Latest / Financial Survival Network / Gold In A Vault Can't Be Sanctioned -- Dana Samuelson #6092

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Gold In A Vault Can't Be Sanctioned -- Dana Samuelson #6092 · Financial Survival Network

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  So these countries that want to do less business and dollars are having a hard
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  time doing that. But what they can do is buy gold as fast as
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  they want to, and that's what they are doing because gold and a vault
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  can't be sanctioned. And over the last ten years, central banks have been
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  buying about five hundred tons of gold a year. In the last two years
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  they've double that to over a thousand tons, And this to me is really
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  material at the margin, and I do think that this is what's helping to
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  drive this gold market higher and what has caught the experts off guard. You
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  are listening to Carrie Letz's Financial Survival Network, where you get valuable information you
• 0:36
  just can't find anywhere else to thrive in today's trying times. You need the
• 0:41
  Financial Survival Network now more than ever. Go to Financial Survivalnetwork dot com and
• 0:48
  get your free newsletter and gift. Financial Survival Network now more than ever,
• 0:58
  and welcome. You aren't listening to and watching the Financial Survival Network. I'm
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  your host, Carrie Lutz. Well, our good friend Data Samuelson is with
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  us from American Gold Exchange. You find him at a mirror a M E
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  R Goold dot com and Hey, if you got a question, comment,
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  or you got something you'd like to share, just shoot me an email kl
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  at Carrie LUTs dot com. Dana, it's great to have you back on
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  the show. I wish I could say a lot happened between now and the
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  last time you were on, but not a whole heck of a lot.
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  It's we're back to the normal precious metal markets where pretty much you're watching paint
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  dry. Well, nothing's really normal these days, Carrie. But yeah,
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  we're in a consolidation phase where things are a little quiet after a really exciting
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  March and April into May for precious metals, right, So is this just
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  a little reprise, a little pit stop along the way to five thousand?
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  What's your take here? Oh? I think that gold the fundamentals that are
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  driving gold, there's a lot of them that are all in place at the
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  same time right now, which is unusual. And I do think we're going
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  to see gold go substantially higher over time, and a double from here is
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  entirely likely over the next couple of years. I'm argeting right now twenty seven
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  to fifty to three thousand over the next twelve to twenty four months myself.
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  Hey, well, you know, like when you see the headlines on the
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  mainstream financial news, they always say experts surprised about gold sudden increase. You
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  know, the experts are always taken by surprise. If there's such experts,
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  why are they surprised at anything? Correct, Well, markets make moves you
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  don't expect sometimes. But as I said earlier, we've got a lot of
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  drivers all in place at the same time. Fundamentally, you've got debt which
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  is just ever increasing, especially in the US, and that's the main big
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  picture driver over the last twenty years. Now, we've got two wars going
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  on, so gold climbs the wall of worry. And it happened to peak
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  coincidentally or not not coincidentally, with Iran and Israel exchanging direct shots for the
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  first time ever in April. Thank god, we walked back from that a
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  bit. You've got the potential for a US recession and falling treasure yields and
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  falling interest rates and perhaps some more economic stimulus, which I think could give
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  the gold market a real big tailwind if and when that occurs. And I
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  do think a recession is in the cards for the US consumer spending is seventy
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  percent of the economy, and the consumer is pretty stretched out right now with
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  record debt and record low savings and who else. Who knows what other wild
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  cards might be out there right now. And that's everything you mentioned there.
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  None of that really qualifies as a black swan here. Imagine if a black
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  swan gets mixed into the equation exactly. But it's unusual to see all of
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  these things coming together at the same time in the same place. And I
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  didn't even mention records central bank gold buying. You know, central banks have
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  doubled their gold buying over the last two years. They want to get out
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  of the dollar of the countries that are afraid of being sanctioned by the US,
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  like we sanctioned Russia after they invaded the Ukraine. So there's this big
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  d dollarisation movement, but practically it can't really happen because there's no viable alternative
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  to the dollar. The dollars entrenched in the financial system. So these countries
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  that want to do less business than dollars are having a hard time doing that.
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  But what they can do is buy gold as fast as they want to,
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  and that's what they are doing because gold and a vault can't be sanctioned.
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  And over the last ten years, central banks have been buying about five
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  hundred tons of gold a year. In the last two years they've double that
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  to over a thousand tons, And this to me is really material at the
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  margin, and I do think that this is what's helping to drive this gold
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  market higher and what has caught the experts off guard. Yeah, so golden
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  of all can't be sanctioned, and that's another kind of way of just saying
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  that there's no counterparty risk here. Exactly. That's gold's greatest attribute. It's
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  got no counterparty risk. So you think it's a bargain here at to twenty
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  three twenty and change, Well, I do think that we are in a
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  bull market that's going to continue. And it's a little hard to wrap your
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  head around buying something at an all time high, but when you think the
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  market's just going to keep going higher, I do believe it's a good deal,
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  especially at around twenty three hundred. If we get a little cheaper,
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  I think there'll be a lot of buying coming in at the first If the
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  numbers are twenty two something, I do think silver, Yeah, I do
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  like silver better as an investment at these levels because gold it's about fifteen percent
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  above its previous all time high in twenty eleven, while silver is about thirty
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  percent, still under its previous two all time highs and right around fifty dollars
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  announce in about twenty nine to fifty today, Silver to me seems to be
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  the better value because silver lags and then plays ketchup, and when it plays
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  ketchup, it tends to do so with a vengeance. So we see that
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  a couple times over the last four or five years, and it's but right
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  now it's it's in a bit of consolate of a consolidation phase, just like
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  gold is. How far do you think silver can go? Oh, I
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  think silver could easily get over forty dollars. In fact that this gold price,
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  I'm surprised silver isn't already over forty dollars. I think forty to forty
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  five is a range I'm targeting in my own mind. So you're thinking triple
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  digits here, I do think sixty to seventy five dollars silver is entirely possible.
