Latest / Financial Survival Network / Silver Is Breaking the System - David Erfle #6364
Transcript
- 0:00Speaker 1: There's not enough silver and people that are waiting around
- 0:04Speaker 1: for this gentleman's entry to get into silver stocks, because
- 0:07Speaker 1: you know, if you look at silverstocks right, you see
- 0:09Speaker 1: look at the look at the silver price. Wow, it's quadrupled,
- 0:12Speaker 1: you know in the past year. But silver stocks they've
- 0:16Speaker 1: only they've only more a little bit more than tripled.
- 0:19Speaker 1: You know, they're supposed to provide more leverage to the
- 0:21Speaker 1: silver price that gold stocks are doing their job. You know,
- 0:24Speaker 1: they provided two and a half times leverage last year
- 0:27Speaker 1: to the gold price, but silverstocks did not. They're still
- 0:30Speaker 1: grossly undervalue.
- 0:32Speaker 2: You were listening to Carrie Leutz's Financial Survival Network, where
- 0:36Speaker 2: you get valuable information you just can't find anywhere else
- 0:40Speaker 2: to thrive in today's trying times. You need the Financial
- 0:43Speaker 2: Survival Network now more than ever. Go to Financial Survivalnetwork
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- 0:52Speaker 2: Survival Network now more than ever.
- 0:59Speaker 3: And welcome you are listening to and watching the Financial
- 1:03Speaker 3: Survival Network. I'm your host, Carrie Leuts. David Earthley is
- 1:07Speaker 3: with us.
- 1:07Speaker 4: Now.
- 1:08Speaker 3: If I sound excited for this interview, there's a good
- 1:11Speaker 3: reason I am. I'd been looking forward to this one
- 1:14Speaker 3: for nearly a month. David, you have been one of
- 1:20Speaker 3: the people who's called this run up in silver almost
- 1:24Speaker 3: to the day. I remember back in May we talked
- 1:27Speaker 3: about thirty two point fifty being a line in the
- 1:30Speaker 3: sand and the cup with the handle a twenty five
- 1:34Speaker 3: year cup with a handle, right, forty five? Yeah, forty
- 1:39Speaker 3: five you know silver Ojetas, Yeah, forty five years. How
- 1:43Speaker 3: can I forget that? But you know, the manipulation of
- 1:47Speaker 3: silver goes back over one hundred years. But we don't
- 1:51Speaker 3: need to do ancient history. It started really in nineteen
- 1:54Speaker 3: sixty five when they demonetize the coinage in in the
- 2:00Speaker 3: United States and Canada and the rest of the world.
- 2:03Speaker 3: Canada had eighty percent silver coins back then, and eventually
- 2:08Speaker 3: no country in the world puts silver in their coinage
- 2:11Speaker 3: because it would just be hoarded and it's not really
- 2:15Speaker 3: compatible with an inflationary environment, is it.
- 2:20Speaker 1: No, And now it's it's it's sixty percent an industrial metal.
- 2:24Speaker 1: So the shortage now it's it's in its six consecutive
- 2:27Speaker 1: year to going into its six consecutive year now of
- 2:30Speaker 1: a structural deficit. And you know, I mean the physical
- 2:35Speaker 1: price and the paper price is really disconnected. If you're
- 2:38Speaker 1: buying silver and CHANGI you're paying over one hundred and
- 2:41Speaker 1: thirty dollars an ounce.
- 2:42Speaker 4: Now I'm the premium. Yeah.
- 2:44Speaker 3: You know Keith Neumeier, when I first heard him speak
- 2:47Speaker 3: fifteen years ago at Hard Assets in New York, he said, exactly,
- 2:52Speaker 3: what's happening now is going to happen commercial signal fail.
- 2:56Speaker 3: We're pretty close to that force measure. What do you
- 2:59Speaker 3: think the odds are a force majeure in the next
- 3:02Speaker 3: few weeks on the COMEX.
- 3:04Speaker 4: Oh yeah, I mean anything could happen.
