Pod Save the World - Far Right Freaks Freak Over Migrants in Spain

Episode Date: August 5, 2026

Over 70,000 migrants try crossing into Spain, the US is running out of precision missiles, and Jared Kushner's brother almost bought FIFA.Tommy and Ben break down the mass crossing of migrants from Morocco into the Spanish enclave of Ceuta and why right-wing politicians are frothing at the mouth over it. While Trump’s ultimatums and claims of a deal on Iran make us all feel like it's Groundhog Day, reports that the US has burned through virtually all of its precision strike missiles and that Iranian hackers have infiltrated water systems in at least seven states are genuinely alarming. Trump announces a "historic" Gaza disarmament deal, but Hamas says he’s lying, the guys explain why the Japanese yen is suddenly America's problem, and FIFA president Gianni Infantino’s corrupt plan to sell off the most lucrative parts of the World Cup might cost him his job. Finally, the State Department displays an inaccurate map of Africa at an international AIDS conference, and a Spider-Man screening in Cartagena is evacuated due to a gassy incident of epic proportions. At the end of the show, Tommy speaks with Casey Michel, author of United States of Oligarchy: How America's Wealthiest Ally with Dictators, Weaken the U.S., and Destroy Democracy, about our home-grown oligarchs, why they pose a threat to national security, and what to do about it.Hate listening to ads? Become a Friends of the Pod subscriber for ad-free episodes of Pod Save America, Pod Save the World, Lovett or Leave It, Runaway Country, Offline with Jon Favreau, and more—plus exclusive content, including bonus episodes of Pod Save America. Subscribe now at crooked.com/friends, on Apple Podcasts, or through the Pod Save America YouTube channel.To watch this episode with subtitles, click here and turn on closed captions (CC).You can also request a transcript by emailing [e-mail]. Include the podcast name, episode title, and air date. Please allow 48 hours for delivery.

POTA of the World is brought to you by Z biotics. I just bought a bunch of Zbiotics because I'd run out and I needed more because I will not have a drink without a Z biotics because it is a game-changing product for me that I use before any night I have a drink, even a single drink. It's called pre-alcohol. Z-biotics, pre-alcohol, probiotic drink is the world's first genetically engineered probiotic. It was invented by PhD scientists to tackle rough mornings after drinking. Here's how it works.

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Try it once, see if it works for you. Try it on a night where you have one or two drinks or you have a work dinner or something. It is a game changer for me. You will not regret it. Mondays don't move for anyone. Pre-alcohol works overnight so you can have a real weekend and still show up sharp. Zbiotics.com slash PSTW. Code PSTW for 15% off. Welcome back to Potsay of the World. I'm Tommy Vitor. I'm Ben, you're in New York City. Are there a Mamdani sponsor gangs roving the streets, or how is it these days? Is it livable? Is Bill Ackman still even there?

I think there's, you know, a noticeable absence on the upper side of people. who fled to Florida for their sake of their second homes. But, no, it's a fairly friendly place. There's Knicks gear everywhere. It's like still feels like it's basketball season. It's nice. People are happy. People are being kind to each other.

I think the Mamdani ethos is prevailed here. I'm not as mad at the Knicks as I am at the Sixers right now because you stole Jalen Brown for my Celtics and you gave us Paul George, who has a terrible contract, and he sucks. But no one wants to hear us talk about this. So we'll move on before we have to, explore my pain. We got a great show for you today, though. We're going to talk about the

migration crisis that both Spain and Morocco have been dealing with over the past week or so and how it has exploded through Europe and is being weaponized by conservative politicians and conservative media. We'll update you on all the latest with Iran, where there's threats of war crimes, cyber attacks, much more. The more things change, the more they stay the same, Ben. We're going to talk about some announcements about a deal in Gaza, consider us skeptical that those are going to come to be. It's very easy to put something out on truth social. It's harder to execute. We're going to explain why the U.S. bought billions of dollars worth of Japanese yen and why that's pretty worrisome, actually. We'll talk about the massive scandal engulfing FIFA, yet another

scandal engulfing FIFA, the good people who put on the World Cup soccer tournament. And then you're going to hear my interview with Casey Michelle about his new book, United States of oligarchy, how America's wealthiest ally with dictators weaken the U.S. and destroy democracy. I think the title probably gives you a good sense of what the book is about, Ben. I was going to say, I thought I had a subtitle. It's good. People need to know what the book's about. That's right. That's right. We talk about some real close friends of the show.

Your Kushner's, Jared, your Whitkoff, Steve. We get into the way autocrats and dictators are bribing their way to policy success. It's a very important subject, I think. I know you do too, Ben. It's not just corruption is bad because it's illegal. It's like corruption is actually weakening the foundation of our democracy in some fundamental ways that Casey studies deeply. I think it's a great book and worth reading. There's actually a roadmap in there for how Democrats should respond if we win back

the House and, you know, inshallah, the Senate. Yeah, I mean, I think corruption is now like the system under which America and the world operates. It's not like a, you know, corruption of the system. It is actually how things are working. Case in point, Jared and Whitkoff are negotiating the Iran thing that we'll talk about. FIFA will talk about. FIFA will talk about. You can't understand what's happening in the world right now if you don't understand corruption and oligarchy, so well worth people's time. Absolutely. Stay tuned. All right.

Well, let's turn to Spain because if you've consumed even a few minutes of Fox News for other conservative media over the past week, you've almost certainly seen images of migrants of migrants flooding into the Spanish enclave of Seuta. I'm also willing to bet that the coverage you watched on conservative media did not mention that Seuta is not on the European continent. It's actually in northern Africa, but I digress. So like I said, it's a safe as a small city. It's about 84,000 people in northern Africa. Spain has governed it since 1580. It's one of these two remaining small Spanish cities on the African continent, which means that the European Union actually has two land borders with Morocco.

But the thing to know is that, you know, to actually get to Europe proper, migrants have to go through passport controls. You have to cross the Mediterranean. So it's not like crossing our southern border where you're just sort of like in the Shenzhen zone and able to move around. Like you're still in the continent of. Africa. Starting on July 30th, an estimated 60 to, I think, 72,000 migrants crossed from Morocco into Sauta. They either cut holes in the border fence or many of them swam around the border fence

in the ocean from like a Moroccan beach to a Spanish beach. The majority of migrants were Moroccan men. There were some families and children. Spain says that nearly all of those who crossed have not been returned, with the exception of a few thousand individuals, ADA fatalities, most by drowning. there's been some debate as to what happened. Why was there this flood of migrants all at once? We're going to explain some likely causes, then we'll get down to the kind of like more likely to be disinformation causes that you're seeing on the internet. The first is economic conditions generally.

So the youth unemployment in Morocco is at 37 percent per capita income in Morocco is $4,600 compared to Spain's $38,000. People are pissed at the government. The government spent in all this money on the next World Cup tournament stadium. while their lives aren't improving. But if you protest like the Gen Z protesters did in Morocco, you get to shit kicked out of you. Then there's another bucket of Spain's immigration policy under Prime Minister Pedro Sanchez,

who's from the left. Back in April, Sanchez announced an amnesty program for undocumented migrants to allow certain migrants to apply for a one-year work visa and residence permit. This is mostly actually for migrants from Latin America or South and Central America, who knows Spanish and who got to Spain legally but just overstayed work visas.

They expected about half a million applicants. They got 1.2 million, and it pissed off a lot of other countries in the EU that are worried about immigration and far-right parties weaponizing it. And then there was a ruling by the Spanish Supreme Court that was misinterpreted to mean that migrants arriving in Spain by sea could not be deported. Right. And then finally, the role of the Moroccan government, there have been reports that the Moroccan military was waiving migrants through

or that there just weren't border patrol guards at the fence that separates the two areas. and it was just very easy to kind of like walk up to the fence, climb out onto rocks, swim around the fence, and then get to Spain. There has been a history of Morocco using immigration as a tool to punish Spain. In 2021, Moroccans were pissed that Spain allowed leaders of a rebel group into the country for medical treatment. And then we're accused of letting 10,000 migrants into Sauta in retaliation. So that all brings us to the kind of fringy Israel did it theory. Now, there's some like context here that makes this relevant. Well, first of all, Morocco and Algeria, they don't get along. Morocco claimed sovereignty over the Western Sahara, while Algeria supports a rebel group called

the Polisario. As part of the Abraham Accords, the Israel's deal with Morocco, the U.S. recognized Moroccan sovereignty over the Western Sahara. Algeria did not like that. Also, Spain has been a pretty vocal critic of Israel's conduct in Gaza and of the war in Iran. I've seen Israeli media and commentators have suggested that one way Israel could punish Spain is via Sayuta in migration, but this theory exploded on the United States. social media, but frankly, that is more to do with just a lot of commentators disliking

the Israeli government than anything Israel actually did here. Regardless, Ben, right-wing politicians leapt to politicize this issue. Here's a clip of President Trump and far-right Reform UK leader Nigel Farage both talking about it. You know, I saw Spain yesterday and I watched the catastrophe that took place. It looks like an invasion of a country by hundreds of thousands of people And that same thing's going to happen to us if the Republicans don't get elected. If we're not in office, our country will be invaded at levels that made Spain look small time. That's going to be a talking point for the midterms. Believe me, unless we get a reform government, those scenes you're seeing in Spain today,

many of those young men, lots of them dangerous, will be heading towards Calais and coming to our country too. Farrage always in the woods for no reason. Ben, sorry for the... Where's he in the shire? Like, what's the down? Yeah. Sorry for the long wind-up there. I want to get your sense of how potent the political issue is. I mean, it's hard not to think back to 2015 in Germany and the Syrian migrant crisis. And then the reaction you've seen by, you know, EU countries and how they're handling this. I don't know about the... This kind of, you know, remind me, Tommy. It reminds me of, like, the caravan, you know, playing the hits from the first...

