Let’s Get Right Into the News
Hello and welcome to the third installment of the weekly Darsch Report, this article will be providing some of the news for the week of Nov 12th-18th.
The stock market didn’t do so hot this week. The Dow Jones fell -576.08 points, or -2.22%, compared to its close on Nov 9th, and now rests at 25,413.22. The S&P 500 also fell -44.74 points, or -1.61%, from its close on Nov 9th, and is now at 2,736.27. The Nasdaq fell to 7,247.87 on Friday, -159.03 points, or -2.15%, below its Nov 9th close. This drop in the stock market, especially the hit that the Dow Jones took, comes from a variety of factors. Firstly, the tech industry didn’t do that well this week with Invidia having a nearly 20% selloff due to disappointing quarterly results as well as the tech industry as a whole having slower growth. The stock market is also unnerved about the continuing US-China trade war that currently has no real end in sight, rising interest rates, and the dollar continuing to get stronger. Speaking of which the dollar is continuing its trend of growing stronger compared to other currencies around the world. The dollar’s current exchange rates compared to their rates from exactly 1 year ago with the Euro, Pound, Chinese Yuan, and Canadian Dollar are as follows: $1=€0.876 ($1=€0.798), $1=£0.779 ($1=£0.697), $1=¥6.94 ($1=¥6.25), $1=C$1.32 ($1=C$1.23).
Florida & Georgia
The Senate and Governor races in Florida and Georgia may have finally ended this week as final voting counts have officially arrived. In Florida, the Democratic mayor of Tallahassee, Andrew Gillum, conceded to Republican Ron DeSantis after a saying that he is satisfied with a recount that showed that Gillum is trailing DeSantis by about 34,000 votes. DeSantis responded on Twitter, saying “This was a hard-fought campaign. Now it’s time to bring Florida together.” In the Senate race between Democratic incumbent Bill Nelson and Republican Governor Rick Scott, Nelson finally conceded to Scott after final results showed that he was still trailing by more than 10,000 votes. Despite the hard-fought campaign by both sides, all four candidates gave a respectful concession/ thank you/ etc. once the final results were coming in.
In Georgia, Republican Brian Kemp has officially been elected governor after the state of Georgia certified that Kemp lead Democrat Stacy Abrams by 1.4 percentage points on Saturday. Abrams ended her campaign on Friday stating that they saw “no legal path forward” against Kemp because they lacked the votes necessary to force a runoff under state law.
Unfortunately, California continues to be struck with tragedy. The “Camp Fire” in Northern California and the Woolsey Fire near Los Angeles have burned throughout the week and continue to burn. The Woolsey Fire is, thankfully, 82% contained but not before burning over 98,362 acres, killing 3, destroying 713 structures and endangering the lives of over 57,000 people. The “Camp Fire” has been even worse. The “Camp Fire” is only 55% contained and has already burned over 149,000 acres, killed a confirmed 76 people, destroyed 12,794 structures and leaves 1,276 people currently unaccounted for. Many of these unaccounted for people will push the death toll even higher than it already is but I pray that as many people as possible can/will be saved from this travesty.
President Trump has also visited areas affected by the “Camp Fire” and, according to Governor Jerry Brown, has promised to not cut federal funding to California and that “The president not only has signed a presidential declaration giving California substantial funding, but he said and pledged very specifically to continue to help us, that he’s got our back”.
In other news, the matter of the UK exiting the EU may finally be coming to end but that doesn’t mean the UK will be completely leaving the EU. Theresa May is introducing a new Brexit deal to Parliament in the next week with the threat of a no-confidence vote hanging over her head. So what is in this deal?
The Brexit plan would include a transition period lasting until December 2020 but, if voted on, could be extended until “December 20XX” (writer’s note: yes, the deal actually says that) for finalizing future trade agreements, etc. This means that if British MPs so chose they could get rid of Brexit and just remain part of the EU in a “transition phase.” This transition phase would keep the UK part of the EU Customs Union, put an additional border between Northern Ireland and the rest of the UK, and has the UK still be subject to the Court of Justice of the European Union. However, during this transition phase, despite effectively being part of the EU, the UK will have absolutely no say in the EU parliament and will have to pay the EU £39 billion every year they remain in a transition phase that can be extended indefinitely. This deal also contains provisions that make it appear as if the UK will always be part of the EU even if it leaves the transition period. The deal would force the UK to observe “level playing field” commitments on competition and state aid, as well as employment, environmental, and tax standards. These measures are intended to ensure that UK businesses are not able to undercut EU industry. This deal is also a slap in the face of the free-trade ideal espoused by EU leaders as it would only allow British seafood exporters tariff- and quota-free access to EU markets in exchange for a reciprocal agreement that EU fishing fleets can continue to operate in British territorial waters. This deal would essential make UK laws a carbon copy of EU laws and prevent the UK from modifying regulations and laws so that they could make their economy more competitive in the overall global economy as well as preventing them from fully taking back their sovereignty from the EU.
Writer’s note: Many who know me know that I am a proud supporter of the concept self-determination and fully support the idea of the UK leaving the EU. In my own opinion, this deal is a betrayal of what it was and should be shot down the moment it touches the floor of parliament. This deal turns the UK into a vassal state of the EU and any attempt at forcing a re-vote on the Brexit Referendum is a betrayal to the democratic principles of the United Kingdom.