
Episode 4921: Building The Perfect Child; Shocking The World Into Acceptance ...
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Steven Mnuchin
Big group. Good morning. It's an honor to be here. To begin with, I'd like to thank the New York Fed for hosting this meeting and inviting me to join you. It's fitting that the Treasury Market Conference is held each year in the fall. Late fall offers us the opportunity to both look back and to look forward. And since the fall last year, much has changed. November 24th marked an inflection point for the nation and its fiscal future. The American people had just elected President Trump to put the country on stronger financial footing. The previous administration had run up the highest deficit in U.S. history outside of a recession or wartime. As a result, inflation had skyrocketed to generational highs. Families watched our hard earned savings melt away as prices of consumer goods climbed even higher. Seeking a course correction, voters elected President Trump in a landslide and they gave him a clear mandate to make America affordable again. My commitment to that cause, to improving affordability and putting our fiscal house in order, is what motivated me to come up from behind my desk in the private sector and and to enter public Service as a 79th Treasury Secretary. My duty is to serve as a primary caretaker of the treasury market. Maintaining a robust treasury market and even strengthen it further is essential to making America affordable again. That's because treasury yields set the global risk free rate domestically. The risk free rate set sets everything, sets pricing for everything from bank loans and home mortgages to stocks and corporate bonds. In that sense, Treasuries are not only the bedrock of the global financial system, but also the American dream. Treasury yields have a trickle down effect on the broader economy that determines whether a young family can afford a home, a college student could buy a car, or an entrepreneur can get a small business loan. The work we do here directly impacts affordability and quality of life out there, which is why we must succeed. The good news is we are succeeding. The US treasury market is more robust and more liquid than it's ever been. The Treasury Department has made significant progress in increasing demand and expanding accessibility to U.S. debt. We are poised to make even more progress towards this goal in the months to come. Purpose of my remarks this morning? Twofold. First, to highlight the depth, breadth and enduring importance of the U.S. treasury market. And second, to outline the strategies we're using to keep it that way. As Treasury Secretary, my job is to be the nation's top bond salesman. And treasury yields are a strong barometer for measuring success in this endeavor. By this metric, we are making substantial progress in keeping rates down following the spending blowout from the Biden years. In fact, The US treasury market has been the best performing developed world bond market this year. The treasury market's total returns year to date are 6%, its best year since 2020. The US 10 year term premium is basically unchanged, while US borrowing costs across all other areas of the curve, from 2 year notes all the way to 30 year bonds are down year to date. Lower treasury borrowing costs mean lower corporate borrowing costs, lower mortgage rates and lower car payments, which all translates to greater affordability for all Americans. Other developed bond markets, by contrast, have had nowhere near the same success. Some countries have seen demand for their debt reduced or even dry up, especially at the long end, and they've had to react by curtailing sales. But not the United States. We continue to see robust demand at treasury auctions from a wide range of investors, including foreign investors whose holdings of treasury securities are at record levels. This impressive performance comes in spite of the negative rhetoric and doom saying our market pundits, especially this spring. For the past 10 months the press has been pushing a Sell America narrative, but the data and the price action have been saying the opposite by America. And the market always rewards those who put fundamentals over fear. Suffice it to say the treasury market remains the deepest and most liquid market in the world, which is a testament to the efficacy of the Trump administration's economic policies. Investors around the globe trust the treasury market because of its utility as a safe, liquid and reliable store of value. Treasury securities are used for a wide variety of purposes in the financial system, including as a vehicle to finance the US Government, as a means for the Fed to implement monetary policy, as an asset for global investors, as a high quality collateral for a range of different transactions and institutions, and as a reference benchmark for a wide variety of other borrowers. Daily trading volume for U.S. treasuries averages around 1 trillion per day, and that's just in cash. Securities volumes and associated derivatives represent another major source of liquidity. During periods of market volatility, volumes in the treasury market increased substantially. When markets continue to facilitate effect effective risk transfer despite unexpected events, that is a sign of things working. Having traded many different markets across the world throughout my career is moments when markets stop trading that most concern me. It is impossible to eliminate market volatility altogether. And that's why our goal must be to ensure that a robust and resilient market that can withstand volatility when it inevitably arrives. To that end, treasury is pushing several forward thinking initiatives to strengthen the treasury market. This includes the Treasury Buyback program, which is an important tool in supporting market liquidity. While the program has been a success so far, we continue to look for ways to improve its efficacy. We have already expanded the size of the long end operations in the treasury buyback program and will expand the counterparty set in the first half of next year to continue building on the progress we've made. Treasury is also supportive of reforms to the enhanced Supplementary leverage Ratio or or the eslr. In its current form, the ESLR risk becoming a consistently binding constraint rather than a backstop to risk based capital requirements that can distort banks incentives to engage in low risk activities such as treasury intermediation. The ESL ESLR must be improved to prevent this distortion. Expanding central bank clearing is also key to strengthening market the SEC is currently leading an effort to expand central clearing in the treasury market which will enhance resilience, expand netting opportunities and standardized risk management. This effort also supports competition in the marketplace as several central counterparties are launching new business lines to facilitate the expanded clearing activities.