- 3:06Speaker 1: I wouldn't put it past you know. I mean it's
- 3:08Speaker 1: a critical metal now. You know, the government identified it
- 3:12Speaker 1: as a critical medal along with the with copper, so
- 3:15Speaker 1: they could settle in paper these contracts and say, you
- 3:19Speaker 1: know what, sorry, you're not going to get your physical
- 3:21Speaker 1: We're going to settle in paper. That could happen. I
- 3:24Speaker 1: mean the silver price has quadrupled now since uh Trump
- 3:30Speaker 1: was you know, created as the fourth president, and now
- 3:34Speaker 1: gold has nearly doubled. I mean, this explosive move we're
- 3:40Speaker 1: seeing in both precious metals, I mean it's basically it's
- 3:45Speaker 1: really not just another bull market rally. It's you know,
- 3:48Speaker 1: gold blowing past five grand like it's not even there,
- 3:52Speaker 1: and silver clear and one hundred dollars an ounce like
- 3:54Speaker 1: a hot knife through butter. That basically represents a funnel
- 3:58Speaker 1: metal breakdown in confidence in the world monetary system that's
- 4:03Speaker 1: basically been building since the two thousand and eight financial crisis.
- 4:07Speaker 1: I mean, this extraordinary rise in both gold and silver
- 4:13Speaker 1: is basically the marketplace saying, hey, the global sovereign debt spiral.
- 4:19Speaker 1: You know, over three hundred and fifty trillion of global debt,
- 4:22Speaker 1: it's now reached terminal velocity. And that is intermixed with
- 4:27Speaker 1: increasing geopolitical turmoil, especially from the Trump administration. While generalist
- 4:34Speaker 1: investment institutions at the same time and retail investors they
- 4:38Speaker 1: have only recently returned to the to the to the
- 4:43Speaker 1: precious metals mining space after leaving in mass in twenty twelve.
- 4:48Speaker 1: I mean, I remember during the last Bowl market, fifteen
- 4:51Speaker 1: fifty was the line in the sand and goal. I
- 4:54Speaker 1: said to myself, Okay, if you know, fifteen fifty has
- 4:58Speaker 1: been strong support and if around this was around twenty twelve,
- 5:01Speaker 1: twenty thirteen, if that goes, I'm going to have to
- 5:04Speaker 1: sell all my gold stocks because then we're in for
- 5:07Speaker 1: a pretty deep correction. And lo and behold, the gold
- 5:11Speaker 1: price cratered all the way down to nearly one thousand
- 5:15Speaker 1: dollars announced by the end of twenty fifteen, the GDX
- 5:19Speaker 1: and the GDXJ corrected eighty five percent. And as when
- 5:25Speaker 1: the gold price hit one thousand dollars, I mean, everybody
- 5:29Speaker 1: had basically sold everything as far as precious metal stocks
- 5:34Speaker 1: related stocks were concerned, and the shorts were cleaning up
- 5:39Speaker 1: like crazy. And like I said, the gold price I
- 5:44Speaker 1: get bottom at like ten forty five, right, and then
- 5:47Speaker 1: it took almost five years for gold to reach two thousand.
- 5:52Speaker 1: Then it consolidated that move for about four and a
- 5:54Speaker 1: half years, and then it took about another forty four
- 5:58Speaker 1: and a half years to get to three thousand. Well,
- 6:01Speaker 1: from three thousand to four thousand, it only took seven months.
- 6:05Speaker 1: And now from four thousand to five thousand, it only
- 6:08Speaker 1: took three months. And now it's it's reached fifty it's
- 6:12Speaker 1: fifty three to fifty here right before the Fed's about
- 6:15Speaker 1: to about to to basically basically say that they're going
- 6:19Speaker 1: to come out and not raise interest rates. But whatever
- 6:21Speaker 1: they do, it's it's a lame it's a lame duck
- 6:24Speaker 1: FED right now because Trump is about to hire a
- 6:28Speaker 1: yes man. I wouldn't be surprised if he does it
- 6:30Speaker 1: right after FED, right after Powell says they're not going
- 6:33Speaker 1: to raise interest rates, he'll come out and with a
- 6:35Speaker 1: tweet and say something like too late, Powells not written
- 6:38Speaker 1: not lowering interest rates to basically help us lower the
- 6:43Speaker 1: dollar on purpose to bring manufacturing to this country. You know,
- 6:48Speaker 1: I mean, everything that they're trying to do is they're
- 6:51Speaker 1: trying to intentionally devalue the dollar because that's this is
- 6:57Speaker 1: the only way out of this mess, is devalue it.
