Anthony Scaramucci: WH transcript is ridiculously lawless

[Music] welcome to markets now I'm Alison Kosik and we are streaming live from the floor of the New York Stock Exchange in it's halftime of the trading week let's get this thing started House Democrats launched a formal impeachment inquiry as the Trump Ukraine transcript is released the i-word rattled investors yesterday but stocks are higher today could an impeachment battle undermine investment confidence and bring a stock market distraction who better to ask than Anthony scaramouche II the former White House communications director has publicly broken with President Trump the moots joining me on the floor live to

talk impeachment will talk about the trade war and the risks to this bull market and a stunning fall from grace weworks Adam Newman is out as CEO can the company recover under new leadership and will it ever go public before we get to all that let's check the action on the floor here the dow up 155 points clearly investors are not rattled by all this impeachment talk stocks were down modestly but then at the UN President Trump did say that a deal with China can happen sooner than expected but I'm wondering if that was just

the distraction it's something I would ask Anthony scare Moochie he joins me now live keep in mind he no longer supports President Trump he is currently with skybridge capital he's the founder & Co managing partner at skybridge Capital thanks so much for joining you good to see so good to see you so we're gonna get to China in just a second because we want to talk about the big story this impeachment inquiry so Democrats have launched this inquiry the White House releasing this transcript this rough transcript I should say of Trump's call with the Ukrainian

president you say on Twitter that this transcript is more damning than you expected what do you exactly mean oh it's prima facie lawlessness and so just have the look of the comprehensive fax at the military aid was withheld a week later the phone call is made there in conversation this is how the president operates it's a it is a direct of a hit as you can get from the President of the United States but the GOP lawmakers are saying look well no of course okay so now you're in a full-blown constitutional crisis and you're in

a full-blown battle for the American democracy and so what I also said on Twitter and I'll say right now is that James Madison didn't anticipate that there would be a group of partisan hacks that wouldn't stand up to somebody that was being this criminal or this law was as the chief executive of the United States so we have a very interesting facts that you have a group of people who are going to move the goalposts and accept the gaslighting a president Trump in order to preserve their own power and so this is sort of ridiculous

now so well let me tell you what will happen it's my prediction it's chipping away last night's vote the 100% of the Senate voting in favor of seeing the whistleblowers report was a very very good sign the whistleblowers report will be even worse than the transcript I know the president's personality very well he put the transcript out because he knows it's ridiculous and it's so ridiculously lawless that just put it out aggressively in that Roy Cohn style way and act like it's not that big of a deal you said you knew the president well what's

the president thinking right now you think oh he's having like a nervous breakdown I'm he's guys having like a grand mal seizure he was up all night last night he's trying to pretend that he's cool as a cucumber he's got his acolytes signaling that he's cool as a cucumber but his tell was yesterday on the phone with Nancy Pelosi where he said hey can we work this out somehow this is just a lack of morality on the president's board a lack of actually probably even understanding where the laws are I mean if I was his

country lawyer like Rudy Giuliani a country lawyer I'd be saying okay the guy doesn't know what criminal activity is you know you have that you'd have to plead that as opposed to anything else okay but even that rank incompetence means he's got to go so I think the markets up because of that I think people are now recognizing that the gig is up and this is now just a matter of time is it a month is it two months is it three months I don't know the exact timing of this thing but the Republicans know

that they're gonna do way better without this guy and they'll rally together and though they ask and believe you've already you're already you've sort of already kicked him out of office by the way you're talking but there is a reality look the house expected me kick him out ah just tell me what I figured out this really does happen where the house impeaches him but the reality has been a GOP controlled Senate you need a two-thirds majority to kick him out of office seeking victim and convicting out of office is does this wind up just

being a show and rattling the nation listen you have prima facie lawlessness okay the guy committed a criminal act as the president itíd states just look at the transcript he knows it you know what I know it and so now the whistleblower is going to provide more context and more color to the criminality of what happened and so now you're you're saying to me but there'll be a group of senators that despite the criminality they'll Gaslight the entire situation and try to pretend that it's normal okay they may do that but I predicted they walk