Steve Bannon
Okay, we're going to cut highlights of this and come back to it. Why is this important? What does he get? What does he say up front? Remember we've talked about and then Paul Ryan got into it, I don't know, a month or so ago the way and I talked about it here. Remember the Economist interview I gave the coming debt emergency? The coming how's the coming debt emergency triggered? The coming debt emergency is triggered by what? This is a concept you should write down a failed treasury auction where the demand we get so much debt at the price we want to sell them at, that there's resistance in the market or that a Treasury auction which goes on I think essentially every day or every couple of days fails and that has a chain reaction that you start to quote unquote reprice risk and the way they reprice it is higher. This is what the Charlie Gasparino theory right now, why you can't totally get inflation under control that the 3% in Gasparino has been doing this a long time says that Wall street and particularly maybe even treasury and the Fed are signaling that maybe 3% is their new target. I don't happen to think that but 3% is not insignificant. Of course it is orders of magnitude lower than the Biden fiasco that started this. But it's not the traditional two, which I think is the Fed target. And that 100 basis point or that 1% is a big deal because that rolls all the way through to your credit cards, your home mortgage, all of it. In fact, that's one of the underlying beliefs of the 50 year mortgage. I'm not defending it, but one of the things they're saying is that with interest rates at a certain height, you do get the lower, you do get the lower, the lower payment, the lower monthly payment. If you got to make that in a car payment and you got to pay credit card debt, if you got three or four to three, four things, you're paying off. Every couple of hundred bucks you save on that is, is, is worth it in the short term and then you refinance it when you get into a better financial situation. I understand 50 years is a, is a, is a, is a long time to have a, you know, the 50 year mortgage in and of itself is not a solution. Maybe it's a tool in the toolbox, particularly for people that want the option, but it's not a solution. I also don't think it was presented as a solution. I don't think President Trump ever said, hey, this is going to, this is going to solve the affordability crisis in homes. I think it was another tool in the toolbox. I think the way it got put out there by the guy that presented it to him, you know, particularly unvetted or not, hey, this is a package of what we're going to do. And I think Benny Johnson and Andrew over at Turning Point, this is one of Charlie's big things about, you know, some sort of moonshot or some sort of Marshall Plan or something for the affordability and particularly the home crisis. As I said, this generation is nothing but, is nothing but Russian serfs. They're not going to own it. They don't own anything and they're not going to own anything. If you treat them like, if they're Russian serfs, eventually they're going to do what the Russian serfs did. Not a lot of them signed up for the Bolsheviks. They weren't exactly excited with the Bolsheviks, but they kind of, you know, they got crushed by the Bolsheviks. But someone gave some muscle, particularly in St. Petersburg and Moscow provided a little muscle because they didn't see an alternative. This is why you got Zoran in Manhattan. You've got a Marxist jihadist, as I said, the National Conservative Convention, that this is not the threat to Israel and the threat to the Jewish people principally, is not coming from Tehran. And the obsession with that, the obsession with that has now a two state solution. You've got a two state solution with the Muslim Brotherhood financier and the Turks running security and the Muslim Brotherhood financier is writing the checks. The threat is in New York City. How do we get to New York City? Because kids and you look at all these things. Well, they're looking at socialism. They don't like capitalism. They never had capitalism. They never had capitalism. They've had globalism. They have corporatist globalism. That's not free market entrepreneurial capitalism. And the first thing you have to do is protect your citizens. Hell, we're protecting industries. That's what tariffs are. I know they don't want to talk about it. Is the T word is based upon the P word. You are protecting certain industries. This is why the Republican, this is why Conservative Inc. Hates it because they're all raised on Milton Friedman. Being raised on Milton Friedman is to me just like being raised on John Maynard Keynes. You don't get actually the entire, you get two sides. You don't really get solutions. President Trump's offered you a solution, the supply side tax cut to focus on massive investments in productive capital, plant and equipment coupled with a trade policy, commercial relationships with the world that you got a choice. You're either going to build it here and create jobs or you're going to pay a tolling fee. Take your pick and use the tolling fee, the tariffs as a forcing function. But the whole purpose of it is not then to invite the world back in. Hey, invite them back in. Particularly from Asia, particularly from India and China. Why would you invite, why would you invite then massive immigration here on some sort of visa program to take those jobs away from Americans. Now if Scott Besant is saying, oh they're only here for a couple years to just train people on this one. Now I think we're all from Missouri, I think all the numbers got to be put out including the investment of the foreign companies. The best way to make your case is to make your case. The theory of it and what you've done so far to execute our is quite frankly brilliant. Nothing short of brilliant of President Trump's plan just now let's show some math, let's show the projections and let's show if there's certain areas that the American worker in this plant are not up to speed and skills. Nobody faults getting up to skills. I gotta have Lutnick, Lutnick or the Department of Labor or somebody has got to put those numbers out and show and I think show folks.
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Steve Bannon
Back with the Tech Bros. In a moment.
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News Reporter
America's Voice Family Are you on Getter yet?
Mike Lindell
No.
News Interviewer
What are you waiting for? It's free, it's uncensored and it's where.
News Reporter
All the biggest voices in conservative media are speaking out.
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Commentator
That's right.
Steven Mnuchin
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Steve Bannon
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Ryan Kennedy
Download the Getter app now.
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Steve Bannon
Of the new thing.
Mike Lindell
Okay?