Trump presidency before the 2018 midterms, we saw all this Fox coverage of some massive caravan who was making its way. I think that, look, there's a potency to anti-immigrant politics. There's a potency on the far right to images of migrants trying to make it into Europe. I don't doubt, and we should talk about the way in which we've already seen far right parties beyond just Trump and Farage, try to take advantage of it. That said, there's a big difference from 2015, which is a big difference. is whatever you think about what happened in 2015, there actually were a huge influx of migrants and refugees into Europe. These people did not make it to mainland Spain. And so there's not

like a real shift in the demographics of Europe or any countries. Right? So to me, this feels much more like the caravan, where it's like, this is scary, these people are coming. We have to stop them. You know, if you don't vote for us, like, they'll make it here and it'll be terrible. But it's not like there actually are these people now in mainland Spain or in the Shenzhen zone of Europe where they can move around. So I kind of feel like it's more in the political stunt category of things. Now, that said, I thought what was interesting is, you know, the AFD, for instance, the European, the German far right party that we've talked about, this was kind of tailor-made in a laboratory for them because they got to say,

this is the influx of migrants that is coming, Israel's behind it, you know, so there's this kind of hidden hand of great replacement theory kind of to a T, right, is, I'm sure Tucker Carlson will make some hay of this, like somehow Israel is facilitating a migrant invasion, the Jews want to replace us with the brown people. So I do worry that this is going to kind of live on in the darker recesses of far-right politics in Europe.

But the facts are just not what anybody's saying. Like Trump said hundreds of thousands. That's not true. They're suggesting these people are like walking around Madrid when they're actually in like a Spanish enclave of North Africa and most of them have been returned to Morocco already. I do think that, you know, look, I don't know that the Israeli government had anything to do with this.

It probably didn't. It is the case that Spain is this kind of whipping board. for Trump and Netanyahu and other right-wing politicians. Yeah, yeah, because the positions they've taken on Palestine, because of the positions they've taken on immigration. So I think it's also like the juiciest target imaginable because it's Spain. You know, if it was Italy, they probably wouldn't be making as much noise. But yeah, I think that the facts actually matter in the sense that part of what led to some backlash

after 2015 is there actually were millions of Syrian refugees and other refugees from Africa and Asia coming into Europe, like that's not happening here. Yeah. So their ability to continue to freak people out, they'll be able to motivate their own people, but I don't think that this is going to be like a, you know, a swing issue for people in the middle because there's no new people there. Yeah, no, I meant more like kind of the immediate political reaction for, like 2015, but you're right on the merits.

I mean, from January to June, illegal immigration to Spain is down over 32% from that same period the previous year. And we're talking about like small totals. That's like a total of 12,000 people in six months, which I think shows you how much of an outlier, actually, the Sayuta situation was where you had, you know, 60,000, 70,000 people flooding across a border in, you know, like a week. What's really happening is Spain and Italy are mostly dealing with the arrivals of boats from Africa. And it's sort of a continent-wide problem. And again, you know, I think a lot of these European countries were mad about this amnesty program because they thought it might draw.

more people to Europe generally because they're trying to get to Spain. But again, it was supposed to be for like overstays of visas for workers from Latin America. You are seeing a reaction, though. I mean, you know, the Italians were pretty hard out of the gate, like essentially saying they're going to cut off, you know, certain ties with Spain. France started increasing checks on the Spanish border. I mean, it's just interesting. Like in Italy, you have Georgia Maloney, who's a far-right leader, who's worried about an even further far-right party challenging her. And then, And the rest of the Europe, all like the Social Democratic parties, he thinks how they exist anymore or like Macron,

the kind of squishy middle parties, are all flipped out about the far right winning future elections. So they all reacted pretty strongly. Although over time, I think the kind of political response from Europe evolved to praising Sanchez for his like kind of swift handling and expulsion of all these migrants. And it's just worth saying, like, when these people got to Sayuta, they were greeted with nothing.

They didn't have food. They didn't have water. again, like nearly 100 people died. They're exhausted, right? You know, they're swimming in the ocean trying to get a better life for themselves. And basically, they were met with a military response and kicked out of the country as fast as Spain could get them out of there. So it's hardly a story that I think others will want to replicate if you're thinking about migrating. Yeah. And look, the human tragedies, like the people who drowned, the people that probably lost things along the way, these people that were just seeking a better life and didn't get it.

I will say, Tommy, like, I don't, I mean, I spent a lot of time with this story just like you, because it was everywhere online. And I'm not here to, like, you know, validate a conspiracy theory. There are videos of the Moroccans kind of waving these people. It seemed like there was some beef with Sanchez from Morocco somewhere involved in this. Yeah, I think Morocco has definitely facilitated this. Yeah, you could not have this scale of people just. all the sudden getting through like this

if Morocco wasn't facilitating that. And I do think it's pretty dark when countries like weaponized migration like this. And I do think it's important to kind of frankly get Pedro Sanchez's back here. Like his amnesty policy had nothing to do with this. And in fact, as you point out,

his amnesty policy has been good for the people that have been able to work. It's been good for the Spanish economy, which needs those workers. And it has not done anything to drive up the levels of immigration quite the opposite. that they've actually come down.

And so I think part of what is happening here, too, that should be called out is that people are seeking to delegitimize alternative approaches to immigration. You know, Sanchez has a more humane approach, that it has an amnesty component that is not dissimilar from, like, a pathway to citizenship in the United States, which I think should be a part of any solution to the immigration issues that the United States has.

And people like Trump and people like Farage and people like the AFD and people like Maloney, like relentlessly want to delegitimize anything other than the most hardline approach. And so I think it's important to speak up in defense of Spain and how they've handled not just this, but how they've handled immigration generally. And I think it's pretty dark. I don't know what Morocco was doing.

The Israel nexus, like, we have to be careful. Obviously, like, this is immediately going to be turned in the darkest version of the great replacement theory. Yes, that's what happens. There's also a lot of Russian disinformation. I think we're pushing kind of narratives around this issue. And I think that freaked out some people in Europe, some of the European leaders.

It did because it can get out of control really fast. But it's also a reason why you shouldn't have Israeli political figures musing on television that they're going to punish Spain via Mariah. I mean, that's something that happened, right? So people can find these clips of these commentators in Israel, you know, talking about how they need to punish Sanchez in Spain for its recognition of Palestine. And then Yaiu's son was talking about it. Like, yeah, it's not a, it was not like a totally fringe thing.

Like there was some, there was some. It wasn't without like some basis in like, I don't know, videos people can watch. Yes. Doesn't mean that it happened that way, though. Yes. But I think that like punishing Spain for being progressive is clearly a part of some of the motivation of some of the people involved in this,

like Trump, right? Like, I don't think he'd be doing this if it was Italy. Well, it was because Spain opposed to war in Iran. It was more than anything for him. Yeah. They opposed to war in Iran. They wouldn't let the US use bases, neither, by the way, with Italy. You know, they've obviously been outspoken on Palestine.

I guess they won the World Cup. Well, speaking of the World Cup, like it was not long ago, that all of Spain was cheering on a player named Nico Williams, whose parents walked 3,000 kilometers across the Sahara to a similar but different city where they climbed a border fence, lied and said they were Liberian to seek asylum. And then, you know, decades later, they have two kids, actually, who are playing professional soccer in Spain, one of whom was a star on the Spanish national team that just won the World Cup.

So, you know, a reminder that we like him. in certain contexts, Spain and everybody else. But one reason, Ben, you know, I think all of us are, we watch Trump's comments there. We're not, I don't feel great about the way he or the State Department is going to handle this. One other reason to give you pause. So there was a recent conference in Rio. It was called the AIDS-2020s conference. There was a guy named Jeff Graham, who's the head of PEPFAR, the president's emergency plan for AIDS relief program, displayed a map of Africa, highlighting six countries, all of which were misplaced on the continent.

Nigeria was landlocked. The ivory coast was on Africa's east coast. Mozambique was in the Horn of Africa for some reason. So just, you know, shout out to Open AI, which clearly generated this map, but also shout out to Markerubio State Department for like, you know, really being a, the attention to detail is there could work. The thing about this is this was like a stupid era. And these aren't hard countries to identify.

Like even if you couldn't identify every single country in Africa, like, you know, Nigeria, because like these are not difficult. But the reason it hits harder is there's a history here of Trump calling Africa, you know, shithole countries of Trump letting in white South Africans and saying there's a white genocide happening in South Africa, of Trump boycotting the G20 in South Africa because of the alleged white genocide that's not happening, of zeroing out USCID, of basically just relentlessly indicating you don't give a shit about Africa while demonizing, you know, any migrants that come from there. So these things land harder.

Like, in a normal administration, be like, what a dumb fucking thing. And this one, it's like, what's the proof point that these people are racist assholes? Yeah, and it's like, oh, yeah, these dumb racist ideas literally don't care about us. And yeah, it is in fact true. POTS of the World is brought to you by Hymns. ED is more common than guys talk about. The good news is that getting real treatment is simple. Through Hymns, it's 100% online.