it's so ridiculously far and away you know that of course they're gonna you know say it in the beginning but they'll flip towards the end that's my prediction what about the argument Mike Bloomberg is making he says the 2020 election is it's a better forum for removing the president let the people decide let the voters decide instead of having this sort of impeachment show so so I understand why Mike Bloomberg is saying that and I understand that anybody that wants to denounce the president would like to see him beat at the ballot box and I

totally get that so we could go in that direction but I'm predicting that the Republicans are not going to allow that Republicans are looking at the tea leaves the president has not been able to expand his base in the last three years if anything he stuck at a real RealClearPolitics number of about forty one forty two percent in terms of his composite average povel rating and so when you look at the criminal lawlessness mike is probably right Mayor Bloomberg is probably right and since that let's beat him at the ballot box but i briefed the

problem he's not gonna let that happen they're gonna try to get a more normal Republican candidate they'll pull somebody from the 2024 stable of candidates and move them into 2020 but I get what Mike's saying but my prediction is the Republicans aren't going to want that cuz they can't win with this guy and Mike saying that because he hates the guy like I do and he's saying that he's saying that because he just wants to beat him at the ballot box because that'll be a complete humiliation of President Trump as opposed to this sort of

out this is this sort of escape valve all right let's turn to the markets a little bit in the impact of impeachment on the market do you see an impeachment process undermining confidence in the south no no I don't think I don't think it matters to the morgue I think that I think the market would look at this situation with some level of relief in the beginning the market was pricing in a trump rally due to the deregulation and the tax cuts tax cuts happened you had a 40% drop in taxes that showed up in

the corporate earnings you had a 40% move in the markets but now the markets really not haven't moved in the last two years I mean they've gone up and down they're up this year but in the last two years they're basically been flat these mints aren't the same keep in mind you know we saw stop obviously get hit during you know afternoon it has only been for impeachment so right you know but we've seen the market react differently with each one yep your prediction is no reaction my prediction is the market is pricing in and

the reason why it's up that he's gone that's my prediction okay listen to the trying to trade war does this president Trump get any credit at all for standing up to China and say look this unfair trade practice it's got a stop other presidents haven't done that I listen I'm an objective guy I give the president credit for that but the strategy was completely flawed he was told by his smartest advisors to move the move to tariff parity gradually the the approach should have been 2 percent a quarter for 11 quarters would have gotten you

the tariff parity and it would have given business leaders around the world business leaders large and small the opportunity to adjust their supply chain to the tariff parity but he didn't do that because he's such a complete narcissist he did something called Trump Tower for lek he spun the wheel shot the Marvel in the roulette wheel and we didn't didn't know what was gonna happen that's why the investment capital numbers are at all-time Loes for this this point in an economic cycle go look at the first and second quarter investment capital numbers there's nil they're

gonna be worse in the third quarter because he's paralyzed all these business leaders due to his narcissistic craziness how do you see this ending up very quickly they're trying to trade work well I think the Chinese definitely want him to stay in power I think that they're concerned now that he's going to get ousted by a combination of Democrats and the Republicans but it but it the Chinese would definitely want want him in power so why because he's destroying the hard and soft power of the United States globally why because he's wrecking the international alliance

of the Western democracies why because he's destroyed the international trading system and that plays to the advantage of China and there's no long-term plan for the United States so so leave him in power for five more years all alone in the white house seeking nobody's counsel with his Twitter Batphone I mean that would be an unbelievable great thing for the Chinese let's turn to the 2020 election warm stain panels 2020 election Elizabeth Warren Bernie Sanders both talking about a well tax is that the right way to address income inequality how how should we tax the

rich so that's the stuff that will affect the market and so that's a bunch of nonsense again I can improve to you that that won't work these socialists think that people like me have my money in a swimming pool and like $100 bills it just doesn't work that way my money's in my company my money's invested in real assets and my money is helping to create jobs in the society so if they go with the full-blown wealth tax two things will happen wealth will mobilize outside of the United States and they'll grind to a halt