Steve Bannon
Like I said, we've got to get, you know the Kristi Noem comment that we're letting more folks in than ever. I think the the focus should be let's cut it by 50% in 10 years. I'm serious. You can do it. Tons of actions you can take to do this. You would free up so many opportunities for kids. Not just kids, but adults in the United States. It'd be amazing also with Scott if this, if the new program is that the new plan that's interim basis is just to train people up and maybe people in Georgia show me something different or Hyundai shows me something different. I don't and maybe it's true and we're going to dig into it. But I'm not buying the fact that the guys down in the folks down in that plant where they're just to train people when they leave, they were kind of off the books and living like indentured servants. This is why the folks down in Georgia started calling People first. It was kind of health and safety checks, health and welfare checks to go and check in on them. Then nothing kind of came together, if that's the issue, particularly as you have this foreign capital coming back in. And remember, I'm no fan of foreign capital, but you got all these deals lined up with trillions of dollars coming in. If the Germans, like the Germans at the, at the magnet plant, if you have to do it, then you have to do it. As Scott saying, it's going to be temporary, then. Hey, temporary. But let's. One thing I'd say about corporate America, if you ain't on them about things like this, they're going to. They're going to have a workaround because they want cheaper labor. You people, they. They don't like the American's attitude. They want cheaper labor and they don't want to pay health benefits, retirement. Pretty simple. It's a big economic difference, but that's what I'm saying. American citizens got to come first here. You want to be the arsenal of democracy. You want to grow families that create young men and women that fought in these horrible wars in Iraq and Afghanistan, Vietnam, Korea, let's say everything since World War II. You want to create those heroes that you all say thank you for your service. I tell you, don't say thank you for your service. Get on a company that's employing foreigners instead of American citizens. Every time you go in, you should ask them a question. People in the service, the last thing they need is your thanks. They do it for their country. They do it for their comrades in arms in the brotherhood of service. They don't need to be thanked. Every day in serving in those positions is a thank you. Ask every person that served, particularly most of the time. Some make it a career, but the bulk go in for some period of your time in the 20s. I tell people it's the best thing you could ever do, the best thing you could ever do. So the country itself, by providing that opportunity, you're getting a thank you. You want to thank them, make sure their families got a, you know, their dads and moms got a shot to make a little money to raise them up right. Okay, do that and take the economic anxiety away from it. You want to build a strong country? Do that. Do do that. Don't give them a handout. They don't need a handout. What they don't. What they only thing they want is not have the world come in here and compete against them. Every day in their own fricking country that they fought to defend and pay taxes for and built up. That's why people are so angry about this and they should be angry about it. Okay, I got to play this. And on top of all that, they're going to make a bunch of genetic babies because they don't want to see you anymore. Let's go ahead and play. Can we go and play? Stephanie Rule from last night? And then I'm going to bring some folks out. Let's go ahead and let her rip.
News Interviewer
While the race for AI captures all of the headlines, there's another one quietly brewing between Silicon Valley executives. The race to create a bioengineered human being, a child. The Wall Street Journal has some extraordinary reporting out that a small company backed by none other than OpenAI Chief Sam Altman has spent months pursuing a secret project for a genetically engineered baby. They're working toward creating a child born from an embryo edited to prevent a hereditary disease. Editing genes in embryos in order to create babies is banned in the United States of America. So the company called Preventive has been searching for places to experiment where embryo editing is allowed, including the United Arab Emirates.
News Reporter
Sam Altman's family office and Coinbase co founder Brian Armstrong are backing this company, Preventive, which as you mentioned, is conducting pre clinical research to attempt to create a baby from a genetically engineered embryo to prevent a hereditary disease. Behind the scenes, the company has told people that a couple had already been identified who was interested in participating in the research.
News Interviewer
Okay, you also report on a plan that is meant to, quote, shock the world into acceptance on this. What can you tell us?
News Reporter
Brian Armstrong, the Coinbase co founder, floated a plan to produce this baby in secret. A spokesperson for Armstrong. That's like a horror movie, I will say. A spokesperson for Armstrong told us that he floated that plan only in order to point out what a bad idea it was. And he would never suggest that Preventive operate in that way.
News Interviewer
Okay, so they're saying it's to prevent hereditary diseases, but where's the line, how far before you get to make sure the legs are long, the boobs are big, the eyes are blue, and they're super smart.
News Reporter
Well, another suite of startups that we reported on are doing something slightly different than embryo editing. It's called polygenic screening. And some of those companies are already moving in that direction. They say that they can give parents who are pursuing IVF insight into their potential child's iq, height, eye color, and a host of other traits so that parents can choose which Embryos to implant based on that information.
News Interviewer
What's the plan if it doesn't work?
News Reporter
If the information is wrong?
News Interviewer
If the information is wrong, if this genetically modified embryo, if a baby is born and something goes wildly wrong, I.
News Reporter
Think that's yet to be seen. These companies, the embryo editing company, Preventive for one. It's far away, it says, from trying to bring a baby to term with this technology today.
Steve Bannon
They were determined that their next child.
Ryan Newhouse
Would be brought into the world in.
Narrator/Voice Actor
What has become the natural way. Your extracted eggs, Marie, have been fertilized with Antonio's sperm. After screening, we are left, as you see, with two healthy boys and two very healthy girls. Naturally, no critical predispositions to any of the major inheritable diseases. All that remains is to select the most compatible candidate.
Steve Bannon
First one.
Narrator/Voice Actor
We may as well decide on gender. Have you given it any thought?
Steve Bannon
We would want Vincent to have a.
Ryan Kennedy
Brother, you know, to play with.
Steve Bannon
Of course you would.
Narrator/Voice Actor
Hello, Vincent.
Ryan Kennedy
Hi.
Narrator/Voice Actor
You have specified hazel eyes, dark hair and fair skin. I have taken the liberty of eradicating any potentially prejudicial conditions. Premature baldness, myopia, alcoholism and addictive susceptibility, propensity for violence, obesity, etc.
