[SPEAKER_01]: Make no friends in the pits and you take no prisoners.

[SPEAKER_01]: Put one minute, you're up, half a minute, and soybeans in the next pool.

[SPEAKER_01]: Your kids don't go to college and they've registered ventilator with me.

[SPEAKER_03]: The revolutions start now, staunch.

[SPEAKER_00]: We have to pass the bills so that you can find out what is in it.

[SPEAKER_00]: Cardinals were cheating back off.

[SPEAKER_03]: You are about to enter the Peter ship show.

[SPEAKER_02]: If we lose freedom here, there's no place to escape to.

[SPEAKER_02]: This is the last stand on Earth.

[SPEAKER_02]: The Peter ship shall be solved.

[SPEAKER_03]: I don't know, when they decided that they wanted to make a virtue out of selfishness.

[SPEAKER_03]: You're money.

[SPEAKER_03]: You're storing this.

[SPEAKER_03]: You're freedom.

[SPEAKER_03]: The Peter ship shall.

[SPEAKER_01]: Well, yesterday December gold futures.

[SPEAKER_01]: traded above 4,000 for the first time ever.

[SPEAKER_01]: In fact, I think they closed above 4,000.

[SPEAKER_01]: And that became a pretty big news story, at least in the financial media.

[SPEAKER_01]: I listened to quite a bit of coverage of 4,000 our gold.

[SPEAKER_01]: Although technically gold was not at 4,000 yesterday, because the December Futures contract is the price [SPEAKER_01]: to pay for gold that's not going to be delivered until December, the spot price is what I pay attention to for records.

[SPEAKER_01]: And yesterday, spot gold never quite made it to 4,000.

[SPEAKER_01]: I think it came maybe 10 bucks away at its peak.

[SPEAKER_01]: But it didn't get to 4,000.

[SPEAKER_01]: Well, that changed today.

[SPEAKER_01]: because spot gold blew through 4,000.

[SPEAKER_01]: In fact, the intro day high, I believe was 4,000 50 something.

[SPEAKER_01]: So we got more than $50 above 4,000.

[SPEAKER_01]: I think gold was up better than $70 on the day at its high, although it [SPEAKER_01]: closed off its high, maybe up about $50, $55.

[SPEAKER_01]: And as I'm recording this podcast live on Wednesday evening, gold's down another $23 in early Asian trading.

[SPEAKER_01]: So it's trading back below $4,000 and 20.

[SPEAKER_01]: But it's still holding above $4,000.

[SPEAKER_01]: Now, like obviously, gold could go back below $4,000.

[SPEAKER_01]: I mean, that's not some kind of line that can't be crossed.

[SPEAKER_01]: And it's hard to say whether or not we're going to have a pullback from here.

[SPEAKER_01]: I mean, certainly the market is due for a pullback.

[SPEAKER_01]: I mean, we've come a long way.

[SPEAKER_01]: In fact, year to date, the price of gold is up 54%.

[SPEAKER_01]: I mean, that is a huge move.

[SPEAKER_01]: First of all, the year is not even over yet.

[SPEAKER_01]: We still have most of the fourth quarter left.

[SPEAKER_01]: was up this much in a calendar year was the 1970s.

[SPEAKER_01]: Now, that was a very significant time period.

[SPEAKER_01]: And by the way, silver rose today by an even greater percentage.

[SPEAKER_01]: It actually traded above $49.50 at the high.

[SPEAKER_01]: As of this morning or right now, it's back below $49.

[SPEAKER_01]: I think it's trading around $48.80.

[SPEAKER_01]: But the intro day high, it got above $48.5.

[SPEAKER_01]: I mean, $49.5.

[SPEAKER_01]: So very, very close to $50, which is that key level for silver.

[SPEAKER_01]: But if you have to go back to the 1970s to find a year [SPEAKER_01]: And of course, it's not like gold had a bad year last year.

[SPEAKER_01]: Gold had a great year last year.

[SPEAKER_01]: It's just having it even better year this year.

[SPEAKER_01]: And of course, a 54% move from where gold was dollar wise is a much bigger move.

[SPEAKER_01]: Think about the value of that move because you're talking about a metal that's already you know, mid 2000s and moving up to 4,000.

[SPEAKER_01]: That's a big dollar value of the rise in what all the gold is worth.

[SPEAKER_01]: But if you've got to go back to the 1970s to find something like this, that probably means [SPEAKER_01]: is likely as significant as what happened then.

[SPEAKER_01]: Now, what happened in the 1970s?

[SPEAKER_01]: You got to understand this because it was 1971 that Nixon took us off the gold standard.

[SPEAKER_01]: It was supposed to be a temporary move, but it's now been better than 50 years and we didn't go back on it.

[SPEAKER_01]: But that was a very significant development because up until 1971, if a central banks in Europe or anywhere held US dollars in reserve, which they did, they knew that whenever they wanted to, they could take those US dollars back to the US government and exchange them for gold.

[SPEAKER_01]: It was a fixed rate if you had $35, you had an ounce of gold.

[SPEAKER_01]: The Federal Reserve note was basically a receipt that paid the holder of that receipt an ounce of gold.

[SPEAKER_01]: You had $35, you could turn them in and you could get an ounce of gold.

[SPEAKER_01]: Now in the meantime, you could take those $35 and buy US treasuries.

[SPEAKER_01]: and earn interest, which is something you couldn't do on your gold, but by allowing the better reserves or the US government to hold your gold, which is basically what the world was doing, right?

[SPEAKER_01]: We were the custodian of the gold, right?

[SPEAKER_01]: So Germany, Italy, or France, are the UK, they hired the US government, [SPEAKER_01]: to hold custody of their gold.

[SPEAKER_01]: And we issued them a warehouse receipt in the form of U.S.

[SPEAKER_01]: currency that represented a pay to the bear on demand.

[SPEAKER_01]: Of course, at one time, everybody, right?

[SPEAKER_01]: You didn't have to be foreign to convert your paper into gold, right?

[SPEAKER_01]: The initial Federal Reserve notes, before 1933, [SPEAKER_01]: And we're redeemable in gold by everybody.

[SPEAKER_01]: So in American citizen that had $20, because back then, the official price of gold was $20.

[SPEAKER_01]: So if you had a Federal Reserve note for $20, you could take it to the Federal Reserve and they'd give you a $20 gold piece, right?

[SPEAKER_01]: It was an even exchange.

[SPEAKER_01]: So that piece of paper represented an IOU for gold.

[SPEAKER_01]: In fact, that's what gave the paper the value.

[SPEAKER_01]: It was the gold that backed it up.

[SPEAKER_01]: Now, 1933, after Roosevelt told everybody that you to turn in their gold and made it illegal for Americans to own gold.

[SPEAKER_01]: Americans couldn't convert their notes into gold.

[SPEAKER_01]: But foreigners could.

[SPEAKER_01]: I mean, it was only American citizens that couldn't get the gold, but if you are far and holder, you could still get gold now, Roosevelt, the value.

[SPEAKER_01]: So now you needed 35 hours to get an ounce of gold, not 20, but if you were outside the United States, if you were a foreign central bank and you held you as dollars, you were still able to redeem them.

