Thursday Afternoon Updates: Did Trump’s Treasury Scheme ALREADY Fail?! – 8/20/26
It’s Thursday. And it’s time for your midday update.
Here are the top stories we’re tracking:
The Trump-Bessent Treasury intervention has already been wiped out
Trump threatened Iran and anyone of their trading partners with “Economic D-Day.” If there’s anyone who knows how to destroy an economy, it’s Trump.
Iran mocked Trump’s announcement and demanded the U.S. leave the region
Oil and diesel prices continue to surge as Treasury yields climb
The national debt crossed $40 trillion
Walmart reported its weakest U.S. sales growth in 6 years
Trump officials blamed Biden for all the country’s problems, because of course…
ABC is seeking emergency court protection from the FCC
The Army eliminated an experimental drone battalion while another unit offered time off to play the new Grand Theft Auto video game
The FBI seized former Rep. Eric Swalwell’s electronic devices
A major frozen berry recall
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Trump’s Treasury Intervention Didn’t Help for Long…
The Treasury Department announced Wednesday it would at least double certain long-term bond buybacks, raising the maximum size of some operations from $2B to at least $4B. I did a special report on the unusual scheme with MeidasTouch Chief Economist Justin Wolfers yesterday explaining this in detail. You can watch it here.
The 10-year Treasury yield initially fell from roughly 4.68% to 4.63%. But within 24 hours, it climbed to about 4.71%, higher than before the announcement. At the same time, the national debt officially crossed a whopping $40 TRILLION, increasing about $2.9T over the past year alone… So naturally, Bessent blamed Biden, declared there was no “magic” about reaching $40T, and insisted America could simply grow its way out of it. In reality, growth remains weak, borrowing costs are elevated, and consumer spending is under stress. Bitcoin’s been surging on the economic turmoil, however. The crypto insiders around Trump continue finding opportunities in the volatility while average Americans absorb higher prices and borrowing costs.
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About Trump’s “Economic D-Day”
Yesterday, Trump announced he was launching what he called the most crushing economic operation ever imposed on another country and threatened “tremendous economic consequences” against anyone who provides Iran with a financial or logistical lifeline. So… China? Russia? Yeah, OK. When CNBC asked Bessent whether Trump’s threats apply to China, Iran’s largest economic partner and a major buyer of its oil, he refused to answer. Trump gave few details about what would actually be added to the existing sanctions and blockade campaign. The announcement followed the expiration of the 60-day negotiating window laid out in the MOU as talks remain stalled.
Iran’s been mocking Trump ever since. Foreign Minister Araghchi called out the America’s $40T debt and surging interest costs, called Trump’s announcement a diversion from his economic crisis at home. Deputy Foreign Minister Gharibabadi mocked Trump for claiming Iran is “hanging by a thread” while begging American allies for help. Iranian parliamentary national security chair Azizi warned the U.S. to leave the region. Meanwhile, U.S. crude climbed above $87 a barrel, its highest level since July 24. And wholesale diesel approached $190 a barrel, to near historic territory.
I will give Trump this: if anyone knows how to destroy an economy, it’s him…
Walmart’s Warning
Walmart shares plunged more than 8% after the company reported its weakest U.S. sales growth in 6 years. U.S. sales rose 2.6%, below the ~3.8% analysts expected and down from 4.1% in the previous quarter. Customer traffic growth slowed as consumers cut out discretionary purchases. Walmart also said they expect rising fuel prices to add about $2B in costs above its original expectations.
Agriculture Secretary Brooke Rollins responded to questions about beef prices, food affordability, and the effects of Trump’s Iran War on farmers… Her response? Can you guess it? Yes, she blamed… Biden!! Seeing a pattern?
PARDON MY INTRUSION: SMILING DELUSIONAL SCOTT BESSENT IS INSANE!
Bessent gave one of the most insane responses to the weak employment data, arguing that the U.S. no longer needs to create as many jobs because of Trump’s deportations. What insane spin! And so if I am following his logic correctly, those immigrants were never taking any American jobs to begin with.
Side note: I’m often asked where I go to do research for my reporting. One of the main research tools I use is called Ground News.
Ground News shows me how stories are being covered from different political perspectives, and it highlights “blindspots” where only left-wing or right-wing media is covering a story.