- 7:00Speaker 1: Because obviously they don't care about deficits. You know, Gerald
- 7:04Speaker 1: powk the government continuing to borrow money and spend money,
- 7:11Speaker 1: and there's no impetus, there's no interest in paying any
- 7:14Speaker 1: of it back because they can't. I mean, back in
- 7:17Speaker 1: nineteen eighty, when I was in high school and.
- 7:21Speaker 4: I saw the headline news.
- 7:23Speaker 1: Global debt reaches one trill on, I'm like, wow, a
- 7:26Speaker 1: trillion in debt and the debt to GDP at the
- 7:29Speaker 1: time was like thirty five percent. Well, now we're adding
- 7:33Speaker 1: a trillion in debt every eighty days and debt to
- 7:36Speaker 1: GDP is one hundred and twenty five percent, and there's
- 7:39Speaker 1: no intention of any of these governments pay anything back.
- 7:42Speaker 1: It's this huge Hanzite teme that now is coming to
- 7:45Speaker 1: a head. That's what Golden Silver is screaming at us right.
- 7:48Speaker 3: Now, totally screaming. And is anyone listening besides our little group?
- 7:53Speaker 3: I think more people are listening now, David than ever before.
- 7:59Speaker 3: And uh, you know it's like after the financial collapse,
- 8:04Speaker 3: nobody learned anything. We solved the problem with more death.
- 8:10Speaker 1: How does that just it's kicked the can down the road.
- 8:13Speaker 1: Well that road is coming to an end now. They
- 8:15Speaker 1: can't kick it down that any any any longer.
- 8:18Speaker 4: And uh, it's you know, the Japanese bond market is
- 8:22Speaker 4: blowing up right now. Yeah, right, So that is just
- 8:26Speaker 4: and and the and the US came out and said, hey,
- 8:28Speaker 4: we're gonna we we we we may be we may.
- 8:32Speaker 1: Be shoring up the the the Japanese bond market. So
- 8:35Speaker 1: they keep doing these currency interventions and people are no
- 8:40Speaker 1: longer fooled by this. And Wall Street now is even
- 8:45Speaker 1: is even telling you know, investors to invest in gold.
- 8:49Speaker 1: You know, Wall Street, these big banks, they pooh pooed
- 8:51Speaker 1: gold and silver for so long, you know, right, I mean,
- 8:54Speaker 1: gold is a barbarous relic. It doesn't pay any interest.
- 8:58Speaker 1: You know, silver is too cheap to be to be
- 9:00Speaker 1: called a precious metal. It's too volatile. You know, it
- 9:03Speaker 1: has these spikes and then you know that they get
- 9:06Speaker 1: quashed and then they and then they turned into these
- 9:08Speaker 1: long bear markets. But if you take a look at
- 9:12Speaker 1: the at at at the at the forty five year
- 9:15Speaker 1: cup and handle silver chart that you that we referenced
- 9:18Speaker 1: earlier in this conversation, well back when I was in
- 9:22Speaker 1: high school again, when the Hunts tried to corner the
- 9:25Speaker 1: silver market. Yeah, yeah, that was the synthetic move, right.
- 9:29Speaker 1: The Hunts were trying to corner the stiver market. So
- 9:31Speaker 1: what what did the government do? They change the rules,
- 9:33Speaker 1: and all of a sudden, the Hunts, the Hunts were
- 9:36Speaker 1: the only ones that had silver and they became the
- 9:38Speaker 1: only sellers and the market collapsed. So that created this huge,
- 9:42Speaker 1: long term, multi decade bear market. And then we had
- 9:46Speaker 1: another huge surge back in twenty eleven. That was a
- 9:49Speaker 1: speculative move and the and the CMEME came in and
- 9:54Speaker 1: they raised margin requirements five times in two weeks to
- 9:58Speaker 1: quash that rally.