[SPEAKER_01]: In fact, [SPEAKER_01]: The piece of paper weren't dollars.

[SPEAKER_01]: The gold was the dollar.

[SPEAKER_01]: The dollar was defined as a weight of gold.

[SPEAKER_01]: The Federal Reserve note, which was the piece of paper, is an IOU for dollars.

[SPEAKER_01]: The dollars were gold.

[SPEAKER_01]: Now they were also silver.

[SPEAKER_01]: And in fact, [SPEAKER_01]: While it was illegal for Americans to own gold, it wasn't illegal to own silver.

[SPEAKER_01]: And so they had silver certificates.

[SPEAKER_01]: The Federal Reserve issued currency backed by silver and you were able to get silver up until, we took the silver away in 1963, 1964.

[SPEAKER_01]: And then we took all the silver out of our coins.

[SPEAKER_01]: but you're able to get silver because, you know, you could take a dollar bill and get four quarters.

[SPEAKER_01]: And those four quarters were silver.

[SPEAKER_01]: So you were able to exchange your paper dollars for silver just by going to a bank and getting change, right?

[SPEAKER_01]: And you can get real money, you can get real dollars.

[SPEAKER_01]: You could get silver dollars, right?

[SPEAKER_01]: That the Federal Reserve note was an IOU.

[SPEAKER_01]: In fact, if you read what it says on the Federal Reserve note, [SPEAKER_01]: It doesn't say it's a dollar or $5 or $10.

[SPEAKER_01]: It says pay to the bearer on demand, $10.

[SPEAKER_01]: The $10 is a weight of gold or silver.

[SPEAKER_01]: And so it's an IOU.

[SPEAKER_01]: So, but up until 1971, these foreign central banks, who were holding US dollars, were really holding gold.

[SPEAKER_01]: They were just storing it in the US in Fort Knox.

[SPEAKER_01]: And we gave them this IOU, but what they were able to do with that IOU was purchase U.S.

[SPEAKER_01]: Treasuries.

[SPEAKER_01]: So now they can earn interest on their gold, because they, you know, their gold was, they still owned the gold.

[SPEAKER_01]: They could get it whenever they wanted, but in the meantime, they were able to earn interest.

[SPEAKER_01]: Now, when we went off the gold standard, that was a major disruption of the world monetary order.

[SPEAKER_01]: and it led to a major devaluation of the US dollar.

[SPEAKER_01]: Not only relative to other currencies, like the Deutsche Mark, or the Swiss Frank, or the Japanese Jan, or the Paul Sterling, but against gold.

[SPEAKER_01]: Because prior to 1971, if you held dollars, you held a currency backed by gold.

[SPEAKER_01]: After 1971, if you held dollars, [SPEAKER_01]: Now clearly, a currency backed by nothing is not as valuable as a currency backed by something, especially when that's something is gold.

[SPEAKER_01]: So the world marked down the dollar.

[SPEAKER_01]: because we change the rules.

[SPEAKER_01]: We told everybody that you're not going to get your goal.

[SPEAKER_01]: We basically default it.

[SPEAKER_01]: When they talk about how the US government has never defaulted, when they talk about the debt ceiling, we've never defaulted on our treasuries.

[SPEAKER_01]: We defaulted on Federal Reserve Notes.

[SPEAKER_01]: The reason that a Federal Reserve note is called a note is because it is a promise to pay, right?

[SPEAKER_01]: What does the Federal Reserve promise to pay?

[SPEAKER_01]: If you own one of their notes, what are they promising to pay you?

[SPEAKER_01]: Well, initially they promised to pay you gold, right?

[SPEAKER_01]: They promised to pay you real money.

[SPEAKER_01]: Lawful dollars, that's what the promise was.

[SPEAKER_01]: But now the Federal Reserve notes are notes for nothing.

[SPEAKER_01]: It's an IOU nothing.

[SPEAKER_01]: It just says this note.

[SPEAKER_01]: It doesn't say what it's redeemable in.

[SPEAKER_01]: So we default it on those notes.

[SPEAKER_01]: The world held our notes because we promised to pay gold.

[SPEAKER_01]: And then we told the world, we're paying nothing.

[SPEAKER_01]: I mean, we didn't even say, we'll give you 50 cents on the dollar, 25 cents on the dollar.

[SPEAKER_01]: We told the world, we're giving you nothing.

[SPEAKER_01]: We're not giving you any gold for these notes.

[SPEAKER_01]: It was 100% to fault.

[SPEAKER_01]: Now, of course, we said, you're free to hold out of those dollars.

[SPEAKER_01]: They're just not backed by gold anymore.

[SPEAKER_01]: And so the world held those dollars, but at a much lower rate.

[SPEAKER_01]: And that's why prices went up so much.

[SPEAKER_01]: I mean, the reason that oil went from three dollars to like 35 dollars in barrel, right?

[SPEAKER_01]: More than a 10-fold increase.

[SPEAKER_01]: And we like to blame that on the Arabs, right?

[SPEAKER_01]: Oh, those Arabs, they jacked up oil prices.

[SPEAKER_01]: We had this oil shock.

[SPEAKER_01]: It wasn't the Arabs, it was us, it was America.

[SPEAKER_01]: We tried to screw OPEC over because when oil was $3 a barrel, we paid them $3 back by gold.

[SPEAKER_01]: So they were getting gold for their oil.

[SPEAKER_01]: Well, after we defaulted, we were paying paper.

[SPEAKER_01]: And so, OPEC said, well, if you're going to pay us paper, well, we're not going to sell you oil for $3 anymore when we can't get any gold.

[SPEAKER_01]: And so, the price went up because we paid them in paper instead of gold.

[SPEAKER_01]: If you look at what happened to oil prices in terms of gold, the real price of oil went down.

[SPEAKER_01]: It's just that because we try to screw opaque over by giving them pieces of paper instead of real money.

[SPEAKER_01]: And they said, okay, if you're gonna give us paper, we'll take it, but we need $30, not three, to make up for it.

[SPEAKER_01]: And that's what happened.

[SPEAKER_01]: I'd always prices went up.

[SPEAKER_01]: But gold had these big moves because the dollar was being devalued because we America, we went off the gold standard.

[SPEAKER_01]: continued with the dollar standard, meaning that the U.S.

[SPEAKER_01]: dollar continued to be the primary reserve currency around the world and the main currency used in international trade despite the fact that it was no longer backed by gold.

[SPEAKER_01]: So the world didn't go off the dollar standard, but it devalued the dollar because it was no longer as good as gold.

[SPEAKER_01]: it was something less.

[SPEAKER_01]: And that was a major shock, right?

[SPEAKER_01]: That's why we had the stackflation of the 1970s.

[SPEAKER_01]: We had a major resetting of the cost of living.

[SPEAKER_01]: The result of that, you know, women in the 1980s and 90s, who never had to work.

[SPEAKER_01]: had to go into the workforce because their husbands could no longer support them because they were no longer earning dollars that were backed by gold.

[SPEAKER_01]: Their salaries were now just paper and it lost a lot of value and so the cost of living went up and so one paycheck could no longer support the family and so you had a second breadwinner that came into the labor force so they could pay the rent and put food on the table and keep the lights going but it was a big decline in [SPEAKER_01]: as a result of what we did, but what's happening now, I think, is an indication that something just as significant and maybe even more so is happening.