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counted and said this was his 13th such ultimatum. It's good reporting there. Then he backed down, which is obviously a good thing. It probably, it's likely that Trump backed down because he got a call from Muhammad and Salman, the Crown Prince of Saudi Arabia, or other Gulf autocrats that have given him bribes. Trump also tried to claim that the U.S. and Iran were close to cutting a deal to reopen the straight and then on the nuclear program, I don't believe that for a second. And then he whined when the Iranians contradicted him. Again, we're not going to go into all the details of this back and forth because it's just so tedious and repetitive. And this is like the cycle we're stuck in, but a few things that are important that we want to update you on. So first, there was a Reuters

report that the U.S. has used, quote, virtually all of its precision strike missiles during the war with Iran. So we're almost out of attack of missiles. Remember those were a big topic of discussion around Ukraine. We're almost out of precision strike missiles. and the U.S. has used about half of the U.S. stockpile of Tomahawk missiles, which, you know, there's wargame estimates of what would happen in the U.S.-China War. I think under, like, when we're fully, when the stockpile is full, we're out of Tomahawk missiles in a week. So being down to half of that stockpile means we're pretty screwed if we get into a fight with China.

Iran and Oman are reportedly working on a deal to oversee control of the Strait of Hormuz going forward. The gist is that ships entering the strait will have to use this route controlled by the Iranians that are close to Iran's shore, ships exiting the straight will pass closer to this U.S. preferred route on Oman's coast. And then Oman and Iran would split revenues from a service fee, which Trump will try to claim is not the same thing as a toll, but is obviously the same thing as a toll. Just for fun, Ben.

Here is Marco Rubio, Secretary of State. Is he still the archivist? I think he lost that job, right? He got fired his archivist. Yeah, and National Security Advisor. Oh, yeah, that one. He's talking about the importance of freedom of navigation at an event just last month. If we create a precedent in the Middle East where a nation state can decide that they are going to control an international waterway, charge a toll, and if you don't pay them, blow up your ships, we have created a very dangerous precedent, which will repeat itself in other parts of the world, including in this region.

So what is at stake here is not simply the issue of what's happening in the Straits of Hormuz. It's a very fundamental principle about freedom of navigation. And if that is threatened, then I think the global economy is threatened and the rules which have underpinned 100,000. and 50 years of international trade and commerce are also threatened. And that cannot be allowed to happen. Just remember that one going forward. Remember those comments? And then finally, Ben, there's these reports that Iranian hackers, or Iranian linked hackers,

have infiltrated municipal water systems in at least seven states. The first state to sound the alarm was Minnesota, where hackers got into about three dozen municipal water systems. Minnesota, then went public with this. That clearly helped other states kind of look into what was happening there and identified that they too had been hacked. And here is how President Trump thanked Minnesota for this good work at a press event recently. Let's watch. Can you rule out that Iran is behind that cyber attacks? I don't know. I think Minnesota is behind it. You know who's behind it?

Minnesota, because they're grossly incompetent. I think the governor's behind it. I don't think there was an Iranian cyber attack. I think that Minnesota ought to get its act together. So a U.S. intelligence thinks that Iran was hacking municipal water systems in the U.S. Donald Trump thinks it was Tim Walsh, who looks to me like, you know, he knows his way to run a computer. So, Ben, there's reports that CENTCOM has on the shelf an intensive two-week military campaign, if things go south in these negotiations. CNN reported that CENTCOM sent out a blast email to its team saying it was, quote, looking for creative and unconventional ways to pressure and punish Iran, just a big old brainstorm here on the war.

At this point, I don't really know what's left to say about this conflict other than that Trump has lost it and it's time to move on. But how concerned are you about the cyber attack element? That seems new and kind of scary. Yeah, I'd be concerned. I mean, there's a few different things to say here. First of all, I do want to say one thing about Markerubio. He laments the precedent being set by a power trying to control waterways at the same time that he, Markerubio, is supervising a, total blockade of any ships reaching Cuba with oil. Good point. So Marco Rubio is actually, in addition to being an idiot, who's made to look like a fool day by day because Donald Trump contradicts him on Iran talks, he also is like wildly violating his own rule when it comes to the free flow of shipping when it comes to Cuba. The attack comes, the idea of the U.S. being

almost out of these precision, I mean, this is, again, like we, because, Congress is so ineffectual, and the Pentagon doesn't tell us anything. I know we say this every week. We have, the cost of this war is staggering, and it's hundreds of billions of dollars, and it's replacing all these weapons systems, and it's fixing all these bases, and it's caring for all these wounded service members. We don't know how badly wounded they are. It's all these things. And so this kind of reinforces the price tag of this thing is just much higher than they're telling us. And it's frankly, you know, I'm not like Mr. Readiness over here, but it's never good when you run out of weapons, particularly defensive ones.

It's just another stupid, and they'll try to blame, like, Ukraine. I've seen them try to blame Biden for giving assistance to Ukraine. Look, if you didn't launch a stupid war, we wouldn't be running out of these things. So if I was, you know, a Democrat, I wouldn't have a problem taking that fight on. Now, on what's happening, I think the basic simple thing that people need to keep in mind is that because the United States has far more to lose from chaos, from global economic, shortages than Iran, we lose any escalation battle. And if you look at what the Iranians have done recently, they've shown that they have different ways to escalate. So after this kind of latest round

began, you saw them attack Jordan and Kuwait and expose the fact that there are less defenses, that if they expand the map of the countries that they're willing to attack, to basically be anybody that hosts any U.S. military facility in the Middle East, there's just not a enough defensive weapons in the world to protect all those places. So that inevitably, if the U.S. does its big, two-week show of force here, there's going to be a lot of damage and a lot of destruction. Yeah. And a lot of death, tragically, in these other countries. And so these leaders are surely calling Trump and being like, don't escalate. They're going to like rain down havoc on us. And never mind the fact that the continued shortages to the Strait of Hormuz and disruptions

and all these different markets. is going to hurt the American economy, and the Iranian economy has been ground to a halt by blockade and sanctions for a long time. They can weather that. The Iranians have a pretty sophisticated cyber capability. So the idea, and Iranians are very reciprocal, so the idea that if you bomb our water supply in Iran,

we're going to launch cyber attacks to disrupt your water supply in the United States, I believe that. And so what the Iranians keep demonstrating is, like, escalation. There's not some level of escalation that the United States can reach that isn't going to end up hurting the United States more than the Iranians because we just have more to lose than they do. And our friends and partners and allies, whatever we want to call them,

the Middle East have more to lose than the Iranians do. So every time this thing ratchets back up, it's worse for us than it is for the Iranians. And there's just not some magic list of targets here. There's not something we can hit in Iran that we haven't like, I mean, we hit everything on the target list. Yeah, if there was a list that we would have hit it. I mean, that's why.

Yeah, we hit it. So what are we doing now? the only thing left is war crimes. Or hitting the same ship we've already hit, which I think is a lot of what we've been doing with these airstrikes. And I do want to say, like, and I've said this before, but like,

there's this kind of reflexive thing where we're like, well, the military is doing a great job. It's just, I don't, I'm not, I don't know that, I'm sure that men and women that are, like, told to do difficult things are doing a great job executing orders. But, like, I don't know what the fuck Sentcom strategy is in this war.

There's a thing called the Joint Chiefs, staff. Their job is war planning. I'm sure Sencom is very much in on that game, too, when it comes to Iran. If you're doing a no bad ideas and a brainstorm all staff email for like, yo, how do we win the Iran war, it does suggest that the planning wasn't quite as good as

it might have been, or you would have wanted it to be. Yeah, you should have done that before. And to be, now to be sympathetic, they don't know what their mission is, Tommy. They're told, hey, destroy as much of the Iranian nuclear program from the air as you can.

well, they've done that. They bombed all the targets. Maybe they haven't bombed this mountain where they maybe predictably moved all this stuff. But, I mean, they've emptied the kit on the nuclear program. They were told to topple the Iranian government, well, you can't do that with airstrikes. Now they're being told, well, like,

reopen the Strait of Form moves when Iran is right next to the Strait of Form moves. And so there's just not some military option that we're going to pull out of a hat, like six months into the war that's going to make Iran come out and capitulate. Everybody knows that. And that's why, you know, when Trump says the Iranians are desperate to talk, that means

Trump is desperate to talk. When Trump says, we're only talking to the Amanis, well, that means he's talking to the Amani's who are talking to the Iranians. Like, he's just gaslighting and lying his way through this thing. Right. And hoping that enough people who watch Fox News believe that the Iranians are begging for talks, that's clearly not what's happening. And I think one of the things we have to get acclimated to is that there may never be a deal.

Because the Iranians may just decide, like, we don't need a deal. I mean, maybe there'll be some deal like where they essentially are making a toll on the straight-of-form moves. But even if that doesn't happen, I think the Iranians are like, well, we're going to find a way to extract some revenue from that straight. And the Americans will move on and, you know, maybe invade some other country. And that's it. Americans lost this war. Trump has lost this war. It is not going well.

