During a Monday morning segment of CNN Newsroom, host Jim Acosta invited Republican strategist Shermichael Singleton and Democratic strategist Maria Cardona to discuss the plummeting stock market. As the episode progressed, Acosta allowed Cardona to insist on America’s economic strength and Vice President Kamala Harris’ political genius, prompting Singleton to expose the blatant failures of Bidenomics.
Acosta began with a grim review of the stock market decline, which he said was “fueling fears of recession amid a global market meltdown,” and its contributing factors, particularly the recent disappointing jobs report and the Federal Reserve’s neglect in cutting interest rates.
Cardona immediately downplayed the issue as simply “not great numbers that anybody wants to see” and claimed that in comparison to 2008’s financial crisis, “every other indication is that the economy is stable, solid, strong.” “We'll just have to see this through, see what happens,” she flippantly added.
Cardona wasted no time in pivoting to her expectations for a Harris presidency, dismissing the quickly escalating problem, since “the majority of Americans are not in the stock market.” She fawningly declared Harris would “continue to talk about…how she is going to expand the middle-class, how she's gonna make this economy work for everyone.”
Furthermore, Cardona hoped that the vice president would “refocus on Donald Trump's plan, Project 2025, and how almost every economist across the spectrum has said if he imposes that plan, it would be a disaster for Americans across the board and especially for low-income and middle-class Americans,” even though the former president has repeatedly distanced himself from the Heritage Foundation initiative.
Singleton delivered a fresh dose of reality to his Democratic counterpart, detailing how “difficult” it would be for Harris to defend Bidenomics or even remotely demonstrate how it benefited the average American family:
We know that a significant percent of middle-class people are relying heavily on their credit cards, right now. That's gonna become harder for them. Banks are likely going to be more careful in terms of deciding who to lend to and who not to lend to, in regards to small business owners, individuals trying to buy their first homes. Imagine if you're a young person looking in the market. So I think this hits against every single thing the vice president will attempt to argue that Biden–over the four years with her as vice president–has done well for the average person, economically.
Ironically enough, Acosta recalled John McCain’s words, “The fundamentals of the economy are strong,” which proved disastrous to his campaign.
Yet, Cardona foolishly insisted that while anyone could see 2008’s crisis coming, “This is not that” and she didn’t “think it makes it difficult for the vice president to make the argument. I think it makes it, actually, more real for her to make the argument that this is about middle-class families, low-income families, workers.”
Cardona apparently expected the situation to resolve itself with simple interest rate cuts at the Fed’s next meeting and stated, “That will help Americans across the board.” Singleton wasn’t convinced and warned about pursuing such a solution “prematurely,” suggesting that the Fed “is attempting to be very, very careful in how he placates the markets, not only domestically but internationally.”
He reemphasized his previous point, arguing that “this is difficult if you're a Democrat trying to run on the idea that the economy, generally speaking, is strong. By all metrics, that is not the case. If you're a single individual, if you’re a family of four, you are seeing the diminishment of your spending power as compared to eight years ago.”
Nonetheless, Cardona dutifully doubled down on her support for Harris and hatred for Trump, echoing her baseless claim that, “Harris is arguing that she is there to focus on expanding opportunities for all Americans, and what Trump wants to do would actually destroy those opportunities for the majority of Americans.”
The transcript is below. Click "expand" to read:
CNN’s Newsroom with Jim Acosta
8/5/2024
10:37:23 AM EST
JIM ACOSTA: Alright, back to our breaking news right now. We are looking at what's taking place down at Wall Street. The Dow Jones is down about 1,010 points, that's about two-and-a-half percent. We’ve been watching this all morning, the plummet is fueling fears of recession amid a global market meltdown. Tech stocks are driving this nose drive–nosedive, I should say–as investors are selling off all of those equities, as well as crypto and oil stocks. Also contributing to the drop, Friday's disappointing jobs report and an unchanged Fed interest rate.