[SPEAKER_01]: That is what gold is.

[SPEAKER_01]: being up 54% so far and smashing through $4,000 an ounce, that is what [SPEAKER_01]: gold is saying.

[SPEAKER_01]: The problem is most people aren't listening to what gold is saying.

[SPEAKER_01]: And it's very similar to warnings in the past that went unheated by people who never understood the problem.

[SPEAKER_01]: And I'm going to go into exactly what I think gold is portelling after this quick commercial break.

[SPEAKER_01]: So don't go anywhere.

[SPEAKER_01]: Be right back.

[SPEAKER_01]: All right, before I continue with what I'm talking about on gold, I want to update you on my on my toe situation because I brought it up during my last podcast because earlier that day I had tripped and injured my toe and I had since gotten an x-ray and I do have a fracture.

[SPEAKER_01]: uh...

in my in my big toe which is still bothering me and it's unfortunate because it's going to take i don't know four to six weeks for this thing to heal there's nothing they can do about it but in just over a week i'm supposed to be in Orlando or i'm gonna be in Orlando i'm doing the Orlando money show which i've told you guys about but i was breaking my whole family there we were going to spend some time at universal studios they've got a new uh...

epic universe theme park and there's a lot of walking at these [SPEAKER_01]: at these things.

[SPEAKER_01]: You're walking all day, you're on your feet, you know, constantly.

[SPEAKER_01]: And now I got to do that with a broken toe.

[SPEAKER_01]: So I'm not exactly sure.

[SPEAKER_01]: Maybe I'll have to get a wheelchair.

[SPEAKER_01]: I'm hoping that it'll get better, at least at a point where I don't have the limp the way I'm limp and now a week from that.

[SPEAKER_01]: But I'm not sure.

[SPEAKER_01]: So it's unfortunate that I did that to myself.

[SPEAKER_01]: It was such a ridiculous accident to just trip like that on my up my computer cord.

[SPEAKER_01]: But those are the things I guess that happen when you're in your 60s.

[SPEAKER_01]: But anyway, so getting back to gold.

[SPEAKER_01]: So what was significant about the 1970s was we went off the gold standard.

[SPEAKER_01]: What I think is significant about the 2020s is that the world is going off the dollar standard.

[SPEAKER_01]: And I talked about that on prior podcasts.

[SPEAKER_01]: And I particularly started to hammer this point after former president Biden put the sanctions on Russia for the Ukraine invasion.

[SPEAKER_01]: And I said, this was a huge mistake that Biden made.

[SPEAKER_01]: because it was a wake-up call for all of the nations of the world that holding you as dollars as a reserve is a risk because we can pull the rug out from under you whenever we want.

[SPEAKER_01]: If there's something that you do that we don't like, well we'll sanction you and take your dollars.

[SPEAKER_01]: And so the minute we establish that precedent, [SPEAKER_01]: We basically told the rest of the world, you didn't get rid of your dollars.

[SPEAKER_01]: If you wanna eliminate this risk, which of course they'd wanna do, if you wanna have your own sovereignty and not have to worry about pissing off the US and having us yank your reserves, you need to get out of US dollars.

[SPEAKER_01]: And so they've been doing that.

[SPEAKER_01]: And a central bank buying of dollars has been the primary reason that gold has risen so much.

[SPEAKER_01]: Now, recently, I think investors have finally started to buy.

[SPEAKER_01]: Not only gold, but silver, and that's why silver is finally catching up to gold and has made a bigger move.

[SPEAKER_01]: because for the years that central banks, for the only buyers, they didn't care about silver.

[SPEAKER_01]: They didn't want silver.

[SPEAKER_01]: They only wanted gold.

[SPEAKER_01]: But now that retail investors and institutional investors are finally waking up to what the central bankers have known about for years, they're buying silver.

[SPEAKER_01]: And so this is the beginning of this next leg up.

[SPEAKER_01]: But what's more significant than that is what is going on.

[SPEAKER_01]: behind the scenes, why are these central banks doing this?

[SPEAKER_01]: And the other reason is the fiscal and monetary policy.

[SPEAKER_01]: Because it's clear now to everybody.

[SPEAKER_01]: I mean, it shouldn't have been clear years ago when it was clear to me.

[SPEAKER_01]: But, you know, I guess for these big things, foreign central banks, you know, it takes a while for them to turn, like, you know, turning a battleship, right?

[SPEAKER_01]: It takes, you know, it's a slow maneuver.

[SPEAKER_01]: But seeing Donald Trump win the presidency yet advocate for the abolishment of the death ceiling, [SPEAKER_01]: The big beautiful bill which took the excess of spending under Biden, much of which had to do with COVID and which was actually started under Trump, but which not only kept all that extra spending, but added to it and just blew already huge deficits up even more.

[SPEAKER_01]: I think the world did some serious reflection to say that America will never get its house in order because if even the Niagara Republicans are unwilling to cut government spending, then who will?

[SPEAKER_01]: Certainly the Democrats aren't going to do it.

[SPEAKER_01]: So we don't have any party that believes in fiscal responsibility.

[SPEAKER_01]: There is no chance that either party will do anything about exploding dead.

[SPEAKER_01]: And so that basically, let's our creditors know that they need to get out of dollars.

[SPEAKER_01]: They need to get out of treasuries because it's an accident waiting to happen.

[SPEAKER_01]: Also, with Donald Trump's packing of the Fed, [SPEAKER_01]: his vilifying fed governors, firing them, calling pal, you know, an idiot, a moron, a stupid person, right, really is destroying the credibility of the Fed.

[SPEAKER_01]: Not, I don't even know why it had any credibility left, but whatever was left, right, Trump was destroying that.

[SPEAKER_01]: And, you know, creating the idea that the Fed is not going to really be independent.

[SPEAKER_01]: that the Fed needs to do what the president wants and the Fed needs to make policy based on our inability to pay interest on the debt.

[SPEAKER_01]: that interest rates are not going to be set based on where they need to be a relative to where inflation is, but interest rates need to be low regardless of how high inflation is because that's all we could afford because we now have so much debt that defend can't fight inflation without bankrupting us.

[SPEAKER_01]: And so the Fed has to continue to create inflation.

[SPEAKER_01]: And all of this undermines the dollar status.

[SPEAKER_01]: And of course, probably the final nail and the dollar's coffin was probably the trade war.

[SPEAKER_01]: Because Donald Trump, [SPEAKER_01]: Basically, accused all of these countries who have been participating in the dollars reserve status, said, you're screwing us over, you're taking advantage of us, you're ripping us off.

[SPEAKER_01]: How are they ripping us off?

[SPEAKER_01]: They were trading their goods for our dollars.

[SPEAKER_01]: right because they need to accumulate dollars because the dollar was the reserve currency.

[SPEAKER_01]: The dollar was the currency of international trade.

[SPEAKER_01]: So how do the Germans get dollars?

[SPEAKER_01]: They can't print dollars.

[SPEAKER_01]: They have to earn dollars.

