, director emails exposed, where are we heading, sir.
Sridhar Chityala: We are heading towards some form of Disclosure by Dr Fauci. The reason why I say that is, we haven’t covered it today, but the breaking news as we got in here is China says, if anything is done on the Covid side which puts it, it will exercise the nuclear option as an option. It just basically tells you and China, has something to hide and it doesn’t want to garland it with, in this Covid theory, this is the breaking news as we got into the show. So, is he giving an implicit threat, which is to say, don’t expose me, that’s one thing that is possible. The second is that Gordon Chang has been saying that you will find Obama-Biden Administration. I keep coming back to Obama Obama Obama after the weekend or after the most recent interview. So the Biden Administration is stating that you know, it’s quite conceivable. There’s nothing because originally, they said that there’s nothing to on the China theory and then, of course, intelligence gave otherwise. So, what you are seeing is that there is some revelation that is going to happen. Whether it is covered up, not covered up, we don’t know but there is going to be some revelation that’s going to come out. It is also conceivable Dr Fauci may be asked to resign or even resign himself.
Sree Iyer: So, if Fauci goes out, Is he going to be the proverbial sacrificial lamb, Sir?
Sridhar Chityala: Of course, of course, to do your political cover of only their sophistication varies, but around the world, it’s the same. He is going to be the scapegoat. I won’t be surprised, this is democratic and they will somehow put this garland on Trump also, it’s possible, Trump asked Fauci to hide this piece of information, something like that could come out. We could have another few sessions of, Daily Global insights covering, just this controversy around the battle between Trump and Biden on the Covid theory.
Sree Iyer: In India news, Amul VC urges, the Prime Minister Ban PETA; Urges Conspiracy Theory by Break India Forces, a little bit more context here sir. What is Amul VC? Venture capitalist?
Sridhar Chityala: It is Amul Vice chairman.
Sree Iyer: In fact, Pgurus put out a cartoon on this, so you’re welcome to go to PGurus.com to take a look at the cartoon.
Let’s move on Sir, Karnataka government tweaks electric vehicles, and energy policy to attract more investment. In fact, a good friend of mine has made an E-Tempo, four different models. I’ve actually interviewed him on the PGuru’s stay tuned in. This is a plant that is based out of Karnataka. It’s a very, very fascinating project and I have had the good fortune of being involved at the time of planning out a lot of these things. Stay tuned. Sir, your thoughts.
Sridhar Chityala: My thoughts are Karnataka had a little bit of a mismatch in terms of its policy on Capital subsidies. I think they have normalized, the captain subsidies. They are also giving an incentive on production, one percent production subsidies over the period of five years or so. So it is normalized, which allows people to, I mean, Karnataka is a fairly harmonious state within the context of Industrialization. So, therefore there was probably an imbalance in the investment incentive model that’s been harmonized.
Sree Iyer: Indian railways, transport them highest-ever Freight for the month of May at 10% year-over-year gain. So, Indian railways have been the bulwark of trying to get all these oxygen equipment and most of the logistical problems being solved through Railways. Isn’t it, sir?
Sridhar Chityala: It’s a railway is the Heart, Hub, and Spoke of the Indian ecosystem, whether it is transportation, logistics, whether it is the movement of troops, whether it is the movement of goods, whether it is the movement of commodities, whether it is the movement of Agro products, it seems to have been the Hub and Spoke. All the inefficiencies are slowly being eliminated. There will be re-tooled. I am told now the freight trains can run as fast as a Rajdhani Express, they run at super high speeds now. Previously, as you probably know, if you had lived in India, there used to be slow-moving trains. If there’s anything to be stopped, it will be the freight trains that will be stopped creating a lot of rumpus around the logistics. So it’s good news that they have lived up to the expectation
Just at the liquid medical oxygen. Railways is now an integral part of the value supply chain that we have already covered, but we need to make sure that we continue to reaffirm that point.
Sree Iyer: Exports jump 67% to 32.21 billion in May. The trade deficit is at 6.32 billion. An impressive number, sir.