Ryan Kennedy
We didn't want. I mean, diseases, yes, but.
Mike Lindell
Right.
Steve Bannon
We were just wondering if it's good to just leave a few things to chance.
News Interviewer
I want to know, how's the company responding to your reporting?
News Reporter
The company says again that it's focused on pre clinical research. It's focused on trying to prove the safety of embryo editing before it does anything else. It says that it is focused on transparency and that it believes that it will act with high ethical standards going forward.
News Interviewer
I don't want to blow your story up and I want to be careful. How did they feel about this story getting written? Right. There's lots of startup companies that are reaching out to the media. They want their story told. Did they come to you or did you come knocking on their door?
News Reporter
No, it's great that you asked that question. We came knocking on their door when we started asking around about this company, people close to the company, we were trying to figure out what the company was doing. A few weeks later, there was a brand new website post on the website rather saying, we're preventive and we're here to edit embryos, or at least research research, embryo editing. When we went to Brian Armstrong for comment, he tweeted a few days later saying, I'm so excited to be an investor in Prevention.
News Interviewer
Hold on a second. Back this up. You call the company you asked for a comment. They do not open the door, they do not call you back, and miraculously, out of the blue, three days later, he writes a tweet about it.
News Reporter
Yeah, I mean, I don't. I don't want to speculate about what kind of conversations were going on behind the scenes, but your summary of the timing is correct.
Commentator
The thing that strikes me here is that unlike prior technological revolutions that took place, you know, this particular group, the AI group, the tech pros who want to move fast and break things, think they know better, and this is a broad categorization than anyone else, and that ethics be damned, and they will do what they want because they can. It's like Ian Malcolm in Jurassic Park. Just because you can doesn't mean you should. And I don't think they take that to heart.
Narrator/Voice Actor
You want to give your child the best possible start. Believe me, we have enough imperfection built in already. Your child doesn't need any additional burdens. And keep in mind, this child is still you. Simply the best of you. You could conceive naturally a thousand times and never get such a result.
Steve Bannon
Brave New World. And that was Gattaca, the movie. I want to thank my staff for just a brilliant cut and Stephanie Ruhl and the young reporter at the Wall Street Journal. Let's not bury the lead. Stephanie Rule. Got her out of her. Armstrong, the coinbase guy with Altman. Two beauties. They were going to shock the world. Their plan was to shock the world into acceptance. Do not lose that phrase. They were going to shock the world into acceptance because they were just going to do it and present you with the fait accompli, a genetically engineered and created baby. You ready for that, folks?
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The.
Steve Bannon
Convergence on the singularity is accelerating at an accelerating rate. You got people that narcissists with no ethics, no morals and no common sense, half of them on the spectrum, more than half that have unlimited capital now because of the way the capital markets have responded to this, and it's just pure speculation, but they understand big things can happen. Armstrong was going to. If it hadn't been for this young reporter was going to shock the world into acceptance. How are they going to do that? They couldn't present the baby, do it in total secret and then present it to the world. Remember, they did the goat.
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Steve Bannon
Okay, so that's the reality of what's going on. Let's talk. We got Ryan Kennedy now from the Florida Citizen Alliance. Ryan, talk to us about what citizens are doing down. And this is particularly about AI and ChatGPT. And you've got, we now have, there's a story I want to think in the New York Times about people becoming romantically involved adults. I'm talking about people in their 40s romantically involved with, I guess, chatbots. There's also been, people have been sending me footage, particularly in Japan, people marrying, having marriage ceremonies around these chatbots. Ryan Kennedy, what are you doing to protect young folks down in the state of Florida?
Ryan Kennedy
Thank you for having me on, Steve. Really, our focus is trying to protect the young kids, just like you said, from access to these chatbots and from their data being sold to the highest bidder, truthfully. So we jumped in because of the scary facts, just as you mentioned in your last segment, amongst others. And what we're trying to do is put some guardrails in place to protect parents rights, to make sure that parents have to opt their child in before they're allowed to use AI in a school setting, to require age verification and ban children from under 18 from using chatbots and then also to protect their student data and their children's data, make sure that parents are in control of it and make sure that what's being taught in schools doesn't conflict with what we've already passed here in Florida and with our Western civilizational worldview.
Steve Bannon
So walk me Through. Is this the schools in Florida? Is there any guidance at all on this technology in the Florida school system at all?
Ryan Kennedy
No, no. Right now it's the wild west. Here in Florida, school districts are having pilot programs bringing in AI. It's already on all the devices, obviously, as you know, Steve, computers, tablets, Chromebooks. So many students have access to these devices and AI is already being integrated into those devices. So it's the wild west. There is no clear guidance on what school districts can and can't do. And so we're trying to put some in place because we believe that minors need to be protected. Our up and coming generation need to be protected from the very things that you've mentioned on your show so many times.
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Steve Bannon
This is the reason that they wanted this mandate that no state could ever come up with anything that could slow down the progress. Do you view what you're trying to put in to this as slowing down the development of artificial intelligence? Or is it just the applications where it deals with children of citizens of Florida?
Ryan Kennedy
Well, I think it could serve both. We definitely want it to be separate, setting a stage and a pathway for the rest of the nation to follow. It will protect students and it will protect minors. And so for that reason, yes, we do believe that it may slow down its development when it comes to the application of children. But really we are just trying to protect them. We're trying to make sure that children who do not know and don't have a developed brain yet fully don't end up doing something that's going to have a long term effect. We know with social media we were so behind on that and we do not want to be behind on AI. We do not want the effects of AI to impact children like social media did.