[SPEAKER_01]: So they sell us products and we pay with dollars because we could defed create dollars and spend them and now Americans have the dollars and they buy German products and now German Germany gets the dollars.

[SPEAKER_01]: And now Trump is saying, but you're screwing us over.

[SPEAKER_01]: You're taking advantage of us.

[SPEAKER_01]: We don't want to do this, Amy.

[SPEAKER_01]: We're putting on these tariffs.

[SPEAKER_01]: And that's another wake-up call that foreigners should just not participate in the quest for dollars.

[SPEAKER_01]: Stop selling Americans' products to earn dollars, right?

[SPEAKER_01]: Go off the dollar standard.

[SPEAKER_01]: Gold is going to replace the dollar as the world reserve.

[SPEAKER_01]: And then of course, German companies, you know, they don't need dollars anymore.

[SPEAKER_01]: Nobody needs dollars anymore.

[SPEAKER_01]: I mean, the only reason you would need dollars is to buy U.S.

[SPEAKER_01]: products.

[SPEAKER_01]: But we have a massive trade deficit.

[SPEAKER_01]: Our trade deficit is over a trillion dollars a year.

[SPEAKER_01]: So, the world has plenty of dollars if all they want to do is buy what we produce because they've got a huge excess of dollars from that and so those trade deficits can go away.

[SPEAKER_01]: But when the trade deaths is going away, that means the products go away.

[SPEAKER_01]: That means Americans can't consume because the products are not going to be available.

[SPEAKER_01]: And the reason they're not going to be available is going to be because they're too expensive.

[SPEAKER_01]: And they're going to be too expensive because the dollar is going to collapse.

[SPEAKER_01]: And that is what gold is telling you.

[SPEAKER_01]: You know, and it's interesting because I'm watching now.

[SPEAKER_01]: The financial media discussing gold.

[SPEAKER_01]: I mean, really, for the first time, and I guess 4,000 is such a big number that, you know, they kind of had to talk about it.

[SPEAKER_01]: Now, they'll probably stop talking about it in a few days, right?

[SPEAKER_01]: Because, you know, it'll be old news.

[SPEAKER_01]: Maybe they'll talk about it again when it hits 5,000, I don't know.

[SPEAKER_01]: But it became a topic of conversation.

[SPEAKER_01]: But none of the people talking about it really understood the significance of what this means.

[SPEAKER_01]: I mean, everybody is diminishing gold's significance.

[SPEAKER_01]: It's just, okay, gold is up.

[SPEAKER_01]: But they don't get it.

[SPEAKER_01]: It's like, you know, back in in 2007, when the subprime market collapsed.

[SPEAKER_01]: I knew exactly what that meant.

[SPEAKER_01]: I knew that a bigger financial crisis was coming because I've been warning about it for years and I said that it would start in subprime.

[SPEAKER_01]: I knew that was the weakest link in the chain but I knew the whole chain was gonna fall apart, right?

[SPEAKER_01]: But when we initially saw the blowup of subprime, Wall Street and the Fed's reaction was, it's contained, right?

[SPEAKER_01]: That was Bernanke, you know, [SPEAKER_01]: And I used to go on these shows, CNBC, and Bloomberg, or Fox.

[SPEAKER_01]: And I would point out, [SPEAKER_01]: you know, which has happened and people would shrug it off and say, well, so what?

[SPEAKER_01]: Nothing, you know, nothing has happened.

[SPEAKER_01]: The stock market is going up.

[SPEAKER_01]: The economy is fine.

[SPEAKER_01]: And so, you know, the subprime, you know, it's no big deal.

[SPEAKER_01]: Yes, you know, there's some, you know, losses there, but it's not going to impact the overall economy.

[SPEAKER_01]: Everything is fine.

[SPEAKER_01]: The financial system is fine.

[SPEAKER_01]: And I keep saying, no, it's not just, just wait.

[SPEAKER_01]: This is the tip of a huge iceberg.

[SPEAKER_01]: And of course, I was right because we had the rest of the crisis the following year in 2008.

[SPEAKER_01]: And I think that what gold is, you know, basically warning what this move for tens is a crisis.

[SPEAKER_01]: Just like the subprime collapse was a harbinger of a financial crisis.

[SPEAKER_01]: gold soaring the way it is is a harbinger of a dollar crisis of a sovereign debt crisis.

[SPEAKER_01]: You know, I was watching on Larry Cudlow last night as they were discussing $4,000 gold.

[SPEAKER_01]: And Larry Cullo started his segment by saying, I don't get it.

[SPEAKER_01]: I don't understand why his gold $4,000.

[SPEAKER_01]: Because Larry Cullo thinks he's coming his booming, because Donald Trump is the president.

[SPEAKER_01]: See, whenever there's a Republican president, Larry Cullo thinks everything is great.

[SPEAKER_01]: because as long as there's a Republican, he's going to be a cheerleader.

[SPEAKER_01]: And as long as that Republican cuts taxes, because that's all they think you have to do.

[SPEAKER_01]: Just cut taxes and everything is going to be great.

[SPEAKER_01]: So we just had a tax cut.

[SPEAKER_01]: We have a Republican president.

[SPEAKER_01]: Why is gold at 4,000?

[SPEAKER_01]: He's like dumbfounded.

[SPEAKER_01]: And so he had a few people on and they're talking about it.

[SPEAKER_01]: And one guy is like, well, you know, maybe it's foreigners who are worried about inflation, you know, because, you know, people in Europe, you know, they have, they have concerns, and maybe it's the Europeans who are buying gold, right?

[SPEAKER_01]: Because they're worried about inflation.

[SPEAKER_01]: And so we don't have to worry about gold going up.

[SPEAKER_01]: Because it's it's it's not Americans who are buying it.

[SPEAKER_01]: It's to Europeans because they're the ones that have to worry about inflation.

[SPEAKER_01]: We don't right.

[SPEAKER_01]: We don't have any inflation Trump got rid of all the inflation, which is all a bunch of nonsense because if that was true.

[SPEAKER_01]: gold would not be going up in dollars.

[SPEAKER_01]: It would only be going up in euros, right?

[SPEAKER_01]: So the dollar would be rising against the euro.

[SPEAKER_01]: So the gold would be flat in dollars.

[SPEAKER_01]: The fact of the matter is gold is going up in all currencies because all currencies have an elevated inflation risk.

[SPEAKER_01]: But the the risk in America.

[SPEAKER_01]: I think is even greater given the potential loss of the reserve status.

[SPEAKER_01]: No other currency even has that status.

[SPEAKER_01]: So there's nothing to lose.

[SPEAKER_01]: Only America.

[SPEAKER_01]: has something to lose.

[SPEAKER_01]: And what it has to lose is basically the pillar that's held up our entire phony economy.

[SPEAKER_01]: Without that reserve status, the whole consumer-based economy that was built on top of that status comes collapsing down.

[SPEAKER_01]: So Colo and his gang refused to recognize [SPEAKER_01]: that the rise in the price of gold has any significance with respect to any warnings about US inflation or about the credit worthiness of the United States.

[SPEAKER_01]: But that is what's going on.

[SPEAKER_01]: That is the reason that this is happening.