Speaking of war, it's not going well. Let's turn to Gaza. Last week, Trump posted the following, quote, Today the Board of Peace reached a historic agreement for the complete disarmament of Hamas. and other armed groups in Gaza. This is a monumental step towards lasting peace and security. The agreement will be carried out in a carefully structured phases, as disarmament is completed, Israeli forces will withdraw,

and the international stabilization force will work with a new Palestinian police force to take responsibility for Gaza being safe for its residents and its neighbors, end quote. So as with all Trump announcements or claims generally of progress in Gaza, we are quite skeptical. Here's a couple reasons for that skepticism. First, a member of the Hamas negotiating team told the Wall Street Journal the following, quote, we didn't say disarmament, we didn't say handing over the weapons, and we didn't agree on any Israeli involvement.

So other than that, Mr. Trump, the accurate statement, that same negotiator told CNN that the weapons would not be decommissioned or destroyed. Rather, the plan is to put them in storage supervised by this technocratic National Committee for the administration of Gaza. However, that committee has been blocked from entering Gaza by Israel and remains just like they're sitting in Cairo or somewhere in Egypt. There's also this dynamic where the Israelis want Hamas to go first. Hamas wants the Israelis to go first.

So Hamas wants Israel to withdraw from parts of Gaza that it is currently occupying and then let more aid into Gaza before they will disarm. But no one expects Netanyahu to do any of that before his October election. So the most likely outcome is just kind of the status quo. Then you have, you know, Netanyahu being pretty silent about this deal while the far right attacks it. We know that historically Netanyahu always tax right when he is in political distress. And then we should say like the IDF has been pounding Gaza. I mean, there's been like thousand plus people killed since the quote unquote ceasefire that everyone celebrated.

There are 30 people have been killed since this just new deal was announced. So like it doesn't, you know, not a very, not a lot of ceasing to fire. There's a lot of firing happening by the IDF. So Ben, big picture, like life is hell for people. Gaza. You have millions of people live in tents. Israel restricts the entry of the most basic things you would need to do reconstruction. The water systems are broken. People are getting sick from drinking just basic water. Medical infrastructure is decimated and in short supply and still getting bombed. There are disease outbreaks. I'm sure you've seen the photos I have of just babies with like chicken pox, just like horrendous stuff. And so you're in this weird place where obviously we want this ceasefire to work.

we want things to improve for people living in Gaza and for Hamas threat from Hamas to just to not exist for Israelis. But it just feels like this entire kind of board of peace process is distracting everyone from doing the actual work that is needed to make life better for people or push the process forward. And instead, we're just kind of stuck. I mean, this announcement kind of came out of nowhere. And look, it's just a factual point that I would not stake anything on this happening. I mean, immediately, you have Hamas and Israel backtracking from this announcement that they didn't really make. Like, Trump announced it on true social and, like, the Board of Peace put out a statement. And so if neither party that actually has to take action says that they're

willing to take that action, then what the fuck are we actually announcing here? Right. And, like, what's the point of doing it now? Other than the fact that the Board of Peace has done precisely nothing since it was inaugurated. So I'd be very unfortunately skeptical that this is going to happen because Hamas is not going to disarm if Israel doesn't withdraw, and Israel's not going to withdraw. And so I don't really know what we're talking about here. I will say something interesting, Tommy, which is people are on to this now. You know, if you think about it, the first time there was an announcement of the Gaza ceasefire. Like everybody in the world showed up for the photo op with Trump, in Egypt, remember? And you add all these European leaders there, sucking up to Trump.

For some reason, I think you had Infantino that of FIFA was there. I think he was, actually. And, you know, credulous press coverage. Remember, the 60 Minutes, you know, Puff piece on Jared and would cost diplomatic breakthrough. Well, what have people seen? They've seen that there have been like thousands of Israeli air strikes on Gaza. There's been no disarmament of Famas. There's been not the amount of aid getting in that was supposed to get in. We've all seen Netanyahu tell the IDF to take more territory in Gaza to take over 70%. So I do think there's something interesting about the fact that nobody took this seriously. I mean, except I saw APEC put out a statement demanding that we all welcome it. But, I mean, like, there's not like a credulous media or international diplomatic response to this.

And I do think that shows that Trump's kind of smoke and mirrors true social. announced something before anything is agreed and get all the credit, doesn't work anymore. Like, we are, we were one place in, because I think that Gaza Seas Fire was about one year ago. It was like, it was plummeted. Yeah. His political standing in the world is plummeted. And that's important. Like, this, this game doesn't work.

Maybe it works on Fox News. Maybe it works with Jesse Waters in the Five or whatever. But, like, it no longer travels in the world. And, and I, you know, as much as I wish that what do you. he's posting was true, I think that's healthy, that like he can no longer be this kind of Wizard of Oz, like conducting how everybody acts and everybody's pretending like he solved problems that he hasn't. This podcast is sponsored by Squarespace.

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Let's talk about Japan and the Japanese yen for a bit. We can talk about a fallout from the Iran War here. You guys might have seen a Reuters photo from last week of Treasury Secretary Scott Besson's unusual to-do list. This is from Friday. it said, to-do, buy Japanese yen five to ten bill billion. It's a little different than my to-do list, Ben. It turns out that what this was referencing is the U.S. and Tokyo worked together to buy tens of billions of dollars worth of Japanese currency, the yen, which recently hit its weakest level against the dollar since the mid-1980s.

Now, you might be wondering why on earth would the United States do that? A couple reasons. First of all, Japan owns nearly $1.2 trillion worth of U.S. Treasury bills. They also own like billions of stocks and other U.S. assets. If Japan starts dumping U.S. Treasury bills to raise money to buy yen, then it would increase the yield on U.S. treasuries and make it more expensive for the U.S. government to borrow money. So that's one reason. There would be other ripple effects, too. Japan recently had to increase its interest rates because they were worried about inflation thanks to the war in Iran.

Japan increased rates to 1%, which is very low, but it is still the highest they've been at in 31 years. Japan has had near zero interest rates for decades now because it has been stuck in this deflationary cycle where prices just won't go up, which ironically is actually a very bad thing, because it can lead to a spiral where people stop spending because you're like, well, the price might go down. So why by now? You'll have businesses cutting back and stopping to grow. And you'll have debts become harder to pay off because of deflation. So one side effect of Japan's low interest rates were it also popularized an investment strategy called the yen carry trade. that was when investors were borrowing money in yen because it's cheap, right? The interest rate is really low.

And then you use that money to invest in something else of the better return. So, you know, the kind of the safest version is you borrow in yen, you buy treasury bills, and you pocket the difference in the yield. But you could also buy something riskier like stocks. But when yen prices go up or the interest rates in Japan go up, Japanese banks ask for more collateral, which can force those investors to dump assets, to buy more yen. and it can trigger this vicious economic crisis that can spiral. So long story short, it is very much in the U.S. interest for Japan's economy to stabilize, which is why you saw this weird thing where the Federal Reserve Bank of New York sold a bunch of its holdings of euros to buy yen on behalf of the Treasury Department.

So this intervention seems to have worked for now. It's sort of stabilized things for now. But some smart kind of Wall Street folks I know said to me, the fact that the Treasury is involved in the first place and is this worried should make you very worried, right? Because they know, I mean, the systemic risk here. This isn't like America doing this out of the goodness of our hearts. This is America intervening to prevent the fourth biggest economy in the world and the largest holder of U.S. Treasury bills from going into some sort of like financial doom spiral and pulling the world down with it. The other thing to worry about is that high oil prices or energy prices have been really hurting Japan.

consumers lately and kind of creating all this friction in the Japanese economy, leading to inflation and leading to their banks to raise interest rates, their central bank to raise interest rates. And obviously, as we discussed earlier, like, there is no end in sight to the war. So, you know, they're all kind of like spinning plates trying to like manage the economy in Japan and the global fallout from interest rates and the war and everything else. But like, you know, every action you take has other consequences and you just sort of don't know where we're going to end up. So, Ben, very interesting story, a pretty worrisome story.

I kind of feel like it's not the end of this one. But what did you make of this? And, you know, fucking Besson's to-do list. I feel like you could have been a little more vague on that thing, buddy, unless maybe the goal was for everyone to see that to-do list and that to become the story. Because really, like, the Treasury Department didn't really buy that much in aggregate of yen. But like the symbol of us doing it with Japan was a big deal. There was a big message to the markets.

Yeah, I'll do this. call back to another Trump first-term thing. It's like when John Bolton had like that briefing. Yes. He was Trump's national security advisor. And he had like 5,000 troops to Colombia on like a to-do list that he was like showing. Well, it was very strange. Anyway, a couple, this is a really important story. I implore Worldos to pay attention to this because it's going to matter to you. And there are a couple things that jumped out to me. Like, first on the impact of the war, to put this in like perspective for people, Japan does not have domestic sources of oil and gas.

they import almost 100% of their fossil fuel energy, almost all of that from the Middle East. And to be specific, there are some estimates when I was like looking into this that they get up to like, you know, 90% of their crude oil through the Strait of Hormuz, right? And so you can imagine what the disruptions of the Iran war doing to an already strained Japanese economy

that has depended on these low interest rates but is now obviously dealing with inflation because of the diminished supply. And so one, it's just a case and point. We've heard about how this is impacting poorer economies that are having to ration energy. Well, this is like a rich country that is like teetering on the edge of the financial crisis,

in part because of the war in Iran. I think the second thing that is even more worrying is the reason the U.S. did this, as you pointed out, Tommy, is because they own over a trillion dollars in U.S. treasuries. And again, people may not follow this, but the basic reason that you're allowed to have the standard of living that you do if you're American is that we can just borrow infinite amounts of money set against the value of U.S. Treasuries. It essentially, you know, our debt, our treasuries are worth it for, you know, people to go to a stable financial instrument. They're by allowing us to spend far more money than we have here in the United States. And if the bottom starts to fall out of that, you know, if there starts to be instability in treasuries, like the whole system under which our economy operates and the global economy operates could be pretty fucked.