Ground News has been a great sponsor of our YouTube channel and podcast, and they’re now sponsoring this post as well. I worked out a deal with them: if you go to ground.news/meidastouch, you can get 40% off Ground News’ top-tier Vantage plan, which gives you unlimited access to all the research tools I use.
Ground News is subscriber-funded, so they don’t rely on ads that could introduce bias. By subscribing, you support both our channel and their independent team working to keep the media transparent.
Investigations, Retaliation, Security Concerns + More
ABC and Disney aren’t wasting time. They’ve now asked a federal court for an emergency hearing as they seek a temporary restraining order against FCC Chair Brendan Carr and the commission, accusing Carr of retaliating against ABC over its editorial decisions and political coverage. The filing says the threat of “draconian sanctions” is also causing irreparable harm.
Federal agents have seized the electronic devices belonging to former Democrat Rep. Eric Swalwell at San Francisco International Airport and from his DC home as part of a reported sexual misconduct investigation. Swalwell was not detained and has denied the allegations.
Separately, Trump’s “human printer” Natalie Harp reportedly worked in the White House for over a year without completing standard security clearance processes, per MS NOW. The White House says she now holds the proper clearance.
Hegseth’s Doing What?
The Army is phasing out a 600-soldier experimental drone-assault battalion in Europe and returning its troops to conventional infantry roles, per the WSJ. The unit was created to incorporate lessons from Ukraine’s expertise in drone warfare. Defense experts are warning that reversing the initiative could be dangerous, and leave the U.S. unprepared for the ways that war is being fought in the modern era.
But, at least the troops get to play video games! At Fort Stewart, Georgia, an Army battalion is offering eligible soldiers a 4-day pass timed to the release of Grand Theft Auto VI if they reenlist for 2-6 years. More via Meidas News.
A Few More Things
Darlene Graham, Trump’s pick for her late brother’s Senate seat, is still trying to recover from a huge gaffe during a debate when she admitted that national security is not at all her expertise when asked about Taiwan and the South China Sea. On Fox News, she said that South Carolinians were far more concerned about transgender athletes than national security. Huh?
Israel Defense Minister Katz warned Turkish President Erdogan against testing Israel’s military resolve in Syria as tensions continue to escalate and the Netanyahu government expands its military operations across the region.
The FDA upgraded a recall of GreenWise organic frozen blueberries and mixed berries to its most serious risk category, noting they may contain E. coli. Twelve illnesses and 4 hospitalizations have been reported. Here’s a list of the government recalls and alerts in Trump’s second term:
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All this chaos is why my brothers and I wrote WTF America. The book is available for preorder now. I hope you consider snagging your copy today, and if you do, let me know in the comments. It tells the story of how we got to this moment, and more importantly, how we fight our way back.
That’s it for now. Much more to come. Remember to join as a paid subscriber if you haven’t yet. Thanks as always, and shoutout to the Meidas Mighty!
JUST A FEW OF MANY COMMENTS:
Funny I don’t remember this feeling of doom present when Biden was the POTUS!
I’ll turn 70 the end of the month, and I never imagined our country could ever be this low 😢
I turned 83 and lived through mcCarthy... and feel the same way
I'm 90, lived through WWII, and feel the same.
Same.
I’m wondering if we will see 2027 with all the absolute bullshit and incompetence. At 61, I’ve seen some shit, but this country is way past that point.
I agree. I’m 72, and the Sixties were never even close to this level of madness.
I heard a joke the other day and thought you might appreciate its reference to the deep shit we currently find ourselves in.
Donald Trump died and went to Hell. The horned Devil met him at the locked gate and escorted him inside the fiery furnace. As they drudged through the burning cinders the Devil explained to Trump there were two rooms where one could spend eternity and ask him which room he wanted. Trump, being the savvy guy that he is, ask to see both rooms before making a decision. So, the Devil led him down a very long hallway with one large door on either side. The Devil stopped at the first door and opened it so Trump could see inside the room. Inside there were hundreds of people standing in shit up to their necks. Trump shuttered and asked to see the other room.