[SPEAKER_01]: But now you've got more people on Wall Street [SPEAKER_01]: And saying, you got to own gold, 10%, 15%, 20% of a portfolio in gold.

[SPEAKER_01]: Now, they used to say, 0%, you know, I put up a video on my ex account yesterday.

[SPEAKER_01]: From 10 years ago, and this is me on Futures now on CNBC, and this guy's Scott Nations, who used to give me a lot of crap about gold, and there's a lot of footage with me and Scott Nations from back then, and gold's like 1,200.

[SPEAKER_01]: And I'm telling people to buy it, and he's just given me crap because it's not 5,000 yet.

[SPEAKER_01]: And he said, hey, you said, go, it was going to 5,000.

[SPEAKER_01]: I said, yeah, I think it's going to 5,000.

[SPEAKER_01]: In fact, now I think it's going a lot higher than 5,000, because it took us so long to get here.

[SPEAKER_01]: But it's over 4,000, but they were just insulting me.

[SPEAKER_01]: for recommending gold.

[SPEAKER_01]: They were, they were accusing me of being irresponsible and reckless in promoting gold.

[SPEAKER_01]: They said I was fear-mongering that the only reason I was saying people should buy gold was because I'm a gold salesman and I got a sell gold.

[SPEAKER_01]: When, you know, people go on CMBC all the time, stockbrokers, asset managers, and they recommend stocks, and no one ever says, well, the only reason you're telling people to buy stocks is because you're a stockbroker, or because you're an asset manager, you just want people to buy these stocks because that's how you make a living, right?

[SPEAKER_01]: And of course, I also was a stockbroker, and I also recommended stocks.

[SPEAKER_01]: But they didn't get me crap for recommending stocks.

[SPEAKER_01]: Only recommending gold because that's how they viewed it.

[SPEAKER_01]: It was a stupid investment.

[SPEAKER_01]: Nobody should buy it, right?

[SPEAKER_01]: It doesn't generate any yield.

[SPEAKER_01]: So why should you buy it?

[SPEAKER_01]: Meanwhile, you know, when people come on CNBC today, [SPEAKER_01]: and recommend Bitcoin.

[SPEAKER_01]: Nobody gives them shit.

[SPEAKER_01]: I mean, in this particular clip, I'm talking about $5,000 gold.

[SPEAKER_01]: And they're like, that's crazy.

[SPEAKER_01]: How can you predict that?

[SPEAKER_01]: I mean, gold's $1200.

[SPEAKER_01]: There's no way in the clip I put up.

[SPEAKER_01]: Scott Nation says, look, there's no way gold even gonna go to $1,700, let alone $5,000, right?

[SPEAKER_01]: Never.

[SPEAKER_01]: So what I was saying gold's gonna go to $5,000 and it's $1,000, I mean, that's $5,000, right?

[SPEAKER_01]: People go on CBC now, Bitcoin's 120,000ish, and people say it's gonna go to a million.

[SPEAKER_01]: That's a much bigger forecast than what I used to forecast on gold.

[SPEAKER_01]: Yet nobody talks about how ridiculous that claim is.

[SPEAKER_01]: And nobody tells the Bitcoin promoters who go on CNBC and tell Bitcoin, then they'll say, hey, wait a minute, you're just trying to get people to buy Bitcoin because you own a Bitcoin company, you own a Bitcoin treasury company.

[SPEAKER_01]: They never once said that to Michael Sailer.

[SPEAKER_01]: Aren't you coming on, telling people to buy Bitcoin because you're leveraged long and you've got billions of dollars in Bitcoin?

[SPEAKER_01]: Don't you need people to buy Bitcoin and keep the price from collapsing?

[SPEAKER_01]: Right, aren't you just talking your book?

[SPEAKER_01]: They've never once said that.

[SPEAKER_01]: I've never heard anybody question the objectivity of Michael Sailer when he's telling people to buy Bitcoin.

[SPEAKER_01]: But every time I came on and told people to buy gold, [SPEAKER_01]: it was always a come on you're just trying to you're just a gold sales and trying to scare people into buying gold.

[SPEAKER_01]: No, I wasn't trying to scare people into buying gold.

[SPEAKER_01]: I mean, maybe I was trying to scare them straight with respect to the risks to the dollar.

[SPEAKER_01]: But look at how much gold has gone up.

[SPEAKER_01]: I mean, gold is beating the S&P andily this year.

[SPEAKER_01]: It's beaten it handily over the last 10 years, over the last 25 years, right?

[SPEAKER_01]: People are better off even without getting any yield.

[SPEAKER_01]: They're better off, but now finally we're starting to see some recognition on Wall Street that people need to own gold.

[SPEAKER_01]: So it's not just foreign central banks now that are buying gold.

[SPEAKER_01]: It's private investors.

[SPEAKER_01]: But this is just the tip of this iceberg because they just started.

[SPEAKER_01]: Um, but the more important factor is the crisis that I see coming because one of the things that Cudlow talked about when somebody said, should we be worried here, right?

[SPEAKER_01]: I mean, should we be concerned about $4,000 gold?

[SPEAKER_01]: I mean, the answer is of course you should be concerned, right?

[SPEAKER_01]: How could you not be concerned, right?

[SPEAKER_01]: Gold is the canary in the monetary coal mine, right?

[SPEAKER_01]: And the whole idea behind a canary to coal mine and I've been talking about this.

[SPEAKER_01]: I wrote about it in my in my book a crash proof because they were people were ignoring gold back then.

[SPEAKER_01]: But now more than ever, I think, it's indicative of a serious problem.

[SPEAKER_01]: But the canary in a coal mine is there to protect the miners from gases.

[SPEAKER_01]: Because the canary is more susceptible.

[SPEAKER_01]: And if the canary drops dead, you better get the hell out of that mine because you could be next, right?

[SPEAKER_01]: So that's why you brought the canary in.

[SPEAKER_01]: So, you know, if something happened to canary, you knew that you had to get out.

[SPEAKER_01]: In this case, it's like the miners are all looking at this canary, and they're trying to figure out why he died, and they're like, well, you know, maybe he had a heart attack.

[SPEAKER_01]: Maybe he was just old.

[SPEAKER_01]: And he just died in natural causes, right?

[SPEAKER_01]: Now, get the hell out.

[SPEAKER_01]: Hey, don't try to rationalize why the canary is dead, right?

[SPEAKER_01]: Just assume it's dead because there's something toxic in that mine, and that you're going to die if you don't get out.

[SPEAKER_01]: but so gold, the canary at 4,000, this is a warning.

[SPEAKER_01]: And so Cullo's crew, they're trying to figure out why they can ignore this warning.

[SPEAKER_01]: Instead of heating it, they're rationalizing why it's not important.

[SPEAKER_01]: So a few of the things that Cullo said, he said, well, if this really was a problem, [SPEAKER_01]: We would see it in other markets, right?

[SPEAKER_01]: If this really was an inflation scare, we would see it in other commodities.

[SPEAKER_01]: If it really was a loss of confidence in the dollar, we would see the dollar losing value against other currencies.

[SPEAKER_01]: We would see the bond market rising.

[SPEAKER_01]: We would see much higher yields than the yields we have right now.

[SPEAKER_01]: We're not seeing any of that.