All of that happening as three men are emerging as the front runners to be Kamala Harris’ running mate this weekend. Pennsylvania Governor Josh Shapiro, Minnesota Governor Tim Walz, and Arizona Senator Mark Kelly, met with the vice president for what's expected to be their final interview in the vetting process. Today is likely decision day for Harris, who is launching a week-long battleground blitz with her running mate, tomorrow, starting in Philadelphia.
Let's discuss with CNN political commentators Maria Cardona and Shermichael Singleton. Maria, I do want to talk–we're watching the stock market–I do want to talk about the veepstakes, but I suppose there is a political concern about the markets, if this keeps going in this direction.
MARIA CARDONA: Well, that's certainly not great numbers that anybody wants to see, right? But I will say, you know, what I've heard economists say, is that this is not an issue that is structural–the way that the 2008 meltdown was–that every other indication is that the economy is stable, solid, strong. And, so, we'll just have to see this through, see what happens.
And, frankly, you know, the majority of Americans are not in the stock market and, so, what I believe that the vice president will continue to talk about, is how she is going to expand the middle-class, how she's gonna make this economy work for everyone, and refocus on Donald Trump's plan, Project 2025, and how almost every economist across the spectrum has said if he imposes that plan, it would be a disaster for Americans across the board and especially for low-income and middle-class Americans.
ACOSTA: Let's talk–let's talk veepstakes. Feel free if you want to weigh in on the economy too, Shermichael.
SHERMICHAEL SINGLETON: Yeah, I mean, look this is–definitely makes it difficult to make the case and the argument that Bidenomics, if you will, is working for the average American family. I was also reading that the banks in Japan were also tightening the belt. With those types of numbers, if this was to continue, lenders are going to tighten the belt.
We know that a significant percent of middle-class people are relying heavily on their credit cards, right now. That's gonna become harder for them. Banks are likely going to be more careful in terms of deciding who to lend to and who not to lend to, in regards to small business owners, individuals trying to buy their first homes. Imagine if you're a young person looking in the market. So I think this hits against every single thing the vice president will attempt to argue that Biden–over the four years with her as vice president–has done well for the average person, economically.
ACOSTA: Yeah, we'll see how it shakes out. I mean, I was talking to Steve Schmidt earlier this morning and he was saying, well, you know, in 2008, I mean, that was a big…
CARDONA: Right!
ACOSTA: …that was a big impact on that race.
CARDONA: Right.
ACOSTA: I remember I was out there with Barack Obama in–when John McCain uttered those words, “the fundamentals of the economy are strong.” I mean that was–that was a big hit to the McCain camp…
CARDONA: But that was als–you could see–anyone who was looking at what was going on in the housing market could see that coming. That is n–this is not that. And, so, certainly everyone's keeping an eye on it, but right now–and I don't think it makes it difficult for the vice president to make the argument. I think it makes it, actually, more real for her to make the argument that this is about middle-class families, low-income families, workers, and that there's a…
ACOSTA: But how frustrated are they in the White House, right now, with the Fed–with the Fed chairman?
CARDONA: I mean, I don't know. I haven't spoken to them…
ACOSTA: Yeah. Yeah, yeah.
CARDONA: …but–but there's an argument to be made that this actually will push the Fed to bring down interest rates, which is–my understanding is that this is a reaction to them not doing that. So if that happens, that will help Americans across the board.
SINGLETON: You certainly want to–you don't want to do it prematurely, I would argue. We've already had difficulties, earlier this year, selling treasury notes, which allows our country to continue to print unlimitless amounts of money–which is ridiculous–but that's another conversation to have. I think the Fed–if you're looking at monetary easing and monetary theory, generally speaking–is attempting to be very, very careful in how he placates the markets, not only domestically but internationally.
And, so, I'm not convinced, to Maria's point, that the Fed will lower rates by the next Fed meeting, which is in September. Again, this is difficult if you're a Democrat trying to run on the idea that the economy, generally speaking, is strong. By all metrics, that is not the case. If you're a single individual, if you’re a family of four, you are seeing the diminishment of your spending power as compared to eight years ago.
CARDONA: But, see, what Harris is arguing is that she is there to focus on expanding opportunities for all Americans, and what Trump wants to do would actually destroy those opportunities for the majority of Americans.
(...)