And the thing that worries me about this, Tommy, and like why I think it's important to recover stuff like this is that there's like a lot of, you know, I remember when I was in the Obama campaign in 2007, I drew the short straw in like, I don't know when it was. It was like the spring of, actually it was 08, it was beginning of 08. I had to write this speech about financial regulation. And I had to talk to all these nerds like Austin Goolsby, who's advising. He's a great nerd. He's a great nerd. He's a great nerd. He's a funny nerd.

He's a funny nerd. Great guy. And they're like, well, yeah, there are all these warning signs, you know, like the housing markets, like showing some bubble and the numbers kind of don't add up and nobody's minding the store. And it kind of stuck in my head because I didn't pay much attention to those things. And a few months later, we had the financial crisis where the bottom fell out. Well, between like bailing out the Japanese yen, this kind of AI bubble that the stock market exists on where essentially a few companies are spending extraordinary amounts of capital, building like data centers.

And that's like propping up the economy. But who's really getting enriched? It's kind of like a few people who run those companies and maybe some shareholders. But like none of that wealth is actually reaching people. it feels a pyramid scheme-ish, you know, like we're betting that this technology is going to make all this growth without knowing how it's going to do that. That seems kind of worrisome to me. Like inflation said, you know, the need to use interest rates to tame inflation set against the imperative of maintaining growth. Like the numbers, I'm not like some financial wizard here, as a relative, you know,

novice at this stuff, I can tell you that there's a lot of numbers that aren't adding up, and there are a lot of warning signs out there. Yeah, look, I mean, the 10-year yield is now at 4.64%, which is pretty high for the 10-year. Like, the Fed can try to control rates, but ultimately they don't control interest rates. They control treasury bills, but then the markets take over, and they control the price and the yield on these things. And so, yeah, you're right, there's like a lot of warning sites. There's this, there's what's happening in Japan, and Japan is coming at the end of, like, a 30-year

experiment in financial engineering and zero interest rates to deal with, you know, the fact that their population is shrinking and all these sort of systemic issues. You have this AI bubble that kind of keeps partly popping but then getting reinflated because of all this enthusiasm around a couple companies. You have just the instability of the war. And I'm with you. Like, who knows, maybe we'll bump along for another five, six years and, you know, America doesn't care about bubbles anymore. And it is what it is. But there's just, you know, we've seen, you know, real small things. Like, Silicon Valley Bank? Remember, you know, this bank, like one bank in Silicon Valley starts to unwind and presents a systemic risk the entire economy to the point where the Biden administration had this

step in and rescue it. And so God knows what will happen as a result of these pretty remarkable steps to step in by the New York Fed and the Treasury to rescue Japan. Like there is going to be some sort of second order, third, or whatever, fourth order reaction to this step. And it's going to be unpredictable and, you know, hopefully nothing bad, but we just don't know. Yeah, and last thing I'll say about this is, first of all, the war's role. Like, if there ends up being a financial crisis, like file away the war is one of the things that was like, you know, that last piece of strain on a global economy that was already running on a bunch of fumes.

But then the other thing I just tell people is that if you've watched since the beginning, I remember when Trump did Liberation Day, right? the markets kind of dealt with it like it crashed and then came back. It's the people dealing with treasuries. It's the long-term yields people that have been more the reality check on some of the Trump economic moves or some of the seeming, you know, contradictions in the global economy. So the people in the like the markets or the futures, like they're the people at the casino. Like they're the people just trying to like win one more hand. Like I'm on a roll at the tables and I'm going to keep playing until I lose.

Keep your eye on these more structural pieces of the global economy, including treasuries, including interest rates. Sometimes they're kind of the canary and the cold mine for this stuff, while everyone over on Wall Street is punch drunk. And also, recently, a lot of them are buying with leveraged, you know, they're working with leverage. They're taking out loans. They're buying with money they don't have.

That's pretty scary. There's a lot of that going on. A couple, one of the things on our corruption watch, Ben. So you and I celebrated the hell out of kind of the great side of international soccer and the World Cup tournament, the FIFA World Cup. Now we're going to talk about the dark side of FIFA, the corruption, and the brazen self-dealing. So fans, players, international football associations were all outraged last week when FIFA President Gianni and Fentino announced a plan to privatize, spino, and sell to private investors a piece of the kind of the most lucrative financial parts of its tournaments.

specifically, if you wanted to create a subsidiary called FIFA Forward Enterprise or FFE, that would handle the broadcast rights, the sponsorships, the licensing, and the ticket operations, all the big money stuff, and then sell shares of it, kind of like a startup raising an investment round. And the kicker was that the lead investor for this scheme was called Thrive Eternal, which is a big investment company run by, wait for it. Jared Kushner's brother, Josh Kushner. I wonder how we got access to this deal, Ben. So Thrive's plan was to buy a 20% stake was like $4.1 or $2 billion at a $20 billion

evaluation. Now, this became public and most of these like 211 FIFA member nations and like all the football associations that govern them learned about the deal in the press and they were fucking pissed. UEFA, which is the association that represents the 55 European clubs, said they would boycott the next World Cup. have had the winners of the World Cup, Spain, boycotting the World Cup. The North American and Asian associations also voiced opposition.

I think only the African Football Association was sort of like silent on it because, I don't know, they were, they're trying to get more player development money out of. Inventino also spreads money around. Yes, yes, that's how we got the job. So it also was clear that, like, this was just Infantino's pet project. He had not really read anybody into it. There was no buy-in on it. It was just like a thing he cooked up on his own and just announced.

And the Times, the newspaper in the UK, the Times reported that Infantino wanted a $30 million salary and bonuses to run this new entity. So this was just a cash grab for him. So within days, this thing is getting pilloried. Infantino retreats. He kills this plan. But now his blood is in the water. And Wales, England, Serbia, and Sweden say they no longer support Infantino's re-election for a new term as president of FIva. So this guy just went from riding high.

like everyone's saying this is the best World Cup of all time. I think it made $9 billion, some crazy amount like that, to a bunch of really important member states saying, we want you out of here. The New York Post reported that Infantino had tried to call Trump and Marco Rubio to get some sort of public backing. I get why he would do that.

Those are probably the highest profile people in his call log or his contact book. But also like Infantino's relationship with Trump and the Flo Balagin Red Card situation is probably part of what got Infantino in such hot water with these European clubs. So the next election to be head of FIFA is until 2027. Currently, in Fentino doesn't have any real competition.

But I think the hope is to use this moment, the backlash, the outrage, to get new candidates to enter and declare their candidacy before the November 18th deadline. It's just crazy, Ben, that FIFA is a nonprofit. Like, why would you need to get investment capital after you just have the most profitable World Cup of all time? It's just like it's so brazen and shameless the level of grift. And the fact that, you know, there was literally a Kushner involved on the other side of the transaction is just like, it just shows you these people have no shame. Yeah. This is a really important story, I think, because it ties into like your interview too in the sense that like Infantino is like a walking advertisement for the corruption in the world today, right?

Like he doesn't try to hide it. You know, everything that guy does is about him trying to self aggrandize, self-enrich. as like a Kushner, he's most comfortable with, like, Trump and, you know, Gulf monarchs and, you know, people like that and has no time for, you know, democratically elected leaders other than Donald Trump, you know. And you could just sense the corruption. Like, it just oozes off the guy, you know. And if you look at what's happened here, this is clearly pissed off the Europeans for some time now. if you're the Europeans, if you're UEFA, the European Football Association, you're also probably thinking, well, wait a second. So we saw this guy in the middle of the World Cup potentially affect the play, and I'm going to go there by like reinstating Balagoon or the U.S. striker who had a red card because Trump asked him to. And then on the back end of that, he's giving Jared Kushner's brother like the stake in this investment where he's monetizing. you know, the global game for his own personal benefit. Like, those things connect, you know, to if you're European,

that, like, we're being cut out of this for this own guy's self-aggrandizement. And who knows, this may end up impacting the play. You don't need Inspector Coluso to do the connection either. It's like literally a Kushner getting paid here. You know, Jared's getting the fucking fee off of them. Yeah. And so how can we trust that our teams are going to, you know, be on a level playing field? You know, he's going to be putting his thumb on the scale for different

teams. Like, that's how corrupt this guy is. And so they're pretty, I think they're like, this is the blood in the water. We got to get rid of this guy now. And the way in which Infantino operates, it's like a page out of the Ken Martin D&C book where, like, he spreads money around. Can I bring together the PSA and PSTW? You can. Although the only way I'd poke holes in this is Mr. Infantito can raise money.