[SPEAKER_01]: Therefore we can dismiss gold's rise because it's not because of a loss of confidence in the dollar or it's not because of fears of inflation, right?

[SPEAKER_01]: in these other markets.

[SPEAKER_01]: That is BS.

[SPEAKER_01]: Gold is seeing it first.

[SPEAKER_01]: Gold is the leader.

[SPEAKER_01]: Gold is forward looking.

[SPEAKER_01]: Gold is far more sensitive to this than other commodities.

[SPEAKER_01]: So gold is [SPEAKER_01]: is going first just like subprime cracked first like why did the subprime market give before the rest of the real estate market because that was the weakest link it was the most sensitive to what was happening well gold is the most sensitive to this threat right to the threat of sovereign credit of the United States [SPEAKER_01]: to a threat to the U.S.

[SPEAKER_01]: dollar system of global monetary system.

[SPEAKER_01]: Gold is where you see it first, just like subprime was where you saw it first.

[SPEAKER_01]: The rest of it happened later, but too many people weren't dismissive, because they said, well, we haven't seen anything yet.

[SPEAKER_01]: Yes, we haven't seen a bigger surge in base metals.

[SPEAKER_01]: I mean, they've gone up, but not as much as gold.

[SPEAKER_01]: Yes, we haven't seen a huge rise in bonds, but we've seen a rise.

[SPEAKER_01]: Log term interest rates have gone up despite the fact that the Fed has been cutting short term rates.

[SPEAKER_01]: So that's already happened, right?

[SPEAKER_01]: That was already something that the mainstream did not expect that rates would rise as a result of the Fed rate cuts.

[SPEAKER_01]: I was predicting that, but pretty much nobody else was.

[SPEAKER_01]: So we've already seen the beginning of that.

[SPEAKER_01]: But yes, we haven't seen a bigger drop in a bonds.

[SPEAKER_01]: And the dollar hasn't fallen over the last few months, but it is down about 10% on the year.

[SPEAKER_01]: This is the worst year in 50 years for the dollar based on how much it's already down.

[SPEAKER_01]: Now, it hasn't fallen more over the last several months.

[SPEAKER_01]: But that doesn't negate the fact that it already dropped quite a bit.

[SPEAKER_01]: But all these other things that Larry Cudlow was saying haven't happened, and so we don't have to worry, they're all going to happen.

[SPEAKER_01]: You just don't wait until after the fact to worry about it.

[SPEAKER_01]: You worry about it now.

[SPEAKER_01]: and the people who are worrying about it now, they're buying gold.

[SPEAKER_01]: That is what they're doing.

[SPEAKER_01]: They're buying gold, right?

[SPEAKER_01]: And so gold prices are rising because inflation is going to rear its head in a much bigger way.

[SPEAKER_01]: Because the US dollar is gonna tank.

[SPEAKER_01]: Why do you think that foreign central banks want to get rid of their dollars?

[SPEAKER_01]: Why do they want to replace them with gold because they can see what's going to happen?

[SPEAKER_01]: They can see this debt bubble.

[SPEAKER_01]: They can see how it's going to be impossible for us to finance it.

[SPEAKER_01]: And so they want to distance themselves from the threat.

[SPEAKER_01]: So gold is moving first.

[SPEAKER_01]: And you can ignore this warning at your own financial peril, or you can heat it.

[SPEAKER_01]: And how do you heat it?

[SPEAKER_01]: Well, you buy gold and silver yourself, right?

[SPEAKER_01]: If you don't already own it or you buy more or you buy these mining stocks, you know, that were up again today, but not nearly as much as they should have been up, I mean, not some stocks made new high, especially some of the silver stocks, but all the royalty companies ended up pretty much down on the day.

[SPEAKER_01]: Um, and a lot of stocks didn't make new highs because stock investors are still skittish.

[SPEAKER_01]: They still think that there's going to be a correction.

[SPEAKER_01]: And you know, maybe there will be a small correction.

[SPEAKER_01]: Now that we've had so many news stories about gold hitting 4,000, I wouldn't be surprised if it pulled back 100 or $200.

[SPEAKER_01]: Now, it may not.

[SPEAKER_01]: What may surprise everybody is the lack of a correction.

[SPEAKER_01]: Because so many people want a correction, because they want a buy.

[SPEAKER_01]: That is the reality.

[SPEAKER_01]: There is a lot of money that wants to come in to the goal market and they're waiting for a correction.

[SPEAKER_01]: That's why the corrections may not come.

[SPEAKER_01]: Or if they do come, they'll be very short and very shallow and not really worth waiting for.

[SPEAKER_01]: But the goal stock investors are still skittish.

[SPEAKER_01]: And so there, I think they probably expected gold to sell off before it hit 4,000.

[SPEAKER_01]: Now maybe they expect it's gonna sell off.

[SPEAKER_01]: Now that it has broken 4,000.

[SPEAKER_01]: But we'll see, I mean, we could just go right to 4,100, 4,200, you know, before we, then maybe we'll pull back to 4,000, I don't know, but maybe we'll just go straight to 5,000.

[SPEAKER_01]: Because there's something much bigger going on right now.

[SPEAKER_01]: that the mainstream just doesn't understand, just like they didn't understand the subprime.

[SPEAKER_01]: And of course, the other thing is Bitcoin because they still every time.

[SPEAKER_01]: The financial news talks about gold.

[SPEAKER_01]: They have to interject Bitcoin.

[SPEAKER_01]: I mean, it's almost like they can't talk about gold unless they also talk about Bitcoin.

[SPEAKER_01]: Even though there's nothing really significant that's going on with Bitcoin, yes, it did make a new record high [SPEAKER_01]: over the past week.

[SPEAKER_01]: It got above 126,000.

[SPEAKER_01]: But it didn't stay there.

[SPEAKER_01]: I mean, it's back down below 123,000.

[SPEAKER_01]: So it's still below trading right now.

[SPEAKER_01]: It's below where it was in August.

[SPEAKER_01]: And in terms of gold, it's still better than 15% below its peak.

[SPEAKER_01]: So Bitcoin is not making a new high in terms of gold.

[SPEAKER_01]: But I think when the financial media constantly interjects Bitcoin into the gold conversation, they're diminishing gold.

[SPEAKER_01]: And they're diminishing the significance, [SPEAKER_01]: of what's happening.

[SPEAKER_01]: And in fact, I actually saw there's a woman.

[SPEAKER_01]: I don't remember where she worked, but she was being interviewed on CBC.

[SPEAKER_01]: And she said she didn't own any gold.

[SPEAKER_01]: And she never owned any gold because gold doesn't have any intrinsic value, which of course it that that's all it's got, right?

[SPEAKER_01]: Gold has real value because it is a precious metal that has all sorts of utility.

[SPEAKER_01]: But then she claimed that she owned Bitcoin, right?

[SPEAKER_01]: but she doesn't own any gold and she's never advised her clients to buy gold but she bought Bitcoin now obviously if gold doesn't have any intrinsic value and then neither does Bitcoin because Bitcoin has none uh...

actually had doesn't have any because it isn't a metal it's a nothing um...