- 9:59Speaker 4: Okay, did it? It created another long term bear market.
- 10:02Speaker 1: But this spike is different because this spike is is
- 10:08Speaker 1: based on supply, right, There's not there's not enough silver
- 10:13Speaker 1: and people that are waiting around for this gentleman's entry
- 10:18Speaker 1: to get into silver stocks because you know, if you
- 10:21Speaker 1: look at silverstocks, right, you see look at the look
- 10:23Speaker 1: at the silver price. Wow, it's quadrupled, you know in
- 10:25Speaker 1: the past year, but silver stocks they've only they've only
- 10:30Speaker 1: more a little bit more than tripled. You know, they're
- 10:32Speaker 1: supposed to provide more leverage to the silver price that
- 10:35Speaker 1: gold stocks are doing their job. You know, they provided
- 10:38Speaker 1: two and a half times leverage last year to the
- 10:40Speaker 1: gold price, but silver stocks did not. They're still grossly
- 10:44Speaker 1: undervalued because these people that are that are trained in
- 10:48Speaker 1: it to believe that while the silver always had, it
- 10:51Speaker 1: has this spike and that it has this crash and
- 10:54Speaker 1: then it goes into a bear market for a long time.
- 10:56Speaker 4: Well, the CME tried to do it again during the holiday.
- 11:00Speaker 1: Yeah, over the over Christmas, right, they raised they raised
- 11:03Speaker 1: margin margin requirements three times times while everybody was on vacation.
- 11:08Speaker 3: And it went up and it went up.
- 11:10Speaker 1: Well, no, it came down, and it worked for like
- 11:14Speaker 1: while everybody was on vacation, and then buying came right.
- 11:17Speaker 4: In it took it right back up again. Yeah.
- 11:20Speaker 3: What I meant to say is I called, you know,
- 11:23Speaker 3: the day after Thanksgiving. I knew it was going to
- 11:27Speaker 3: be a massive move, and then the day after Christmas
- 11:31Speaker 3: massive move. But when they do the slams with the
- 11:35Speaker 3: higher margin, it lasts for a day or two. And
- 11:38Speaker 3: now when they do a dump, a paper dump, it's
- 11:42Speaker 3: lasting for hours. The day's come and when they do
- 11:45Speaker 3: the dump and the price goes up, and where does
- 11:49Speaker 3: that where does that leave them?
- 11:50Speaker 4: David?
- 11:51Speaker 1: Yeah, I mean earlier this earlier this week, we had,
- 11:54Speaker 1: you know, at the beginning on Monday golds, you know
- 11:57Speaker 1: last okay, last week, gold finally broke a hunhundred well
- 12:00Speaker 1: Monday gold spike to a silver spike to one hundred two,
- 12:04Speaker 1: one hundred and seventeen dollars an ounce, and the gold
- 12:07Speaker 1: price went above fifty one hundred. Well, there was an
- 12:10Speaker 1: inter day reversal, and you know the stocks, you know,
- 12:13Speaker 1: gold stocks, mining stocks did the same thing. They had
- 12:16Speaker 1: this inter day reversal, you know, showing okay, well maybe
- 12:20Speaker 1: this is finally an interim peak and maybe we can
- 12:23Speaker 1: get some consolidation before we go higher. Well, that that
- 12:27Speaker 1: weakness was immediately bought as soon as the US Consumer
- 12:33Speaker 1: Confidence Index came out showing it it's that it's plunged
- 12:36Speaker 1: to its lowest level since twenty fourteen. And that's that's
- 12:42Speaker 1: that's even lower than the pandemic. So and then Trump
- 12:49Speaker 1: came out and he dismissed the concerns about the dollar
- 12:52Speaker 1: because what the dollar did was it it's it moved
- 12:56Speaker 1: down to it to US Dollar index moved down to
- 12:58Speaker 1: four year support at ninety six, where it's trying to.