So, the Devil led him to the next door on the other side of the hallway. He opened that door and inside Trump could see thousands of people, milling around in shit up to their knees, holding steaming hot cups of coffee in their hands. Trump turned to the Devil and smirking broadly said, “I’ll spend my time in this room.” The Devil grinned a hellish grin and agreed as he shoved Trump inside the room and handed him a cup of coffee. As the Devil turned to lock the door, he whirled around and shouted, “Alright! Coffee break is over, back down on your heads.
Exactly! He was more like a soothing balm when he started cleaning up the mess from 45…
I don't either. I was able to relax and not worry about life.
That is what we should all want . A relaxed , normal life.
I'm so sick of all of it.
We're never going to get it again. It'll take decades to feel any sort of normalcy. I'll be dead by then.
As will I.
Most likely I will as well .
That's what weighs the heaviest on me. I now know It's not possible for me to live long enough to see the middle class dig itself out of the rut it's put itself into over the past 46 years. It breaks my heart on a daily bases.
'm a widow on a fixed income. I just read a piece that said the value of the dollar has dropped 23% since 2020. Where in the 1950's the rich made 100 rimes more annual income than the "average American," now that figure is 150 times more and, unlike the 1950's the richest Americans pay little to no income tax according to Warren Buffet. Worse yet, the taxes paid by ordinary Americans go in part to grants to the oligarchs to develop AI which likely will make most workers obsolete in the US. The time has come to stand up for the America imagined by the Founders--all people are created equal and have certain inalienable rights to life, liberty, and an equal opportunity to thrive.
But if this regime is defeated, it will give me some peace of mind , because I have grandkids..
If I had grandchildren . .. they would be brown. Do you KNOW the fights I would get in .
It will never happen in my lifetime either. I shudder to contemplate the kind of world my grandchildren will live in.
I am so glad I do not have grandchildren. That is something I thought I would never be happy about
When Joe was president I didn't have to smoke a joint to temper the rage before reading Ben and Ron's news updates.
Right Dave. These idiots have destroyed even a happy pastime into a coping tool..
I felt so relaxed. I knew if something happened, Biden and his staff could take care of it.
It felt like competent people were in charge. With a future in sight.
Please tell me what can we eat that won’t cause us to get sick or die.
"...list of the government recalls and alerts in Trump’s second term"...All Biden's fault, dammit. The bugs keep crawling-out from under all those windmills &solar fields.
Ummmm of course it's Biden's fault according to the Trump regime. I didn't expect anything different coming from their filthy mouths. 😒
I have noticed, that even FOX and other MSM tend to go mum these days when they go to the old "this is Biden's fault". Earlier they would join in the chorus. Have you noticed that?
No. I hadn't noticed. I don't watch FOX, CNN, MSM or any corporate media. Sometimes Independent media will show a clip but I mute it. I don't want to hear what they have to say. They lost me during the 2024 campaign. They sickened me giving Trump a platform and airtime. He was given more than Kamala. I'm done with them. I'll take your word though 😉
I haven't watched TV for about 30 years now (no reason except I stopped enjoying it) and I have never followed MSM on the internet, only clips which I also mute on occasion depending on who is speaking but I watch their faces and when they go flat after someone like Bessant or Hassett speak, I will tune in to see what they just said. That is how I know things are starting to change.
It is a matter of self preservation to ignore the fuckin morons. They will kill you with their stupidity and what they are saying! It is not normal. I refuse
National Debt at $40 Trillion. It will only get worse. He still has 2.5 more years of spending. I think his goal is to bankrupt the US as this is typical for authoritarian regimes. They want us all to be poor whilst the oligarchs prosper.
Trump certainly has much experience with bankruptcies so this is a possibility we have been thinking about.
It could also be accidental: he managed to bankrupt a casino. That is practically impossible. Everything he touches turns to shit.
Before Trump ran the first time he suggested that the United States declare bankruptcy. Reset ourselves and start anew. He said he’d done it several times and ALWAYS came out money ahead. Company I worked for had dealings with him and I was trying to find out his philosophy as even back then he wasn’t paying contractors in full, relying on a phalanx of lawyers to get contract terms changed. And STILL people thought he’d be a great President because he was a ‘successful’ businessman.
Seems like they didn't look deep enough. 😳 ya think. He has been a conMan his whole life.
Creditors call bankruptcy "legalized theft."
The GOP has claimed the country will grow out of its debt ever since Reagan. Hasn't happened yet and it never will.