Steve Bannon
How could anybody oppose this? Are the tech companies all over you guys right now saying you're a bunch of Luddites and you're going to hurt the economy of Florida? Because if you have these restrictions, AI companies are going to want to pull out or not have their products or services used in the state of Florida.
Ryan Kennedy
Well, what we, what we've heard so far is that there is some, thankfully some legislators that want to stand up and who want to do the right thing. We of course welcome any kind of conversation with those who want to talk to us. But we want to make sure that our children are protected. That's what our primary focus is in our organization and that's what we're trying to do with these slate of legislative initiatives.
Steve Bannon
One more time, just give the three legislative initiatives. And then I want to give us your coordinates on social media, particularly a website somebody can go to and drill down themselves. So what are the three again?
Ryan Kennedy
Yes, opt in to make sure parents have to consent before their child uses AI in the schools, age verification and then banning AI chatbots for those under 18. And then lastly to make sure that the data that is being collected by AI, but also the data that's being put out by AI responses, comply with all of our state laws here in Florida and our federal laws as well.
Steve Bannon
Have you had a chance to talk to Governor DeSantis or anybody in the administration down in Florida?
Ryan Kennedy
Yeah. So Governor DeSantis says he wants to work on this issue. We haven't talked directly with him, but we have. We know he's trying to do something with it. We, of course, welcome any kind of conversation we can have because again, we want to make sure we protect our children.
Steve Bannon
Ryan, social media website, where do people go?
Ryan Kennedy
Flca.org is our website. There you can access all of our information. And our Instagram is FL citizens.alliance and that's where you can go to find out more information about what we're working on.
Steve Bannon
Thank you, sir. Appreciate you. We'll have you back on as this fight continues because it's going to be a big one and they're not. They're going to look at citizen groups and citizens and say, hey, you guys are just, you just. Was it grist for the mill? Ryan Newhouse joins us. Ryan, you put out a tweet, I think it was last night, that walked through about the Republican Party, particularly the traditional didn't just fold, they collapsed. Walk me through. I want to put up, if you, my tremendous production staff here and in Denver, Real America's Voice, can put it up. Walk us through the essence of what you were saying on this, sir.
Ryan Newhouse
Yeah, thanks, Steve. It's great to be with the war room posse. Big fan of you guys and your work. You guys are awesome. So there's a debate going on amongst, you could say, Connie and the younger generation about the effectiveness of the last 40 years and what we've accomplished or quote, unquote, what we've managed to conserve. And I think, you know, earlier in your segment today, you had, you had Scott Bessant talking about we need to make America affordable again. And that's core to what the younger generation is seeing and is concerned with and to the root of this debate. So you see in that tweet, you know, I know a series of statistics and we could cherry pick statistics all day long, we could talk through, you know, what has and hasn't worked from a policy lens. But the, the bottom line, Steve, is that at the end of the day, if you go to everyday Americans and you ask them, is life affordable for you? Do you have hope for your future? Are you interested in getting married and having more kids than you can afford? Along the lines of that message that Charlie and Turning Point USA and Benny Johnson and others are so good at promoting? The answer is typically, you know, I would like to, but right now it feels out of reach. And that's a problem. And I think that's because conning, for a lot of times has simply managed a client instead of actually engaging in an offensive playbook for the American people.
Steve Bannon
So what do you mean by that? Tell me about this debate between Khan Inc. Are they putting forward that they've had a tremendous run of victories and that their view of the economy. Because they come at it very. This is what I was saying about the political races, particularly in New Jersey and maybe even Sliwa in New York. Although he focused mainly on culture and crime in New Jersey, Citarelli ran a very traditional. It could have been run in the 1980s or 1990s about tax cuts and about the size of the New Jersey government. Obviously taxes are too high and the government's too out of control there. But he didn't really get to the heart of any of the other issues, and particularly property tax and other things. Virginia was the same way. The gubernatorial candidate there kind of ran all on cultural issues that are very important, particularly transgender ideology. But really no discussion. The Con Inc. Are they saying they've had a string of victories and we should just go along with what their plan is about free trade and neoliberal, neocon economic and national security policies?
Ryan Newhouse
Yeah, Steve, that's exactly what they're doing. And if you look at that tweet that I was responding to, it was a series of policy victories, so to speak, on the popularity of homeschooling now. Well, homeschooling has become more popular because our public education system is how to train run through it by cultural Marxism in America. There's a claim in that, in that thread that suggests that because the marginal tax rate is lower, Americans have more prosperity than ever. It's just factually not true. I mean, lower taxes are good, as you're saying, Steve, and we should campaign on those things, but we're kidding ourselves if we don't acknowledge that while we've cut the tax rate. So since 1980, the dollar has lost 3/4 of its value. The median home now costs 6 times the median income of an American. A new car in America eats up 70% of a household's yearly pay, and tuition for higher education has soared over 1200%. We've got a nation where two incomes barely buy what one used to, and a generation of young Americans who feel like they've been lied to. And because of that, they're seeking, you know, an alternative playbook. And that is why the rise of guys like Mamdani is occurring.
Steve Bannon
No, this is why they've never really seen the benefits of capitalism, because they never, they've never actually lived under capitalism. This is all corporatism. As you put those statistics out, particularly in the universe of the narrative combat of Twitter, what pushback do you get from Conservative Income on those statistics?