- 13:02Speaker 4: Stabilize right now before the Fed.
- 13:05Speaker 1: And he come out and he said basically, he told
- 13:08Speaker 1: reporters that he thinks the dollar to the client is great,
- 13:12Speaker 1: and he said he's happy just to see the.
- 13:14Speaker 4: Dollar seek its own level. Right.
- 13:18Speaker 1: Well, the market heard this and it was basically a
- 13:22Speaker 1: permission to sell the dollar. So the dollar promptly had
- 13:24Speaker 1: its worst day since April. So because Trump, he understands
- 13:28Speaker 1: that in order for the US to bring back manufacturing,
- 13:31Speaker 1: they need to devalue the dollar. Weaker currency supports exports,
- 13:36Speaker 1: I mean, it reduces the burden of record government debt, right,
- 13:40Speaker 1: I mean, just the interest on the debt is over
- 13:43Speaker 1: a trillion dollars. So dollar weakness is not a problem
- 13:47Speaker 1: to be solved. It's basically a feature to be tolerated
- 13:50Speaker 1: when devaluation aligns with their.
- 13:54Speaker 3: Well, look, he can't come out and say we're crashing
- 13:57Speaker 3: the dollar to do all these things, exactly. No. But
- 14:01Speaker 3: if gold and silver start going up and the dollar
- 14:06Speaker 3: starts coming down, although you know, it looks like we're
- 14:11Speaker 3: hitting a panic period, and that panic invariably probably going
- 14:20Speaker 3: to be triggered by events in Asia and in Europe,
- 14:24Speaker 3: so you know, we won't see a Leman moment anymore
- 14:28Speaker 3: because basically it's all a big you know what sandwich
- 14:33Speaker 3: and everyone has to take a bite. Now, that's the
- 14:36Speaker 3: way the system's set up. So if a big one
- 14:39Speaker 3: goes down, all the big institutions got to pay up. Yeah,
- 14:44Speaker 3: that's around the world. And I think it could very
- 14:48Speaker 3: well be a hedge fund or some large private equity
- 14:52Speaker 3: fund that tanks.
- 14:54Speaker 4: Yeah, yeah, I wouldn't be surprised.
- 14:56Speaker 1: I mean, the accumulation of the blows to the to
- 15:00Speaker 1: the US dollar by the Trump administration and combined with
- 15:03Speaker 1: the FED caving on inflation.
- 15:05Speaker 4: Right, they're two percent fantasy target. It's nowhere near it.
- 15:09Speaker 4: Inflation's nowhere near.
- 15:10Speaker 1: They keeps going higher, and basically, I mean it's it's cemented.
- 15:16Speaker 1: The both presses medals position is the ultimate safe haven,
- 15:20Speaker 1: and it's been. It's now forced Wall Street to stop
- 15:22Speaker 1: demonizing the metal as a barbarous relic. Like I said,
- 15:24Speaker 1: at the best now there now they're you know, sixty
- 15:27Speaker 1: forty portfolio was for decades, was was was recommended by
- 15:32Speaker 1: by Wall Street and analysts. Right, sixty percent stocks, forty
- 15:35Speaker 1: percent bonds. Well recently now it's oh, sixty percent stocks,
- 15:40Speaker 1: twenty percent bonds, twenty percent precious metals.
- 15:43Speaker 4: That is monumental, right.
- 15:45Speaker 3: That is because because the average holding of somebody in
- 15:49Speaker 3: the West was under.
- 15:51Speaker 4: Two percent, less than one percent. Oh, let's see what
- 15:55Speaker 4: it got.
- 15:56Speaker 3: Well, with the market going up as high as it did, right,
- 15:59Speaker 3: it went under one percent.
- 16:00Speaker 4: Yeah. Yeah.
