Introduces Commerce Secretary Howard Lutnick to discuss the Taiwan semiconductor deal.
Host
Howard Lutnick
Announces a $500 billion commitment from Taiwan ($250B from companies, $250B from government) to onshore semiconductor supply chain to the US, making America self-sufficient.
Asks what Taiwan gets in return and if the deal includes security considerations given China.
Host
Howard Lutnick
Taiwan gets tariff reductions (20% to 15%, some to 0%) and a special provision: if they commit to build in America, they can import semiconductors tariff-free during construction.
Asks if the deal and other tariffs are a bold move against China and if it could disrupt trade talks.
Host (Kelly)
Howard Lutnick
Denies it's a move against China. Says it's about reshoring semiconductors, creating jobs, and national security. Trump has a strong relationship with Xi and knows how to play his hand.
Howard Lutnick
Predicts the US will grow over 5% in Q1 2026.
Raises concern that strong growth could force the Fed to hike rates, contrary to the President's wishes.
Host (Kelly)
Howard Lutnick
Argues strongly for lower interest rates. Asks why rates have to be high if inflation is at 2.7% and we're growing.
Asks for his take on the markets and if the Iran tariff could disrupt China talks.
Host
Howard Lutnick
Says when America is shining, the world's stock markets rally. Global markets are up because a strong America lifts the world.
Asks him to put on his 'bond hat' and say where mortgage rates should be.
Host
Howard Lutnick
States explicitly: 'I think rates in the United States of America are coming down. They should be lower.'