all the economic innovation and investment so so this is a bunch of nonsense this is a tried and true socialist playbook it's never worked in human history and we have a hundred and fifty years of current history where it's been an absolute unmitigated disaster so so the markets pricing that neither one of those two people are going to get that nomination or win the presidential election because if that comes to pass then you'll see a real hit to the stock market okay in a national poll that's out it shows that Elizabeth Warren is a little

bit above Biden right for the Democratic nomination now and Howard Dean was crushing John Kerry in 2003 right around this okay point worked out well for Howard Dean point taken Wall Street though does not openly Terra for Elizabeth Warren about a urine change from now I want to get your opinion here in about a year year and a quarter what's scarier what's scarier to you a president Trump or president Warren a president Trump is scary to me the president warm president Wars not gonna happen so I don't like answering the hypotheticals but if you see

what I have seen and you talk to people on the inside and you talk to former administration officials and you talk to the people on the hill you're a very good journalist so go talk to those people they're a little bit on the fraidy-cat side right now where they won't admit it in front of a camera like this but they eventually will okay it is a full-blown crazy situation where the president united states is taking no one's counsel and he's trying to run the executive branch of the United States by himself he's an angry petulant

guy and he's causing full-blown pandemonium around the world and he's gonna touch off a national and international crisis and so I'm ringing the warning bell lights to let people know that that's happening and now the good news is he's such a lawless ranked lawless felon like of a person that he's self-immolating in front of us right now so there won't be a president Trump there won't be a president Warren and I think the market will like who the next president who do you want to see on the Republican ticket family it just has to be

a normal Republican you know there who would run in 2024 there's a whole slate of them I don't want to mention any of them because I'm talking to a lot of them right now I don't wanted to get mad at me that I'm up on television I want you to be the president I think you could do a way better job than John Ross let's just let's skip over that idea and maybe talk about the Fed here he's been calling woman president I'm seeing it can you imagine no it's a prisoner Trump has called the

Fed boneheads no vision you know his his tweets are found to be threatening to the feds independence well future administration's criticize the Fed like this is the president opening the door for hell I don't just treat the Fed I don't think so I think that this is an anomaly this is full as a full-blown crazy person let's just go over a few of these things he he he said that President Xi and the Jerome Powell the Federal Reserve Chairman were both enemies of the people who's a bigger enemy of the people he then went on

to make Ally up about a phone call that came in related to the straight situation when the future is down here were work-rate early and then he started lying about the weather I actually think ultimately when presidential historians look back at this thing it was the lying about the weather they killed it because the intelligence agencies in the military look at that and say okay that's full-blown crazy you can't have somebody like that at the top of the food chain okay for our viewers you've got $1,000 it's completely switch gears here we've got $1,000 where

would you invest it now where do you put your money so you know what I tell people is that you want to be defensive I'm a turtle I like getting a six 7% return in a low interest rate environment so you want to put it in a collection of stocks and bonds that are stable so things like the sp500 long-term government bonds and corporate bonds and be patient okay be the key to staying wealthy or to growing your wealth is being patient don't trick chase unicorns and don't believe things that are too good to be

true okay if you if you could be in front of President Trump right now with everything going on what would you say two things up I would say that this is the last episode of The Apprentice where the contestants fire you and I would say dude you're fired you got a cop that's always saying he's got to go okay and that's ultimately what's gonna happen the American people are exhausted they're fed up they recognize that he's no longer helping this situation and as I pointed out he's destabilizing the alliance he's crushing the international trades situation

and he's lawless so the combination of those things say dude what are you doing I don't know why you got this crazy but you gotta go and you're basically you know it would be he would be very smart of him to resign or to declare himself tonight or tomorrow that he's not running reelection and I think if he says he's not running for reelection he'll probably let him finish out his term but if he doesn't say he's not running for reelection I think we're gonna have a fight over the next three to six months and

then they'll be forced down okay Anthony's Kara Moochie with skybridge Capital thanks so much for being on our show today great time nice to be here when you're wrong let me know I'm gonna raise it I'm good at raising money ask President Roh yeah I gotta raise money so you're running I'll try to help you out I'll remember that all right thanks for joining us here on markets now join us every week at 12:45 right here on CNN business see you next time [Music]