Mr. Martin cannot. But like in the same way that it was kind of weird that like Ken Martin, was like as someone who's just a passive observer of that and not as deep in as you guys, I saw he was like giving like far more money like per capita to like Guam and you know places like no offense to the territories

but it felt like he was you know making people like patronage yeah who could vote for him happy. Well Infantino's done that with some of these smaller countries and some of these smaller football federations at the same time that he has a lot of goodwill with like Qatar who got his back. They're one of the few people that got his back

because you know when people were doing podcast with names like world corrupt around the World Cup in Qatar. Remember, he gave that speech, like, today I'm a Qatari and almost. So, like, he has, like, his base, but his base is shrinking. It's like the federations of smaller countries where he's tried to spread some money around. It's, you know, the Gulf that he's rewarded with the Qatari World Cup and the Saudis have one coming. But the Europeans realized in a way, like, this is what's interesting. Is this going to be a predicate for geopolitics too. Because the Europeans realize, well, if we all get together and we act as one and we say, we're not playing in the World Cup, there is no World Cup.

You can't have a World Cup without European football teams. So I think that, like, question one is do they succeed in essentially throwing him overboard? Feels like that's possible. And I really mean this. Like, are they going to draw a lesson from this? Maybe we should apply this theory to other realms of geopolitics. If all of Europe acts together, wow, we actually have some power. Yeah, one would hope. I mean, FIFA is just a hopelessly corrupt organization. I mean, the last president was prosecuted, banned from football for, you know,

however many years. Infantino was the guy brought in. It's supposed to clean up the place. Obviously, he has not. But, God, whether there's just this much money sloshing around, I think it attracts some terrible people, and it really does. It just sucks. There's all these fans, there's all these players to have to watch this terrible

parent organization that no one should have to know about or give a shit about, kind of ruin the reputation of the sport is so maddening. I mean, you're watching these World Cup games and they're, like, contractually obligated to cut to Gianni and Ventino's ugly face with some, you know, annoying VIP three times a game. It's like, what are we doing here? This is stupid. Imagine, can we just have, like, better run institutions? I mean, imagine there's, like, just some good person running FIFA that you felt good about. I mean, like, please, like, just anywhere. Can we just put someone good in charge of an institution somewhere? Yeah, that would be nice. Like Rick Cornell at the Kennedy Center, you know, like that I think is the

model for good government. That would be a good model. Finally, Ben, I'm not sure how this one got on the rundown. A Spider-Man screening in Cartagena, Columbia, it ended abruptly after what the New York Post described as an uncontrollable bout of rotten flatulence. Have you heard about this story? No. Are you a Spider-Man guy? Are you a fan of Marvel? Marvel. films. Interesting thing telling me about me is that as a kid as a huge Spider-Man, I collected the comic books.

But I kind of never got that deep into the, you know, I was there for the Toby McGuire, the Tom Holland era. Like, I like, it's not a knock on Tom Holland. I just kind of I lost interest in the Marvelverse at a certain point. It's a big summer for Tom Holland that we say maybe it ended in Cardahan. I don't know.

Yeah, well, we'll see. I mean, what, this is, you know, this is your classic New York Post story. It has great captions on the photos, like an aghast audience member covers her mouth and nose. Another one I liked was film goers, including a Spider-Man cosplayer, stand in the lobby following the mid-film fart attack. So what happened was,

all these fans had to flee the theater into the hallway. Check out this footage that someone took of an absolutely jacked Spider-Man, or man dressed in a Spider-Man costume who himself had to flee from the odor. The idea of wearing a Spider-Man outfit to a movie the odd thing as an adult.

Now, there's some debate, Ben, over whether this was a stink bomb, or someone in some dire gastrointestinal states. Many couldn't take the stension left. Some true Marvel heads headed back into the film, to the theater to finish out the movie. The real hero here is journalist Ben Kost, the New York Post,

who managed to make this into a 350-word article about a story about a fart that smelled bad and got us to cover it. To paraphrase Michelle Obama, when we go high, we also go low. And usually it's the last story of the segment, which I guess we fit in, because it happened abroad.

Someone farted abroad. I didn't see this on the outline. No, it wasn't on there. But just to once again try to cross-door is Bobby Kennedy now in charge of the food management, lettuce management in Columbia? Are you talking about his only kimchi diet? Oh, no, you're talking about the explosive. Apparently he's like only eating.

I'm not talking about the explosive diarrhea that's infected our country. Maybe that's become contagious, I don't know. Yeah, maybe they're serving lettuce at this film. Anyway, that's all we have to say about that. I guess, go see Sp-I-I don't really care if you see Spider-Man. I guess Michael got us to talk about it. Yep, yep. He wins.

We lose. We are going to take a quick break, and when you come back, you're going to hear my interview with Casey Michelle about his new book, United States of oligarchy. Stick around for that. It's a very important conversation about, like, all the American oligarchs, the way they're perverting our democracy, and then what the hell Democrats in Congress could actually do about it.

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My guest today is the author of the excellent new book, United States of oligarchy, how America's wealthiest ally with dictators weaken the U.S. and destroy democracy. It seems like you have a take on this oligarchy thing. Casey Michelle, welcome to the show. Welcome back to the show, I should say. Tommy, thank you so much for having me. It is great to see you. This is a subject near and dear to my heart, to the show's heart. And I think, honestly, one of the most important things that we should be talking about

because corruption is so endemic to this administration and harming our government and harming our democracy that we need to put more focus on it. So I'm glad you wrote the book. I want to start with a hobby horse of mine, a person in the Trump administration, sort of, who annoys me the most. Jared Kushner, you might have heard of him. Jared, as folks know in the first term, fancied himself, the shadowed Secretary of State. He used that position to build relationships in the Middle East and then left and

cashed out hard, getting billions from the Saudis and others in the Gulf. Now he's back as sort of this outside advisor, unofficial advisor, ostensibly working on Gaza, but also Iran, but also the war in Ukraine. He solved a lot of conflicts, things that are going really well, like Iran and Ukraine. Can you talk about how the Gulf states cultivated their relationships with Kushner and how you believe they now have leverage over him? Yeah, look, I mean, Tommy, I, I, I, I mean, I'll begin by saying, I frankly can't imagine what it's been like for you watching the rise of Cusherns. One thing to watch this from the outside. It's one thing to watch this from, you know, certainly my advantage about concerns about corruption,

its impact on foreign policy, et cetera, et cetera. But for someone like you who was, you know, right there in the thick of it, to see someone like Cushner then come in and be at the center of everything from Israel and Gaza to Ukraine and Russia to Iran, I'm sure you have some thoughts, probably very similar to how to feel about it. You know, that's what I think. Meritocracy at its best. That's why I've written so extensively about him in the new book to applaud all of these well-earned. positions and now billions of dollars that he has attached to his name. I mean, look, the cultivation of Kushner goes back to the first term, goes back to Donald Trump's first term when Kirstner was brought in, again, with no regional expertise, no familiarity

with local histories or dynamics, certainly didn't speak any of the local languages, and yet was nonetheless appointed to oversee Donald Trump's Middle Eastern portfolio in Trump's very first term, which of course now seems like a thousand years ago. And it was almost there from the very beginning that regimes a place like Saudi Arabia, the UAE and Qatar were at least interested in seeing what they could do to bring Kushner over to their side. And they did not have to wait long. There in Trump's very first term as, first year as president back in 2017, you already had Jared building up relationships with Muhammad bin Salman, MBS, over in Saudi Arabia. Frankly, it even goes to right after the election

in late 2024, even before he was in the White House, who had figures like MBZ, the still ruler of the United Arab Emirates, canceling lunch plans. with President Obama to secretly meet with Jared Kushner again, because he and BS and a number of other figures in the region and later eventually around the world realized just how easy it would be to buy favors effectively from Jared Kushner to invest in either his properties or pledge things down the road. And of course, when Jared Kushner left the White House in early 2021, it was in a matter of days that he was not only setting up his new investment organization

affinity partners, but of course going around kind of hat and hand. to the Saudis, to the Emirates, to the Qataris, and others, and saying, hey, I'd love to see what kind of arrangements we can set up if you help finance new affinity partners. And, you know, some people looked at it and said, maybe not now. There are some Saudi officials who actually declined to invest, but MBS came and overruled them saying we need to maintain this relationship. You never know where it's going to go. And of course, here we are watching where it's going. In the first term, Jared had to disclose his finances, right? There's financial documents. there's ethical restrictions on him.

Now that he's an outside advisor with not an official role, does he have to disclose anything? What do we know about his business relationships, his finances, et cetera? So as he would say, no, he doesn't have to disclose any of it. As he has said, he's just doing his patriotic duty, representing the United States of America, again in what just so happened to be the most inflamed geopolitical hotspots around the world, Israel, Gaza, Ukraine, Russia, and, of course, Iran.

That's what he says. So he has not disclosed how much money he or his firm are taking in, what they're doing with that money, what is bringing them the greatest amounts of profit. You know, there were some figures like Senator Ron Wyden, Jamie Raskin in the House, who tried to get some insights into Kushner's finances even before Trump's re-election in 2024. And they got some information, but not all. We know that there's a whole world of details and financial arrangements that we still do not have insight into. Now, the trick is, though, Trump has still declared him as a special envoy.

I believe anvoy for peace, if I remember correctly, which should theoretically require him to make those disclosures within either a 30- or a 60-day window, and we're long past that. So, again, this is a, I think, a ripe question for, let's say, congressional Democrats. If they take the House and potentially the Senate, Jared Kushner is sitting there front and center for some potential hearings down the line to get more insight. Yeah, I mean, I can't overstate how important that is to me in this. show, and I will scream at anyone who does not prioritize it as well. So let's say Democrats take the House, God willing, we take the Senate too.

