Oh, go figure. They re-cog-o-nized that all by themselves…
Yesterday CTH noted Princess Rainbow Sparkleswas in Washington DC lobbying Washington State Representative Dave Reichert, Senator Jeff Flake, Senator Lindsey Graham, et al. Isn’t it funny how Canadian officials lobby U.S. representatives for their unique economic interests, but if a U.S. official stepped into Canada to lobby one of their members of Parliament,… yikes, heaven forbid. Foreign election conspiracy. I digress.
Reuters is reporting today that Canadian trade officials are increasingly convinced that President Trump is going to pull out of NAFTA. The next round of negotiations is scheduled for the end of this month. Half of the Canadian contingent thinks Trump will exit, the other half think the appearance of a pull-out is simply a negotiating strategy.
An official WH source “close to Trump” is attributing a statement to POTUS: “I want out”.
Ya think? Scott Minerd, Global Chief Investment Officer at Guggenheim Partners, said “if Trump were to announce a NAFTA exit, the stock market would probably pull back by 5 percent or so, before advancing to new highs.” He’s correct.
With the passage of the recent tax bill U.S. corporate tax rates which includes the immediate capital investment expense write-offs’, if President Trump was to pull us out of NAFTA there would be a significant number of U.S. companies in Mexico and Canada who would immediately make plans to return to the U.S.
LONDON, Ontario (Reuters) – Canada is increasingly convinced that President Donald Trump will soon announce the United States intends to pull out of NAFTA, two government sources said on Wednesday, sending the Canadian and Mexican currencies lower and hurting stocks.
The comments cast further doubt on prospects for talks to modernize the trilateral North American Free Trade Agreement (NAFTA), which Trump has repeatedly threatened to abandon unless major changes are made.
Officials are due to hold a sixth and penultimate round of negotiations in Montreal from Jan. 23-28 as time runs out to bridge major differences. (read more)