Sridhar Chityala: I think the exports has been the underpinning driver during the pandemic lockdowns. So, India is very much on its target. A lot of these exports are not just purely the traditional kind of exports. So the manufacturing exports are growing. The steel exports are likely to grow. You will find. Also, India has got a surplus in the power generation sector. Where there’s been a problem, is the consumption and the services because of the notion that every time you have a problem, you need to shut down. So I asked the question to a couple of people before I got into the show – What’s the reason? The reasons are very simple. The mainstream media is very, very critical. The moment somebody sneezes or there is a death, they basically blame the government. So the government says, I will take the safer option and basically shut off everybody and make them stay home. Even then I get criticism, notwithstanding the fact that there’s an economic disruption. My point is the states in the United States which opened and allowed people to be part of the environment, part of the ecosystem, are the people who have thrived and have seen fewer fatalities related to people who have been locked up in their homes.
Sree Iyer: In Global News, Israel’s new government formation is happening now and as we had predicted, Naftali Bennett is going to be heading the new cabinet. It’s a very interesting government formation because we have the extreme right as well as the extreme left in the sense that you have an Islamic party also, as part of this coalition. The first two or two and a half years, I think is going to be by Naftali Bennett followed by somebody else. I think it’s the Centrist that’s going to be following. Sir, your thoughts, do you think this will last the distance or Israel is in for further uncertainty?
Sridhar Chityala: I still believe that that… they have time for 12 days to put their numbers and they just passed the deadline to confirm that they would be a coalition in place. So Naftali and the Coalition is confirmed to be given 12 days so they can prove the numbers. My belief is that Mr Netanyahu could still pull out something and come back to power. It’s possible. The next question that you have asked, is what about the duration of this Administration? I just don’t know, whether they will last for six months or even three months. It is one of the most potent coalition’s. As you rightly said, you have the Center, you have the left and for the first time in Israeli history, you also have an Arab Islamist Party as a part of the coalition with the running Israeli government. Never happened. So, can an extreme right guy work with all these different factions to manage this moribund or the bandwagon? I doubt.
Sree Iyer: The US – Israel relationship sinks to a new low under the Biden-Obama administration. We’ve been warning about this for a while now. Sir, your thoughts, why is this Biden Administration to hell-bent on trying to break every relationship that was painstakingly built in the previous regime?
Sridhar Chityala: Because it is Obama Administration. Obama administration was less sympathetic to Israel and he went against the wishes of Mr Netanyahu and struck a deal with Iran on the nuclear. He had sympathies and soft corner… One is the Palestinian rights for self-determination. The second is the terror that emanates from those territories very similar to some of the issues that everybody from India can… You can’t have both things going hand in hand. You can’t have terror on one side and normalization on the other. This has been the problem that an average Palestinian has suffered and many of these Palestinian people come across the border and work in Tel Aviv or in Jerusalem. That’s the truth, they come and work and they go away. But it is these incidents of terror that have created problems
Sree Iyer: Republican senator Lindsey Graham says Israel will demand $1 billion from the US to replenish its Iron Dome. What should the US be putting the bill, sir?
Sridhar Chityala: Because the US has always been the backstop for providing security to the state of Israel. Without the United States, it’s inconceivable whether they would have… All kinds of sanctions could have been imposed on Israel but the United States stood up and supported it. To protect state of Israel, you need this Dome to stop the flying Rockets. I think Sreeji put up one of those videos which shows how the dome was deflecting opportunity, serve,
Sree Iyer: Sorry to disturb you. Unfortunately, I’m not able to get the video up and running today just because of some technical difficulties prior to starting this program and in fact, we have captured an earthquake happening in today’s episode, I’ll be sure to get that snippet and share it with our viewers that California is a great land, but it does shake once in a while. So getting back to this thing, I do not have the video. In fact, I will not be able to share some of the things that I had set out to share. I tried it, but there is too much work and I don’t want to disrupt our process to do that.
Let’s move on sir. The latest news from Iran is very, very interesting, Iran’s largest, warship catches fire and sinks in the Gulf of Oman. Major Iranian oil refinery also on fire. So these two are too coincidental to be just coincidences. What is your take on it, Sir?
Sridhar Chityala: My take on it is that we will soon know the truth that it seems to be too coincidental. Their main battle warship catches fire and sinks in the Gulf of Oman and then the Iranian president announces that there’s a major fire in one of its oil refineries. It’s very strange but happened on the same day or around the same time. It seems too coincidental, but we’ll get to know more.