But they could, what, they could subpoena documents directly from Jared, they could get them from banks? Could they subpoena from affinity? Like, we need to get on this fast, right? As long as they are the ranking member of the, or the ranking members of a committee, then, yes, they have subpoena power. Of course, if you're in the minority, you can still try to subpoena, but no one has to comply with that.

But yes, if they get the House and potentially the Senate, we're talking about what we're talking about what could look at either high level or maybe even selects committee hearings into Jared Kushner. I want that to be the first thing some of these committees do. I hope staffers for members of Congress are listening. I also want to ask you about Steve Witkoff, who's kind of dumb partner in crime. He's the, Whitkoff is the golf buddy turned envoy for everything. Whitkoff is now this roving diplomat. He meets with Putin all the time. Sometimes he goes by himself. He doesn't even bring a note taker. He doesn't bring anyone from State Department. He doesn't get briefings from the CIA. He just kind of wings it. He's doing stuff in Gaza. He's just sort of everywhere.

Whitkoff's son is running the Trump family crypto business. What do you make of Whitkoff's role in the kind of Trump family kleptocracy? And can you give us your sense of how crypto fits into all of this? Well, look, Whitkoff is only credentials again for any of this, whether it's in the Middle East, whether it's in Ukraine and Russia. The only credential he has is because of his close ties to Donald Trump. Of course, they go back years and years in the New York real estate scene. He doesn't have any expertise. He doesn't have any other kind of credentials for this.

And by all appearances, he is perhaps the single most gullible figure American diplomacy or an American president has ever produced. I just imagine him going into these meetings with Putin and some of these others with, you know, wide eyes. And he's kind of this puppy dog look and willing to lap up anything and everything Putin is saying, because that's, by all appearances, everything that has happened. And look, there's plenty to criticize Whitkoff for, and there's certainly plenty that I've criticized him before. But it is.

I'm very happy he brought up the role of his son, Zach, who is, in many ways, very similar to the Trump children, riding on the coattails of his father, and by all appearance, is more than happy to monetize as many of these relationships as he possibly can. You know, Zach Whitkoff, you know, he was a relative unknown, even more than Steve coming into Trump's second administration. But because of the crypto industry, the younger Whitkoff was able to catapult himself to significant wealth.

And again, this is a broader story about how crypto has enmeshed itself with Trump, with the Trump family, with the Trump administration. On the one hand, it's kind of a story as old as, you know, industry versus regulation. The industry wants to see any in all regulation demolish. But of course, with crypto, you have what we're talking about is the ease of financial maneuvering and financial movement with a click of a button without any kind of regulation, any kind of transparency. which is in many ways a money launderer's dream, or maybe even the dream of a foreign regime that is looking to directly bankroll a sitting American president and his family.

We have never seen a tool like this in terms of the ease of access, the speed, and of course just how high up it goes in the administration, which is, again, why the crypto industry has been so happy with President Trump and those he's appointed around him. Yeah, it goes a couple of different ways. I mean, there's the money they're making off

of the crypto industry and the products and the way they're kind of bilking investors. There's a great piece in New York Magazine last week about Justin's son. It's kind of like sketchy crypto billionaire who bought into World Liberty Financial and got screwed by them and is now taking them to court. It's worth reading. It's interesting. But then there's also the fact that half of the Trump family crypto business was secretly purchased by this Emirati backed firm, investment firm. I think was it before the Trump administration even started? It was either right before or right at the beginning.

And again, as you said, it was secret. No one knew about this for months and months afterward. Unbelievable. And look, I mean, this is, again, a case study not only in terms of how easy it was to set up something like this, but now we're talking about real national security concerns because all this was happening simultaneous to Trump overruling all of his national security experts that he still does have a few of them, at least around, and saying, while we are receiving millions, tens of millions, hundreds of millions, if not billions of dollars from Emirati's sources via crypto, we're also going to be sending them

all of these high-end chips that only the closest American allies have access to, despite all of the concerns about the Emirates then doing whatever they want with those chips, whether it's domestic, using it with their own Chinese partners. The list goes on and on. I mean, look, this is, what's the phrase, right? There's so much smoke around this, you could choke on it. This is in any other administration, the single biggest scandal that we're talking about. And you and I, Tommy, we talked about whether it's the Katari jet,

you know, this case with the Emirates, this is this kind of outbidding of regimes for Trump's affection one after another after another, and I have no idea where it's going to end because it's already been a disaster where we are right now. God only knows what we don't know. Before we go on to some other American oligarchs, can you give us your definition of what an oligarch is and talk about sort of oligarchs through history? Because a lot of listeners might be aware of Russian oligarchs, because they have been talked about a lot in the media, but not aware of others in other countries, either today and historically speaking. So look, one of the reasons that I wrote the book is because, as I discovered, the term oligarchy, it's a pretty contested term. It's a little slippery. We have

Aristotle to thank for that. He was the first one that popularized the term thousands of years ago. So shout out to Aristotle for that. As he said, I mean, look, the root of the term literally means the rule of the few. And he said, yes, that's all fine and true. It is the rule of the few. It's when just a few number of individuals are overseeing a country or a state or an empire. But again, it's not just, as he said, about the number of people. Tommy, if it was you and the rest of the pod, save crew running the United States of America someday, that is not necessarily an oligarch. Your lips of God's ears, my friend. At some point, 28 is right around the corner. But as Aristotle pointed out, you also had to have those few be the wealthiest of any given nation,

any given state, any given empire. So again, what Aristotle laid out, it's not just the literal definition. Rule of the few, you also have to have the wealthiest there, which I think, certainly on my end, helped clarify things. Because again, you know, oligarchy, you think, Is there just a couple people here and they're running something? No, they have to be the wealthiest. So in the American context, the thing that comes to mind most clearly is going back to the Gilded Age. When you had all of these so-called tycoons or robber barons who were, by any other name,

oligarchs themselves, the Vanderbiltz and the Carnegie's and the Rockefellers and so on. And that was perfectly true. They used their wealth to, again, they weren't presidents themselves, but steer presidency, steer American politics for their own personal benefit. And of course, that is the area. that most resembles what we are going through right now. The thing that really came through in putting this book together is, yes, even though it is the Gilded Age and the Rockefeller's, Carnegie's, Vanderbiltz that most resemble the Musks, the Zuckerbergs, the Bezos, the Trumps of now, we're really

talking about magnitude's difference in terms of total wealth for those oligarchs in the 21st century compared to what those oligarchs in the late 19th century had, and the total amount of wealth inequality. So yes, there was an oligarchy in the gilded age, but right now it makes it look like pocket change. Right. Rockefeller died with the equivalent of $30 billion to his name, which is, I mean, look, that's plenty of money. I'm not going to sell enough books to make that money. Not yet at least. But we're talking about Musk just a few weeks ago, the world's first trillionaire, which is, again, magnitudes more. So, yes, we've seen oligarchies in the past, including the United States of America. But right now, there has been nothing like what we're going

through in the 2020s. Yeah, from the gilded age to the gilded age with Jared Kushner. Let's talk about Elon Musk. You mentioned a minute ago. He seems like the textbook definition of an oligarch. He controls major industries. He has enormous influence in government. He gleefully tries to buy elections.

Can you talk us through your reporting on Musk and how reliant he is on the Chinese, on Chinese manufacturing and how that might color his decision making? So, look, you're exactly right. He's kind of the, you know, he's typifying what oligarchy looks like right now. And because of his wealth, he's kind of standing head and shoulders above the rest of them. And there's been some absolutely fantastic reporting on Musk. There was that recent muskism book that came out a few weeks ago. And, of course, some phenomenal work from reporters and scholars on wealth inequality.

So I didn't really want to necessarily reinvent the wheel there. What I tried to do with this book is look at the intersection of American oligarchy and national security. because it's not just that these oligarchs and wealth inequality is a threat to American democracy right now. It's now increasingly a threat to wealth, and now it's increasingly a threat to national security itself. And Musk enters the picture because of one thing that has been underreported in his career and how he has built out a reliance on not just domestic sources of his wealth, but even foreign sources of his wealth, most especially in China. His relationship with Beijing and most especially with his company, Tesla, is something that I don't think, either then, or even now, has seen enough scrutiny and has seen enough concern. And there's plenty more details in the book itself about how we set up this joint venture

with the Chinese Communist Party, how he built out the world's biggest Tesla production plants in China itself. And of course, what that meant for his relationship and the kind of leverage that Beijing was able to build over him and how they saw, there was some reporting about this in 2025, how they saw him and that leverage in the White House after Donald Trump returned to the presidency. And look, this isn't even talking about all the truly horrible things he said about what Beijing is doing to Uyghurs in Xinjiang and try to play down on, you know, the ongoing human rights abuses and even genocide that's happening there. But it really is all about the kind

of economic leverage that foreign countries, whether it's the Saudis and the Emirates with Kushner, whether it's a number of others with Trump, or in this case, China with Musk, what that means for those foreign regimes that see these oligarchs as their way into implementing and affecting American policy, including American foreign policy. And this leverage China had was really hammered home when there was this moment early, it was the beginning of the Trump second term, when all of a sudden there was this breaking news report that the Pentagon was preparing to, for some reason, read Elon Musk into the secret war plan against China.