- 16:02Speaker 1: So in twenty eleven, right when when gold spike fit
- 16:06Speaker 1: around nineteen hundred and silver spiked at fifty, the ETFs
- 16:11Speaker 1: goldie precious metals ETFs in relation to the ETF market
- 16:15Speaker 1: was like eight percent. So I mean gold now is
- 16:21Speaker 1: over five thousand dollars an ounce, and silver's way over
- 16:24Speaker 1: one hundred. And the marketplace is still is just finally
- 16:29Speaker 1: waking up to precious metals because they've been so distracted
- 16:32Speaker 1: by the stock market continue to go up, by their
- 16:35Speaker 1: tech stocks continuing to go up. So you know, with
- 16:38Speaker 1: with with the like twenty eight trillion in tech stocks,
- 16:41Speaker 1: when they when they start to finally rotate into the
- 16:44Speaker 1: precious metals sector, I mean, we still got that ahead
- 16:47Speaker 1: of us.
- 16:48Speaker 4: Yeah.
- 16:49Speaker 3: And I tell you a secret from a friend of
- 16:52Speaker 3: mine who my friend Brad, who deals metal on the side,
- 16:56Speaker 3: and he's gotten notices from all the silvery finers he
- 17:00Speaker 3: deals he does business with. They're choking on inventory because
- 17:05Speaker 3: retail is dumping their physicals.
- 17:07Speaker 4: Yeah. Oh it's it's a spike. I'm taking my profit yep, exactly.
- 17:13Speaker 3: So all right, David, I would say, tell us how
- 17:18Speaker 3: we can sub subscribe to Junior Minor Junkie. But I
- 17:23Speaker 3: understand you've closed subscriptions now.
- 17:26Speaker 1: Yeah, I mean last week I got a wave, I
- 17:30Speaker 1: mean a crazy wave of interest. I'm surprised my site
- 17:33Speaker 1: didn't didn't collapse. It was fantastic. I got so many
- 17:39Speaker 1: subscribers that my limit, my five hundred limit is full.
- 17:42Speaker 1: I limit to five hundred subscribers because you know, I'm recommending,
- 17:45Speaker 1: I'm purchasing and recommending these juniors, and some of.
- 17:48Speaker 4: Them don't have a lot of liquidity in the US.
- 17:51Speaker 1: And you know, sixty five percent of my subscriber base
- 17:55Speaker 1: as US investors, So you know, in all fairness, I
- 17:57Speaker 1: want to make sure that we all kind of get
- 17:59Speaker 1: in at the same price. And if I have, if
- 18:02Speaker 1: I have too many subscribers, that that that really can't happen.
- 18:05Speaker 1: We start to become the market for these stocks, and
- 18:07Speaker 1: I don't want that to happen. So there is a
- 18:10Speaker 1: waiting list, and I do get cancelations from time to time.
- 18:14Speaker 1: So you can come by my website at Junior minor
- 18:17Speaker 1: Junkie with a y dot com and if you hit
- 18:20Speaker 1: the subscribe button, it'll take you to a waiting list
- 18:23Speaker 1: and you can and you can put your name on
- 18:25Speaker 1: the waiting list. So what that waiting list entails is
- 18:28Speaker 1: once I have about like five ten spaces open up,
- 18:31Speaker 1: I will send out an email to all the tou
- 18:34Speaker 1: everybody on them waiting list, and then first come vers.
- 18:39Speaker 4: Yeah, got it all right?
- 18:41Speaker 3: Now, those are exciting times here and appreciate your coming
- 18:45Speaker 3: on and we will talk to you against soon. If
- 18:49Speaker 3: you got a question for David or myself, shoot me
- 18:51Speaker 3: an email KLF Kerrie lets dot com. Everyone, we'll get
- 18:56Speaker 3: back to you as quick as we can. We're getting
- 18:58Speaker 3: inundated with emails now and we'll do our best. David,
- 19:02Speaker 3: great talking to you and we'll be in touch soon.
- 19:05Speaker 4: You too, Carrie. Always great talking to you, and thanks
- 19:07Speaker 4: again for having me on.
- 19:08Speaker 2: Thanks for listening to Carrie Letz's Financial Survival Network, your
- 19:12Speaker 2: solution to today's trying times. For the latest, go to
- 19:16Speaker 2: Financial Survivalnetwork dot com. Financial Survival Network
- 19:21Speaker 4: Now more than ever,