Sree Iyer: There is some disturbing news coming out of the United States. The US to India and five other countries – ‘You tax Big Tech and we will tariff you’ as the US trade sinks to a new low. I think the numbers being banded about are like, 25% off on tariffs on import from India, is that correct?
Sridhar Chityala: Something along those lines. India has got Digital Services tax, which they are introducing and the Digital Services tax will apply to companies such as Facebook, Twitter, Alphabet and so on. Amazon is part of the mainstream retail system, so there’s no issue on Amazon. But it is these companies that will provide Digital Services that will be taxed. So they are saying that… People must recognize the Silicon Valley tech ecosystem, especially the social media tech ecosystem has got a very powerful and influential lobby in the Biden Administration. So, therefore, this is their way to push back on some of the technology compliance laws that are coming in and also the tax which is legitimate. China, Turkey, they’re all in this club. It is not just on the digital, but some other areas as well where they’re planning to put the tariffs and the United States says that it will hit back. So, basically what you are saying is that it’s a new realignment of policies that is taking shape under the Obama – Biden Administration and these policies are not necessarily to the benefit of the United States. In the last four years of the Trump Administration, there are four things that worked. One that worked is there were trade deficits that were reduced and basically trade began to grow and there was normalization. Second, there were fewer taxes which allowed the ecosystem to continue to grow when people expected things to normalize. The third, the unemployment rates pre-pandemic was brought down to 3.2% because there was a seamless engagement between the employers and the employees. Fourth, the small businesses were able to get reasonable loans. And were also, burdened with Obamacare. Many people were scared of the Obamacare mandate, especially impacting small businesses. So these four things helped the US economy to grow. And the only major tension was with the Chinese and the tariff side, but all those things are being unbound.
Sree Iyer: Denmark faces labour shortage that could deter economic growth for years to come – warns its prime minister, I think Denmark and other European nations, who are facing labour shortages should look to work with a ‘Work-for-hire’ kind of Visa with countries like India which has a surplus of any kind of technical manpower that they need and use this to bring them on a work visa for two years-three years, something that the Middle East used to do very successfully over the last few decades. Your thoughts, sir.
Sridhar Chityala: I think that wasn’t the policy that was adopted when the Y2K issue was being resolved plus, some of the other technical issues. In Scandinavian countries, if you go back to the year 1998, 1999, 2000, for example, in Finland, there were a lot of people who had come from India. If you go to parts of other Scandinavian countries, lots of cross-pollination from Europe. If you see Ireland, which had a labour shortage, lots of people from Mainland Europe had gone to Ireland, to work and in the companies that were established when Euro was being established. So this is, as you rightly said, the policies that you are outlining is consistent with what can be done and what has been done.
Sree Iyer: Russia linked cybercriminal REvil behind the meatpacker JBS attack. Is the ransom now paid? Do you have any update on that, sir?
Sridhar Chityala: We don’t have an update on the ransom but very soon, we will come to know that there would have been some payment that has exchanged hands. But the fact is that this is not a government attack. This is another ransomware attack. Maybe it is the same set of people, they’ve changed the name from Dark Side to REvil, or ransomware to some other terminology that they can appropriately come up with. But this group is called the REvil. It may not be again in Russia. You may find that somewhere in Eastern Europe. But the general tendency is to first blame the Russians and then replace them back.
Sree Iyer: China ousts Taiwan has Apple’s biggest source of suppliers. I thought it was always China. But maybe Taiwan was giving some of the more expensive components. Your thought, sir.
Sridhar Chityala: Taiwan had Foxconn and others had manufacturing facilities both in Taiwan, as well as in China. When things began to ruffle up between China and Taiwan, they began to move some of those facilities out of China. Remember that incentives were given to India and India was being set up as a location for some of the iPads and some of the Mac capacities to be manufactured out of Bangalore. So, therefore, there was a shift that was going on. But now China has attacked. Whether China is doing it from its mainland, remember China has investments in Thailand, Myanmar etc, so it can also manufacture some of the stuff out of these countries and market it back to the United States or to Apple as Made in China branded products. So the details are a little sketchy but China wanted to deliver a message to the market which is to say that, ‘Now, I am bigger than Taiwan in terms of my supplies to Apple.