And I think Trump actually himself freaked out. It was like, what the fuck are we doing here and put a stop to it? But Pete Hagseth was just preparing to do this for some reason, despite all. all this anxiety that was well known within the intelligence community in government from people like you who focus on this stuff, that China controls Elon Musk's future in a lot of ways because of their ability to mess with his manufacturing. Yeah, and this is already after the reporting that we saw of Musk having these back channel conversations with Putin as well, right? Putin doesn't have as much economic leverage over

Musk, but Musk was granting Russians access to Starlink for years. It was only in the last few months that he finally cut that off, right? It's not like these relationships that Musk had with foreign dictators, including American adversaries, weren't known. And no, I mean, I don't want to ever give Trump any more credit than I ever have to. But yes, even Trump looked at this and said, absolutely not. Why would we give a businessman with these kinds of ties to China access to these secrets? So as far as we know, he didn't gain access to this, but he still did. Of course, the book goes into more detail about this.

Still did plenty that aided Beijing, not least through Doge and cutting off all of these pro-democracy work that the United States was supporting in and around China as well. Bonkers. The Wall Street Journal recently ran a report on Trump's fundraising operation, and really it's just like old school bribery. It's kind of like a mob shakedown. I want to read you a couple of details. So SoftBank donated $50 million to the Trump Presidential Library. Apple gave $25 million to the ballroom. Microsoft gave $10 million to the ballroom. META gave $10 million to a Trump-aligned PAC, a multi-million dollar ballroom donation, and then there was a $22 million payment. to the Trump presidential library. Which of those tech oligarchs have most thoroughly bent the knee, in your opinion? I mean, Tommy, how can I choose? How can I select just one?

So much money. You know, let me hop off my little moral high horse for a second and say, if I was in their shoes and looking at the incentive structure, the way that this administration has set things up, it's so clear, it's clear as day, that it is an open-air bribery racket. It's an open-air auction for American policy. And if you're not willing to pay, that's fine. That's okay. Maybe there'll be an investigation.

Maybe they'll be in prosecution. You know, who's to say what the future holds? You can make that choice. But if you should know doing that, that your competitor down the street is going to make a different choice. They're going to be the ones funding $10 million or $10 million for the library or for the inauguration or whatever it might be. So, yes, you can choose to not play the game,

but you are only in the long run losing out because of the way that Trump, and of course, the kind of legal architecture of American campaign finance in this country is set up, right? The phrase that keeps coming to mind is legalized bribery, because again, the question is, are any of these companies actually committing any crimes? And if so, of course, who's going to be enforcing and who's going to be prosecuting it,

no one in this current administration? But I think the beauty and the curse of the Trump administration and Donald Trump himself is that he just makes all of this inescapable, right? He puts it all front and center and forces you to look at it and stare at it day in and day out. And look, the opportunity is there for Democrats to also put this front and center, all this anti-corruption, and of course, anti- oligarchy as well for the midterms and ideally for the presidency in 2028. The opportunity is there. They just have to take it. He literally has a model

of the Katari jet bribe sitting on the coffee table next to the couch in the Oval Office. You're right. Like, it's quite literally front and center, Casey. Let's talk about solutions. You write in the book about some good things that Biden and did to deal with oligarchy, to deal with corruption. Can you give us kind of like the gist of what they did? And then what has been rolled back by the Trump administration? So, look, they did some great things. You know, I wanted to make sure to give them their plot. It's here. One of the things, again, rhetorically is they placed anti-corruption efforts and corruption itself clearly as a national security prerogative. They declared corruption was now just like,

you know, communism during the Cold War. This is a key national security threat. We have to do something about it. So they unveiled this, you know, 3840 page strategy on combating corruption, which was fantastic. It had a lot of very good stuff. And they also set up all these task forces at DOJ and elsewhere, specifically to go after these foreign kleptocrats abroad that we know were trying to use their wealth to interfere in American politics. And at the IRS, because again, we haven't really talked about it in this conversation, but there is a domestic taxation component to this, right? Republicans have been trying to gut the IRS for years and years. And the Biden administration said we're going to rectify that, we're going to reverse that. It's going to be a lot of funding going

to the IRS. And specifically this anti-oligarchy task force we're going to put there to investigate ultra-high net worth individuals in the U.S. It was step forward after step forward after step forward. And it was, look, I had a lot of issues with President Biden and certainly the way things ended. But I wanted to also write in his closing address, he was the very first one to use the term oligarchy as a president. His closing message talked about the threat of these oligarchic forces in the U.S. It's no surprise to you or to any listeners that Trump came in and undid all of that. Those task forces have been demolished.

The IRS funding has been demolished. All of the enforcement of actual laws on the books, anti-bribery, anti-corruption statutes, those are just not even being enforced anymore. They haven't been formally repealed. But Trump says, we're just not going to enforce these. Who cares what a law says? If I say it's a bad law, then I'm not going to prosecute anyone. Well, Todd Blanche is a straight shooter.

They'll take care of what I'm sure. Right, yes. Yes, our beloved future attorney general. Yes, I'm sure that that slush fund, as he says, is definitely dead in the water. I don't know if you saw Trump on Friday was like, I mean, I don't want it to be dead. He said, sir, go along with a lie until we get him confirmed. That's what we're going for you. Sure.

Just don't put it in writing. That's what we've learned from Blanche. Yes, yes. It's just verbal. It's just verbal. I mean, look, Trump has been far in the way the most corrupt. I'm not saying anything new. The most corrupt president we've ever seen in American history and the most

corrupt administration we've ever seen. And he hasn't been shy about it, right? He is not hiding any of this. He is not putting any of this on the, you know, the back burner. He is putting all of this front and center for the kind of the legislator stuff. He's not enforcing. And, of course, just opening him and his family and their pocketbooks up to now make, I don't know what the latest estimate was. $3 billion, $4 billion that he and his family have made over the last year and a half. He just continues climbing and finding new ways to monetize all of this. Mind-boggling sums. Okay. Last question for you. So let's say, um, uh, 2028, Hopeful is listening to this, they come to you and they say, help us. Help us write our policy platform

and help us think about how to talk about it, not only in terms of what will be effective and really root out the problem, but also what will be politically persuasive, right? Because we have to convince people that this stuff really matters. I mean, look, there's all kind of technical things you can do. Of course, the final chapter, like any good book, has all these policy run-throughs. You know, you've got to go back and reinstate everything the Biden administration have. You have to go back and reinstate and reinforce and fund all of the investigators and enforcement mechanisms that we have on the anti-bribery and anti-corruption landscape. We have a lot of great stuff that was still there that took decades to build out that Trump has tried to demolish but is still there. And this is including

things like the new shell company registry that the U.S. finally began implementing in the last year or two. One of the things, though, that you have to do is you can't just go back and hope to have the same tools prevent another future Trump administration or Vant administration or whatever it might be. You have to expand. You have to think creatively. And that includes things like creating a brand new bureau or a brand new agency, specifically dedicated toward coordinating anti-corruption efforts. And even beyond that, and again, it's not just DOJ.

It's not just Treasury. It's not just IRS or SEC. You also have to link it to campaign finance reform because you can't tackle corruption in this country without also tackling campaign finance reform. And that's things like Citizens United. That's things like beefing up the FEC. And again, making sure to have this kind of overarching. coordinating body to make sure that everyone's on the same page and they're all moving in the

same direction because at the end of the day, some of these things have been very scattered in the past. The right hand doesn't know what the left hand is doing. The opportunity again is there. And you have to have high-level investigations. And if the evidence points in that direction, you've got to have high-level prosecutions. I would say starting with the children, right? Kushner and Trump Jr. and Erica, you know, they haven't been shy about some of these things. And I don't think, maybe I'm wrong.

I just, I don't think there are a lot of Americans who are supportive of. the kids, making all of these billions of dollars off of the backs of their parents, which gets to the messaging. The thing that I have had other conversations with others about and that I've found, at least on my end, most persuasive, is that when we're talking about corruption, it's not just these technical elements of what is a bribe, who is an actor, blah, blah, blah, it's about fairness. It is simply unfair that the Trump family, that the Kushners, that the Bezos and Zuckerbergs and Musks of the world, as well as all of these other, oligarchic and deep-pocketed figures have access to all of this wealth and all of this

power simply because of all of their wealth. It is not fair to you or me or anyone else who has to work for a living that this small number of individuals and especially that second generation, the kind of aristocracy in the making, is able to use all of their money to gain all of that power to overtake this democracy, this democratic experiment that we're now 250 years in, that is trying to recreate the kind of aristocracy that we thought we threw off 250 years ago, right? It's about fairness and making sure the American people have a fair deal. That is what anti-corruption efforts are about. Really, really well said.

Again, the book is United States of oligarchy, how America's wealthiest ally with dictators and weaken the U.S. and destroy democracy. Casey Michelle, everyone buy the book because what would piss Donald Trump off more than this book being on the bestseller list? Right? Feels like that would really send a strong message. That's right. That's right.

Great. By the book. Thank you for your work on this. It's so, so, so important. And I know there's a lot of very rich people trying to stop you from being successful. So thank you, Casey. Thanks so much, Tommy. Thanks again to Casey Michelle for joining the show. And thanks to everyone who's not farting in crowded theaters. We salute you. Pod Save the World is a crooked media production. Our show is produced by Alona Minkowski, Michael Goldsmith, and Anisha Bonnergy.

Our team includes Matt DeGroat, Ben Hethko, Jordan Cantor, Kenny Moffat, David Tolls, and Ryan Young. Our staff is proudly unionized with the Writers Guild of America East.