Andrew Jackson 1835. No debt .. that was the last time.
Clinton balanced the budget for several years! Trump takes the number one space for the biggest debt EVER.
It would be stunning to see Hegseth's 'decision-making process' around shutting down the drone unit. It's literally where we're getting our butts kicked in the Iran war, and Ukraine is the best in the world🤦
I'm half-expecting some angry Iranian parents whose children were murdered by Hegesth to show up at one of Trump's golf courses armed with drones and hammer home the point that drones are the future.
I'm wondering if that's exactly why he was shown golfing with a Patriot missile system beside him😳
Paranoia
Do not understand why it has not already happened….but then I do not understand why Netanyahu is still alive.
To the Democrats in Congress:
It was not that long ago that President Biden was vilified for normal aging. That he was aging was undeniable and the need for fresh eyes and legs was justified. The stamina, integrity and cognitive cohesiveness of a person with enough years of experience to incorporate those qualities into a vigorous and effective administration is essential for a functional presidency.
President Biden gave his all to his time in office and that office took all of it. With Trump, the compare and contrast is devastating, a man of vanishing comprehension, with more power than competence. He
is not cognitively intact. His physical health is observably failing. His emotional stability is not based in reality. He has moved way past the line established by the Democrats to question his acuity. If the criticism of the Democrats was that we waited too long, then how long is too long for there to be a reckoning of Trump’s vast and ever deepening deficits.
Trump is stuck in an endless cycle of fear and retribution now, retribution tomorrow, retribution forever. He must be right and for him to be right everyone else must be wrong. These are not the actions of a well man; his demeanor is not one of health or competence and he has the nuclear codes. Every mistake is not his fault, every obsession is his reality and every decent into further perversion of his authority is inevitable. He is trapped in his severely compromised state and he is dangerous.
We the People Do Not Consent.
Really wonderful summation of our reality.. I shudder at the thought he will continue on, unchecked, and open us up to a complete takeover by China or Russia. We have fallen so far from the country that people admired and wanted him come to, that I think we’re probably beginning a be on the list of places to avoid!
Gun control… not! Education…not! Universal healthcare…not! Affordable child care…not! Vaccines…not! Domestic violence…not! Ballrooms, heliports, golden statues, golden Oval Office, golf, golf, golf. Truth (😂) Social…grifting and lining the pockets of every member of his family to “keep safe” until he can access it!!
I miss the Biden administration and feel like we are on the brink of disaster. The Trump administration is so corrupt, and the lies are constant; they can't keep it straight. I honestly miss not having to wake up to what Trump has done overnight.
Yes. I wish I could just get one nights sleep. And a break from the reality shitshow.
Why is Hegseth getting rid of the drone assault battalion? Is it possible that this was recommended by Uncle Vladimir? Is it just one of the ways Trump is preventing the US military is from moving forward? Anyone know anything about this? I don’t think the Russians or Iranians have exactly given up on drone warfare.
And aren’t China and possibly Russia sending Iran drones? I read this on Reuters a few months ago.
I have also read that. And so far Trump seems to accept this even if he talks big. Trump likes dictators and is not particularly concerned about Americans in the military.
This is what Scott Bessent always reminds me of: the cartoon monopoly guy. He's clueless in understanding normal people, but running aways with all his chips as fast as he possibly can.
He is definitely the dumbest Treasury Secretary I’ve ever seen.
As a result of Trump's firing all the food inspectors, we now have to worry that dozens of fruits and vegetables [and a growing list] will poison us! The debt is now over forty trillion, and growing exponentially, and Trump is responsible for fully twenty five percent of it! I wonder if the electorate will learn that electing career criminals to high office is a bad idea....
As long as his Big Macs and diet Cokes are safe, he doesn't give a shit. Fresh fruit. trump? 😂
Not those in red states. Listen to them every day about how they no longer afford basics, medical and cannot pay for car repairs so they can go to work all because Biden caused inflation and all the suffering they are having to endure. But they are very happy that those black and brown people down the road are no longer getting “food Stamps” and no longer getting subsidies to help pay healthcare.
Meanwhile, Houthis are on the offensive to overtake control of airports and other facilities in Saudi Arabia and Somali pirates are pirating.