[SPEAKER_01]: But a lot of times, the media still talks about it as if it's some digital version of gold and that it's something that you can buy instead of buying gold.

[SPEAKER_01]: Except none of these central banks that are de-dollarizing are de-dollarizing into Bitcoin.

[SPEAKER_01]: I mean, the only one you had was El Salvador and El Salvador wasn't buying Bitcoin to get rid of dollars.

[SPEAKER_01]: It was just buying Bitcoin to promote Bitcoin.

[SPEAKER_01]: Uh, but the big central banks that I divesting themselves of dollars are not buying big coin.

[SPEAKER_01]: In fact, I listen to an interview with Ken Griffith who runs Citadel, which a big hedge fund.

[SPEAKER_01]: And you know, he started off the interview, you know, kind of supporting some of the Trump policies that I don't support.

[SPEAKER_01]: But at the end of the day, he did express concern about what was happening in the goal market.

[SPEAKER_01]: He was worried as he should be about $4,000 gold and about what it means when foreign [SPEAKER_01]: And he actually pointed out that private clients now, that they, you know, their conversations he's having within the investment community, that international investors, to the extent that they're now buying in the US stocks, are hedging their US dollar risk whereas they weren't doing that before.

[SPEAKER_01]: And so there is now a real perception of sovereign risk.

[SPEAKER_01]: in the United States, sovereign credit risk and a devaluation of the dollar.

[SPEAKER_01]: So somebody from abroad may want to buy stock in an American company, but he wants to hedge his exposure against the US dollar.

[SPEAKER_01]: This is a huge game changer for the global economy.

[SPEAKER_01]: And I get I think we're going to see the fallout next year.

[SPEAKER_01]: Sometime in 2026, we're gonna get the big drop in the dollar.

[SPEAKER_01]: We're gonna get the big move up in other commodities.

[SPEAKER_01]: We're gonna see the spike in inflation.

[SPEAKER_01]: We're gonna see a big move up in long-term interest rates and a big drop in the bond market.

[SPEAKER_01]: But by then, it's too late to worry about the crisis because you're in the middle of the crisis.

[SPEAKER_01]: And of course, the price of gold is gonna be a lot higher.

[SPEAKER_01]: by then.

[SPEAKER_01]: But there's also going to be no turning back.

[SPEAKER_01]: I don't know that there's going to be any way to put the worms back in this can.

[SPEAKER_01]: Once the dollar really comes under a collapse, [SPEAKER_01]: there's no turning back.

[SPEAKER_01]: I don't see what we could do to reverse that process.

[SPEAKER_01]: It's just going to run its course.

[SPEAKER_01]: And at the end of the day, the dollar is just going to be another currency.

[SPEAKER_01]: And it's just going to be another currency that buys a lot less than it buys today.

[SPEAKER_01]: There's going to be a major depreciation.

[SPEAKER_01]: At least this big, if not bigger, then the depreciation we saw in the 1970s.

[SPEAKER_01]: Again, the 1970s was the US going off the gold standard.

[SPEAKER_01]: Now, it's the world going off the dollar standard.

[SPEAKER_01]: And this could be an even bigger [SPEAKER_01]: devaluation or depreciation because there's nothing to devalu anymore, this could be an even bigger depreciation of the dollar than what we had in the 1970s.

[SPEAKER_01]: And of course, you know, the 1970s came to an end with Ronald Reagan and Paul Volker.

[SPEAKER_01]: So there was light at the end of that tunnel.

[SPEAKER_01]: All I see at the end of this tunnel is more tunnel.

[SPEAKER_01]: I don't see any possibility [SPEAKER_01]: of a Reagan-Volker combination on the horizon.

[SPEAKER_01]: In fact, what I think is going to follow Donald Trump is going to be the most left-wing, radical, socialist president we've ever had.

[SPEAKER_01]: Because I don't see how a Republican could win following the aftermath of this.

[SPEAKER_01]: Just like there was no way John McCain was going to win in 2008, given the financial crisis, right?

[SPEAKER_01]: It all got blamed on Bush and the Republicans.

[SPEAKER_01]: And so everybody had a vote for Obama, McCain had had no chance.

[SPEAKER_01]: Well, JD Vance, or whoever it gets the Republican nomination in in in in in in in in in [SPEAKER_01]: is not going to be able to get elected running on a disaster of an economy that we've had a massive currency crisis, a sovereign debt crisis, you know, stagflation worse than the 1970s.

[SPEAKER_01]: I mean Trump made a big deal about how we had the worst inflation ever under Biden.

[SPEAKER_01]: It's going to be worse under Trump.

[SPEAKER_01]: And the big difference, too, is [SPEAKER_01]: inflation under Biden peaked during his first year.

[SPEAKER_01]: That was the high mark, right year one.

[SPEAKER_01]: was 9.1%.

[SPEAKER_01]: And most of that was left over from Trump, right?

[SPEAKER_01]: There's a lag.

[SPEAKER_01]: So most of that 9.1% inflation can be blamed on Trump.

[SPEAKER_01]: Now there was more inflation later that maybe you could blame on Biden.

[SPEAKER_01]: But the next few years, inflation came down from that high watermark.

[SPEAKER_01]: And Biden's last year in office was the lowest year.

[SPEAKER_01]: for the inflation of his term.

[SPEAKER_01]: Now, of course, it was still well above the Fed's two percent target.

[SPEAKER_01]: So we had high inflation every year that Biden was president, but it was the highest during his first year.

[SPEAKER_01]: And the lowest during his last year, yet we still elected Trump because the voters wanted change.

[SPEAKER_01]: right?

[SPEAKER_01]: Well, I think the worst year for inflation under Trump is going to be his fourth year.

[SPEAKER_01]: Because I think it's just going to keep getting worse.

[SPEAKER_01]: So I think inflation in 2020, sex is going to be much higher than it was in 2025.

[SPEAKER_01]: Meanwhile, the Fed is going to be cutting rates.

[SPEAKER_01]: into this inflation.

[SPEAKER_01]: What are they going to do?

[SPEAKER_01]: How are they going to turn around and start hiking rates?

[SPEAKER_01]: They're not going to do it.

[SPEAKER_01]: So they're going to have to dismiss the uptick in inflation as something other than transitory, a femoral, I don't know what kind of word they're going to come up with because I think they'd be low to use transitory even how bad it worked out last time.

[SPEAKER_01]: But they're not going to react and they're going to fall [SPEAKER_01]: And so I don't see the solution that what ended the 70s was 20% interest rates.

[SPEAKER_01]: was a substantial reform of our tax code.

[SPEAKER_01]: Where Ronald Reagan took the top tax rate from over 70% down to like 28%.

[SPEAKER_01]: You know, we had a major overhaul of the tax code.

[SPEAKER_01]: And we had a big increase in interest rates.

[SPEAKER_01]: And you know, at the time that that happened 1980, I think our debt to GDP was only about 30%.

[SPEAKER_01]: 35% and almost all of the national debt [SPEAKER_01]: You know, long-term treasuries, we didn't have to worry about constantly rolling over the debt like we have today where we have almost, you know, a third of the debt comes to do any given year because we have it all financed with T-Bills.