Sree Iyer: ASEAN – Association of South East Asian Nations is vary of the US, quoting another pivot. This is again the Biden Administration. Some of you guys write some comments which I find very questionable on our website saying that ‘if there is something that is being done poorly by this Administration, it is our responsibility to call it out. It is just data, there is nothing here that is one-sided. We are not carrying the brief for Mr Donald Trump. If he makes a mistake we will say that too. Right now, he’s keeping quiet. What do you want us to do? Anyway, sir your thoughts on this?
Sridhar Chityala: What you’re witnessing is, there is apprehension and fear whether the US is a reliable partner. We discussed it with the Regan being pulled back into the Persian Gulf, whether in the TPP treaty the United States pulled back. Even during the Trump Administration, Trump was supportive of the South China Sea issues but he was not supportive of many things that the ASEAN countries wanted as a security umbrella. So the ASEAN countries are saying, ‘we don’t know whether the US is a reliable partner or whether it is not a reliable partner.’ So this is where China fills the gap. China says I keep bringing capital, and I am natural security. Of course, there is apprehension whether China is the big gorilla that will engulf all of them. That is the only fear. But relative to the United States, if you ask the ASEAN countries, they will tell you, China is a far more reliable partner relative to the United States, Their Fear is whether they will engulf based on some of the precedences in their other adjacent states in the ASEAN, like Hong Kong, Taiwan, etc.
Sree Iyer: And before we go to market, I just have an update on the earthquake, the Richter Scale read 3.6, which doesn’t sound like it’s a big number, except the epicentre was not very far from where I live. That is why you probably saw the shaking. So you can go back and watch it around 5:15 which is about 15 minutes into our broadcast, the earthquake happened and you saw the whole apparatus shaking. I was thinking that was going to fall down because it did shake quite a bit. But anyway, everything is back to normal. Now, it seems to be alright, if there is an aftershock, we will let you know.
Let’s move on to Markets, sir. In a remarkable assertion, the Fed chairman states that he sees widespread supply chain disruptions and labour shortages and rising prices. So there is too much money in the system. Now, what are your thoughts?
Sridhar Chityala: I think is pointing out that there is inflation looming, without saying that there is inflation looming on the horizon, that’s number one. Number two, he is saying without saying in words that there is a problem. There’s too much money being given to people, so nobody wants to come to work. How can you have an unemployment rate of 7.9% and then suddenly find that you have Labour shortages? My message to all those people, because I don’t see the screen, all the people who are critiquing, that we are overly critical. All one needs to look at is the policies that are coming out. Look at any of the policies, immigration, discrimination, farmers, Dole out that are being given and money that is being given without proper validation. Look at the whole swag of policies, they seem to be conflicting. You are borrowing money, and then you are giving dole-outs to people, then you have high unemployment. We’re still around 7.9% unemployment. So there is such a disconnect. I think Jerome Powell is saying this, there is a looming threat. Why there is a supply chain disruption? There’s a supply chain disruption because of all this to and fro that is going on, on the Tariff changes, etc. When you make all these tariff changes, people can substitute products, just like that. There is a time lag that happens. So that is also creating problems in the supply chain which means the manufacturing gets impacted which implies the end products which the consumers wanted don’t get it.
Just as Sreeji pointed out when he went to the Home Depot or one of the stores, he was looking for it either the price had gone up or the product was not available. That’s just a classic example of a supply chain disruption. So that is what he’s pointing out and for the first time is saying, we have a looming problem coming and that is knocking at our door.
Sree Iyer: That brings us to a close on today’s hangout. We will be back again, bright and early tomorrow morning, do tune in and thanks for subscribing. And if you have not subscribed, please consider subscribing to our Channel. We also have a membership program. By the way, we will be introducing a members-only event very, very soon. You will share the details as soon as they have firmed up our guests. Stay tuned on that. Sridharji, as always a pleasure having you on our program. We will be back tomorrow. Namaskar. See you tomorrow.
Sridhar Chityala: Namaskar and Thank you.
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