Ryan Newhouse
I haven't received.
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Yeah, just when you say that, you.
Steve Bannon
Talk about prosperity of the American family and the prosperity of the individual, given the policies of Bush, of Bush, and, you know, both Bushes when we had control. What pushback do you get from Conservative Inc.
Ryan Newhouse
I think when you look at the data, you can't really wrestle with it in a way that's legitimate. I think the data is true, it's factual. And because of that, I haven't received a ton of pushback on specific data points. I think you can go out and find them yourselves if you're interested.
Steve Bannon
What is this new generation of kind of populist economic nationalists? What's your one or two things? When you talk to young people your age that are capitalist and free market capitalists, what are the couple things that you guys want most?
Ryan Newhouse
Yeah, so I think, you know, what my generation wants is to stop measuring success the same way that corporate America measures success in the United States. We've been measuring success of our movement via GDP and stock prices. Those things are good to an extent, but they're not sufficient. We need to measure for purposes of success. How many families are being formed? Are they strong? Can you have families raised on a single income? Can a young family purchase a home instead of being raised in a high rise apartment building in an urban sprawl? These are the kinds of questions and measurements that indicate a thriving civilization that people in my generation are more concerned about, rather than what is my 401k look like right now? And is this a black Monday for the stock market?
Steve Bannon
Ryan, where do people go on social media to track you down? Sir, you're. Some of your. Your Twitter threads are quite, quite impressive where they go.
Ryan Newhouse
Thanks. You can follow me at ryanmnewhouse that's my handle on Twitter.
Steve Bannon
Thank you, sir. Appreciate you make America great again by making families strong again. This is the whole purpose. Takes us back to the beginning segment right right now, this generation, the family formation so late because of the financialization we've done. President has got some of the biggest folks on Wall street with him tonight. Think one of the first things we ought to do is like, hey, why don't we get them out of the buying of of residential homes for a while, let that market settle down. Because it kind of plays like the great reset that you're not going to own anything, you're going to be happy with it. The private equity guys are going to own the underlying land and own the underlying, own the, own the structure, own the home. You're essentially going to rent it. So they're going to be able to pay down that mortgage with your rent and then keep the upside as the house appreciates over time. Maybe not the best solution, right? Maybe there's a different way. I'm sure they're going to talk about those types of things in life. Scott Besant right there talking about the entire apparatus, particularly the financing of these massive deficits that and this is what this whole shutdown's about. It looks like the Democrats have caved. Now. There's going to be big issues about Obamacare, some version of what's going to what's going to happen. President Trump says he's going to come out with an alternative, but the two key things is, number one, we've got to be able to reinstitute taking apart the administrative state. You can't block Russ Vote. I think I can't block Russ Vote and these guys from going to work. They've done such a great job so far. We got to close the gap in these deficits. If you're not going to raise taxes or have other revenue streams, although tariffs looks like it's going to be a big one. Short commercial break Back in the War in a moment.
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Steve Bannon
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Steve Bannon
Okay, we're going to continue this conversation tonight at 5 o'. Clock. Natalie's going to join me tonight. Like last night, I thought that was spectacular. So we got a lot to go through all day and a lot more of this going on. We'll have a breakdown of Scott of Scott Bessant. Also some geopolitics, Ukraine and the largest aircraft carrier we have is now joining the battle group down in down off of Venezuela. So that thing is we got to walk through that. So the audience fully up to speed on what's going on. All Family Pharmacy, like I said, Maha is having this conference today. The Clair Dooley I think is going to do some reporting maybe back in the studio this afternoon. Also about what's going on with the Make America Healthy Again movement which is predicated upon medical freedom. All family pharmacy. So allfamilypharmacy.com that's all one word. All Family Pharmacy. These are one of the leaders in medical freedom. How do they do that? Well, they provide basically doctors so you know, you can get certified people to check out your medical needs and then get approval. And They've got over 300 product offerings of your medicine. Antibiotics, hydroxychloroquine, ivermectin, all of it and much, much more. What you do there, what you do is go to allfamilypharmacy.com Bannon 25 through today is still their kind of Veterans Day, their Veterans Day special. Want to make sure everybody gets access to this. What we love about these guys, once you go to the website, it's pretty in depth about all their different offerings they've got for you and how they hook you up with a connect you with the doctor. So it's good in all 50 states. AllFamilyPharmacy.com promo code is Bannon25. You get a 25% discount on your orders. So go take, take charge of that today. If you believe in medical freedom, if you want alternatives, and here we're always trying to give you a range of options, go check it out. Think you'll like these folks. Very easy to work with. Home Title lock Also, you know, this whole fight about the, you know, 50 year mortgages and you know, family formation, we just had Ryan on talking about that, you know, family formation is coming so late in life now. I think the buyer first time home is now 40 years old. Used to be in the 20s, used to be in early 20s. If you're lucky enough to own a home, every dream you've ever had is in that home. And particularly financially and just the way the American economy works up to, you know, 80% of your, maybe 90% of your net worth is tied up in that home. That is your retirement package. You may not have put a lot of cash away. You may not have gotten into gold a couple of years ago, although there's still plenty of time to get into gold if you understand gold through Birch gold. But on the, on the home, remember, they're the worst people in the world. Looking at the equity in homes and residential properties in the United States because it's trillions of dollars in the, that protects you is fairly rudimentary. That's why Natalie Dominguez and the team at home