[SPEAKER_01]: And so we can't raise interest rates to 20%, we can't even really raise them to 10% out even though we can raise them back to 5% at this point.

[SPEAKER_01]: You know, we've already started cutting them.

[SPEAKER_01]: They're back down the floor.

[SPEAKER_01]: But they need to be much higher, but we can't.

[SPEAKER_01]: It's like we can't cure the disease, the way we did in 1980, because we died from the cure.

[SPEAKER_01]: The cure would kill us.

[SPEAKER_01]: That's how sick we are.

[SPEAKER_01]: If we have to raise interest rates, high enough to find inflation, we kill ourselves with the debt crisis, because we can't afford to pay [SPEAKER_01]: the higher rates of interest and the whole economy implodes and then the tax-based implodes and then the deficit skyrocket not just because it's more expensive to finance them but because the whole economy is imploding and the government is losing its revenue source because our whole economy is based on consumption and consumption is based on debt and debt is [SPEAKER_01]: comes collapsing down.

[SPEAKER_01]: And yes, right?

[SPEAKER_01]: Donald Trump has been critical of the consequences of the disease, our big trade deficits, the erosion of our industrial base.

[SPEAKER_01]: Yes, all this has happened.

[SPEAKER_01]: And in fact, I know tomorrow night, I'm doing a debate.

[SPEAKER_01]: with some guy on zero hedge about tariffs and trade policy and minimum wage and all these things that this guy supports and he's a big supporter of Trump.

[SPEAKER_01]: But he talks about how the trade deficits are making us poor.

[SPEAKER_01]: They are.

[SPEAKER_01]: But the tariffs won't do anything to improve that situation.

[SPEAKER_01]: And it's not to trade deficits themselves that have been making us poor.

[SPEAKER_01]: It's the monetary and fiscal policy that has resulted in those trade deficits.

[SPEAKER_01]: That's why we're poor.

[SPEAKER_01]: And the tariffs don't get to the root cause of the problem.

[SPEAKER_01]: All they're trying to do is attack the symptom.

[SPEAKER_01]: But when you go after your symptom of a problem and not the problem itself, the problem doesn't go away, the problem gets worse.

[SPEAKER_01]: You just make it harder to detect.

[SPEAKER_01]: And so all this sort, this whole phony economy is gonna come collapsing down.

[SPEAKER_01]: So it's not just a collapse of the housing market and the banks that made loans that are now no good.

[SPEAKER_01]: The whole world has been tied up in this vendor financing scheme of the United States where the world produces and lends us money to consume what they produce.

[SPEAKER_01]: This entire system is in the process of imploding.

[SPEAKER_01]: Now, long run, this is a great development, especially for the rest of the world, who is born the brunt of the subsidy that has been bestowed on Americans.

[SPEAKER_01]: We live beyond our means, the rest of the world lives beneath their means to make it possible.

[SPEAKER_01]: So the world's not going to have to support us anymore, and that's great for the world, but now we're going to lose our support.

[SPEAKER_01]: We can't live without it, just like the government's shut down now, they're arguing over these abominant care subsidies that the Democrats claim, even though they were temporary and it was an emergency, now we can't take them away because people depend on it.

[SPEAKER_01]: Well, Americans now depend on foreigners to produce the stuff that we consume and the loan us the money that we borrow.

[SPEAKER_01]: And you take the foreign producer and the foreign lender away and everything just explodes.

[SPEAKER_01]: And that's what's gonna happen.

[SPEAKER_01]: I think it's gonna happen probably next year and that's what Gold is saying.

[SPEAKER_01]: And so, [SPEAKER_01]: This is a very significant development.

[SPEAKER_01]: It's not too late to buy gold.

[SPEAKER_01]: I'm hoping that the people who have been listening to my podcasts, everybody owns some gold, everybody owns some silver.

[SPEAKER_01]: But if you don't, or you don't own enough, you should go to shift gold tonight and buy some more.

[SPEAKER_01]: Yeah, it may pull back down.

[SPEAKER_01]: Now that we're at 4,000, but you know what?

[SPEAKER_01]: to make a difference in the scheme of things.

[SPEAKER_01]: Even if you buy it 4,020 and it goes to 3,900 or 3,800, when it's 10,020,000, it's not going to matter.

[SPEAKER_01]: The risk is that you don't want to buy it 4,000, you wait for 3,800 and it never gets there.

[SPEAKER_01]: And then the next thing you know, we're at 5,000 and you still haven't bought it.

[SPEAKER_01]: So you got to buy it and then get out of these US stocks [SPEAKER_01]: get out of U.S.

[SPEAKER_01]: bonds for sure.

[SPEAKER_01]: I mean, there's absolutely no reason to own U.S.

[SPEAKER_01]: bonds.

[SPEAKER_01]: I mean, that's where the carnage is going to be the greatest, but you got to get out of U.S.

[SPEAKER_01]: bonds.

[SPEAKER_01]: You got to get out of U.S.

[SPEAKER_01]: stocks.

[SPEAKER_01]: But you can't get into cash, right?

[SPEAKER_01]: You can't just sell your stocks and bonds because then you got dollars that could go down even more.

[SPEAKER_01]: So you got to get into real assets outside the United States.

[SPEAKER_01]: You got to own dividend paying foreign stocks.

[SPEAKER_01]: You got to own commodities.

[SPEAKER_01]: You got to own gold.

[SPEAKER_01]: You got to protect yourself from what's about to happen.

[SPEAKER_01]: I mean, most people are going to be defenseless because they don't even understand the threat.

[SPEAKER_01]: They're dismissive of it because they don't understand the nature of the problem.

[SPEAKER_01]: They think we have a great economy.

[SPEAKER_01]: We don't.

[SPEAKER_01]: We have a bubble.

[SPEAKER_01]: We have an illusion created by inflation.

[SPEAKER_01]: Trump is hoping to perpetuate that illusion by creating even more inflation.

[SPEAKER_01]: But it's not going to work, right?

[SPEAKER_01]: We have too much of inflation already to use inflation to mask the problems created by inflation.

[SPEAKER_01]: So we end up overdosing on it and that's again, that's what gold is telling you.

[SPEAKER_01]: That's why it's rising the way it is and that's why it's not going to stop.

[SPEAKER_01]: Anyway, that's it for today's podcast.

[SPEAKER_01]: Um, don't forget to watch that, uh, that zero edge debate, that's going to be live.

[SPEAKER_01]: I'm doing that tomorrow.

[SPEAKER_01]: I'm going to do another, uh, shift gold market rap on Friday.

[SPEAKER_01]: So we'll see what happens, uh, over the next couple of days and I'll wrap up the entire week.

[SPEAKER_01]: So make sure to go to, uh, the shift gold YouTube channel, subscribe to this YouTube channel.

[SPEAKER_01]: If you're not currently a subscriber, [SPEAKER_01]: And, you know, still trying to get the 600,000 and speaking of subscribers, make sure you subscribe to Schiff Sovereign.

[SPEAKER_01]: We're putting out, again, incredible content on a weekly basis, and you got to make sure that you're signed up and receiving our emails in your inbox, and you go to SchiffSovereign.com to sign up.

[SPEAKER_01]: Bye for now.

[UNKNOWN]: Thanks for watching!