Title lock go check it out with them. Get experts to give you advice on what to do. Here it's just pennies a day to protect yourself because with AI and remember, artificial intelligence is accelerating at an accelerating rate. Cyber crimes are accelerating at accelerating rate. Why they're going up against old systems. So that's why you got to protect yourself. Hometitlec.com promo code Steve, talk to Natalie Dominguez and the team they make themselves. They hired Natalie just basically to do this a couple years ago. It's been tremendous. I think the company just really appreciates the fact people come in and ask a bunch of questions because once you ask a bunch of questions and get the answers, you're going to sign up. Hometitleoc.com promo code Steve we're going to get back into visas, back into American workers, back into this economic plan. President Trump, like I said, we've made a bet. They've done tremendous risk mitigation here. It's going to take a time to grind out. I think that's why they just got to promulgate more and more information. The more and more people understand this, particularly not just maga. But the more and more that more traditional Republicans and independents and working class middle class Democrats, they're going to sit there go this is a pretty reasonable bet and I can start to see this working. What you have to do is track all of it. You can, particularly the Capitol. Remember, this is a program that focused on bringing manual high value added manufacturing jobs back here to the United States of America. It's not going to happen overnight, but it's happening. And that's why you got to have the workers trained. People got to be ready to go. Everybody understands that. And what Scott threw out on FOX today I thought was very intriguing. And of course we're talking to treasury to get some more details on it. Mike Lindell, you know there's all kind of reporting on now. We started off with about the grand conspiracy and how people, you know, there are now people at the Justice Department focused on this. You were one of the targets. You lived to fight another day. More importantly, your company has lived to fight another day, particularly all the hard working folks in your call centers which they've tried to shut down and on the factory floor of my pillow. What do you got for us today, sir? I'm in the buying mood. So where do we go? What do we do? What are we buying?
Mike Lindell
Here's what we're doing. Everybody we're going to have for this is exclusive for the war room posse. It's an early Black Friday special. Last year these sold out last year. It's our five pack. It's a five. These are all go anywhere my pillows. They're all for Christmas for you got five Christmas gifts in one for 29.98. It's the lowest price in history. We're gonna offer it just to the war room posse. You guys get them. Once they're gone, they're gone. We've gotten in so many that we came in the other day and this is our patented MyPillow Go Anywhere pillows. And then you have the five separate covers. They all tell stories in the Bible. They've got for your grandkids, whatever for yourself. Like a Noah's ark. It tells on the back of the pillow. It's got everything written there, that story of Noah's ark. But you have the collection of all five. They all come separately in the box. So you have five separate Christmas gifts. It's a great early Black Friday special. So go to mypillow.com forward/war room. By the way, if you bought these all separately, they'd be $200. You get them for 29.98. All five. And you guys have, we left up the blowout sale on the my pillows. And then you have our Giza Stream sheets as low as 29.98. The, the famous, our famous skis, the dream sheets. And you guys, so go there. And then we still, we left up there for the Made in the USA sale. We did leave up the, the mattresses and the mattress toppers, you guys, to get the, you guys, we left those up with free shipping. So you guys get free shipping on those big ticket items. The Worm and Posse. You guys love our patented products that we have that the my pillow patent is doing our beds and our mattress toppers. And Steve, I want to say one more thing. With the promo code War room, you guys, you can extend your, extend your 60 day money back guarantee all the way to March 1st of 2026. Wow. Promo code war room. Wow.
Ryan Kennedy
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Steve Bannon
Six months. Five months. Do the math for me. Five months. See, we'll see you back here. I tell you, I'm gonna ask you the math question at five o', clock, Michael. And they'll be back with us.
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Steve Bannon
Andrew and the team will be there today. Poso at two, Gruber at three, the great Eric bowling at four. And you're back in the war room at 5:00pm Eastern Standard Time today. Natalie, be with me as we break down efforts to about these visas.
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Steve Bannon
Steve Bannon here.
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Steve Bannon
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Date: November 12, 2025
Host: Steve Bannon, WarRoom.org
This episode of Bannon’s War Room takes a deep dive into two major themes:
Bannon’s signature tone is combative and urgent throughout: challenging economic orthodoxy, warning against technocratic overreach, and questioning the impact of globalism, big tech, and elite-driven policy.
Market Health & Trump’s Mandate
Mnuchin begins with a recap of Trump’s electoral landslide and frames his own mission as “making America affordable again” after what he calls the "spending blowout from the Biden years." He emphasizes the success and robustness of the treasury market as both a global benchmark and the foundation for affordability in American life.
“My duty is to serve as a primary caretaker of the treasury market...Treasuries are not only the bedrock of the global financial system, but also the American dream. Treasury yields have a trickle down effect on the broader economy that determines whether a young family can afford a home...” (Steven Mnuchin, [00:03])
Market Liquidity & Performance
Mnuchin boasts of record demand for U.S. treasuries, declining borrowing costs, and international confidence—with foreign holdings of U.S. debt at all-time highs.
“The market always rewards those who put fundamentals over fear.” (Mnuchin, [00:06])
Reforms & Initiatives
Outlines forward-looking strategies: expanding the Treasury Buyback program, reforming the Supplementary Leverage Ratio, and supporting expanded central clearing through the SEC to further stabilize the market.
“Our goal must be to ensure a robust and resilient market that can withstand volatility when it inevitably arrives.” (Mnuchin, [00:07])
The Specter of a Debt Emergency
Bannon contextualizes Mnuchin’s remarks with apocalyptic warnings about “failed treasury auctions” leading to a “chain reaction” and potential increases in interest rates across the economy.
“The coming debt emergency is triggered by...a failed treasury auction...and that has a chain reaction that you start to ‘reprice risk’ and the way they reprice it is higher.” (Steve Bannon, [08:29])
Critique of Economic Orthodoxy & Immigration
Savages what he calls "Milton Friedman" style conservatism, arguing for tariffs, strategic investment, limiting foreign labor, and economic nationalism as tools to make America affordable and protect citizens.
“Being raised on Milton Friedman is to me just like being raised on John Maynard Keynes. You don't get actually the entire...you don't really get solutions.” (Bannon, [12:28])
Home Ownership Crisis
Discusses "moonshot" solutions for affordability like the 50-year mortgage—"not a solution," but perhaps "a tool in the toolbox." Warns that current generations “don’t own anything,” likening their situation to “Russian serfs.”
“As I said, this generation is nothing but Russian serfs. They don't own anything and they're not going to own anything.” (Bannon, [11:19])
The Genesis of “Building the Perfect Child”
A startup called Preventive, backed by OpenAI’s Sam Altman and Coinbase’s Brian Armstrong, is seeking to create babies from gene-edited embryos to prevent hereditary disease. The company reportedly considers conducting procedures overseas due to U.S. prohibitions.
“A small company backed by none other than OpenAI Chief Sam Altman has spent months pursuing a secret project for a genetically engineered baby.” (Stephanie Ruhle, [20:09])
Shocking the World Into Acceptance
Armstrong allegedly floated (before walking back) a plan to secretly create such a child and reveal it to the public—deliberately "shocking the world into acceptance."
“Their plan was to shock the world into acceptance because they were just going to do it and present you with the fait accompli, a genetically engineered and created baby.” (Steve Bannon, [26:37])
Ethical Slippery Slope
Journalists raise questions about where disease prevention ends and “designer traits” (IQ, eye color, etc.) begin, the reliability of current technology, and what happens if something goes wrong.
“Where's the line, how far before you get to make sure the legs are long, the boobs are big, the eyes are blue, and they're super smart?” (News Interviewer, [21:46])
Company Response
Preventive claims to be focused only on pre-clinical research for now, emphasizing transparency and ethical standards—although their actions suggest otherwise.
Cultural References
Bannon invokes “Gattaca” and “Brave New World”:
“Brave New World. And that was Gattaca, the movie.” (Bannon, [26:14])
Elite Recklessness
Condemns Silicon Valley leaders as “narcissists with no ethics, no morals and no common sense, half of them on the spectrum...with unlimited capital,” pushing radical changes on society with deliberate secrecy.
Warning to Audience
Bannon’s rhetorical question to listeners: “You ready for that, folks?” He urges the audience not to miss the phrase “shock the world into acceptance.”
Protecting Kids from AI
Kennedy describes a legislative push for:
“Our focus is trying to protect the young kids...from access to these chatbots and from their data being sold to the highest bidder...” (Ryan Kennedy, [29:37]) “Right now it's the wild west...AI is already being integrated...there is no clear guidance on what school districts can and can't do.” (Kennedy, [30:45])
Broader Concerns
Recognizes Florida is setting a precedent for other states, and warns against repeating mistakes made with unregulated social media.
“We know with social media we were so behind on that and we do not want to be behind on AI.” (Kennedy, [31:48])
Failed “Conservative Inc.” Strategies
Critiques traditions of the past 40 years: despite “victories” like lower marginal tax rates and homeschooling, structural affordability for the average American has plummeted:
“If you go to everyday Americans and you ask them, is life affordable for you? Do you have hope for your future? ...The answer is typically, you know, I would like to, but right now it feels out of reach. And that's a problem.” (Ryan Newhouse, [35:50])
“We've got a nation where two incomes barely buy what one used to, and a generation of young Americans who feel like they've been lied to.” (Newhouse, [38:09])
Populist Economic Nationalism
Calls for a shift:
“We need to measure...How many families are being formed? Are they strong? Can you have families raised on a single income?” (Newhouse, [39:57])
Bannon’s Solution
Suggests limiting private equity buying of residential homes so Americans can own, not rent. Echoes the “you will own nothing and be happy” fear.
Bannon, on Technocrats:
“You got people that narcissists with no ethics, no morals and no common sense, half of them on the spectrum, more than half, that have unlimited capital now because of the way the capital markets have responded to this, and it's just pure speculation, but they understand big things can happen. Armstrong was going to...shock the world into acceptance.” ([26:57])
Stephanie Ruhle, on Preventive’s Secrecy:
“You call the company, you ask for a comment...and miraculously, out of the blue, three days later, [Brian Armstrong] writes a tweet about it.” ([25:01])
Ryan Kennedy, on AI and Children:
“Right now it's the wild west...AI is already being integrated...there is no clear guidance on what school districts can and can't do.” ([30:45])
Ryan Newhouse, on Economic Despair:
“We've got a nation where two incomes barely buy what one used to, and a generation of young Americans who feel like they've been lied to.” ([38:09])
For listeners, this episode underscores a wariness of both economic and technological elites: from treasuries and trade policy to genomics and AI, Bannon’s War Room frames the present moment as one demanding skepticism, urgent reform, and protection—of American families, values, and economic self-determination—against forces that seek to “shock the world into acceptance” of their next radical leap.
For further exploration:
End of summary. This compilation skips all commercials, promotional product pitches, and general introductions/outros as instructed.