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  Triple digits is a bit of a stretch for me. I don't like
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  to look too far over the horizon, because things can change. But I
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  do think, you know, one hundred dollars silver is entirely possible given enough
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  time. Really one hundred dollars yeah, well it could go even higher than
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  that, right, I mean when you start thinking about what's in the ground
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  and the fact that you know, we're in silver deficit now, right right,
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  Yeah, for the last two years, we've been in a fundamental supply
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  deficit where the world's consuming more silver than it's mining, and there's a lot
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  of silver use in EVS solar panels, so that demand factor is likely to
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  increase. And silver is not really an economical metal to mine. It usually
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  comes as a byproduct of other metals, as mars, I remember, if
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  I remember correctly, so, I do think silver is a better Yeah,
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  around thirty bucks an ounce. That's a great deal right now. Usually it's
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  a byproduct of copper and other base metals. Of course, certain countries like
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  Mexico, Peru, a few others. You know, there's a few pure
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  silver mines still kicking around. There's a few under development out there, but
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  like you say, generally not that economical unless you're talking at about Bonanza grades,
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  you know, like kilo pertn silver. Then it becomes very economical.
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  You know, some of the largest silver mines in the US have been shut
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  down over the years for that very reason. So it's going to be interesting
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  to see if silver rises again. Certainly at one hundred dollars an ounce,
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  it becomes very economical to produce. Right, We'll see some greater a lot
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  greater exploration if number gets that high. All right, So when we're looking
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  at you know, how you buy it, what's your favorite means of buying
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  it? I mean, I know that depends upon your your particular circumstances,
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  but somebody just getting into it Joe sixpack, for instance. I'm a physical
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  precious metals dealer. National Physical Precious Metals Mail order Company is my business.
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  So we deal in the sovereign minted one ounce coins, which are really just
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  round bars made by the US Mint, Canadian Mint, Austria, and Mint.
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  Those are the big three, both in one ounce gold and one ounce
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  silver. I call them vanilla, chocolate and strawberry simply because of their most
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  widely traded, competitively priced, and easiest to sell when you want to sell
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  what you've already purchased. I favor the US mint products over the Canadian and
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  the Austrian But we've had situations over the last few years when demand has been
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  really strong in the US, mint cannot eep ace with demands, so we've
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  seen premiums higher for US ounces of gold and silver US eagles than we have
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  for maple leafs and philharmonics. And when that's the case, I say buy
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  the cheaper of the three alternatives. That's what I truly like the most.
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  So you know, there's a lot of fake stuff out there, fake gold,
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  counterfeit bars, counterfeit rounds, and the same with silver. I've even
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  heard recently some of them popping up. It's the best way to avoid fakes.
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  Deal with a long standing dealer who's been in business for decades. You
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  know, I'm an old timer. Deal with someone who's got a lot of
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  experience. Do not buy on auction online platforms or through private chat groups.
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  That's really where most of the trouble is. I'm a member of the Professional
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  Numismatists Guild, which is the leading organization of rare coin dealers in the country.
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  In fact, I was pressed of the Professional Numismatist Guild when this Chinese
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  counterfeiting problem came to light, and I helped to conceive of and establish the
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  Industry Anti Counterfeiting Task Force that today works with Homeland Security and Secret Service to
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  interdict shipments of fake precious metals items coming in from China. A real dealer
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  that really knows what he's doing can spot fakes a mile away. They're so
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  far different than the sovereign minted products. It's easy for us to see the
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  difference. But if you're not used to looking at these metals, you could
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  be fooled. And this is why I don't really recommend refinery made bars one
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  ounce gold bars or silver one ounce bars in particular, primarily gold bars actually,
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  because the Chinese can replicate those more readily. The designs are less intricate,
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  and they're easier for the Chinese to pass off a bad hungsten core bar
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  plated by gold. Uh. The sovern Mints have added tiny, little minute
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  design elements into their striking features of the coins to make it harder for the
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  Chinese to knock them off to replicate them. So the soverer mints are trying
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  to defend their own product. Uh. So what if somebody comes to you
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  with some rounds, say some silver rounds is you know, I've heard even
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  that they're replicating the weight now almost precisely in these fakes. Right, we
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  have ways of testing them to make sure they're real silver. We have density
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  measuring devices. Uh, there's a couple other little tricks that we have.
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  You know. One thing is sound. You know what, I go through
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  inventory that I have not sold that I'm buying back by buying from someone.
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  These coins that are pure silver have a very specific ring to them. Pay
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  man. I can hear it to literally hear it when they hit each other.
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  The ping test. Yeah, yeah, well it's just ding ding ding
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  versus funk funk funk. Yeah. So what about those guns, those X
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  ray guns? Those are good. Yeah, XRF guns are good, but
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  their cost prohibitive. They cost about twenty grand and they're a bit of an
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  overkill unless you're doing a lot of buying of metal that you really don't know
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  what it is, I mean, purity wise, like jewelry other things.
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  But they're good for testing for fakes as well. And scanners too, any
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  scanners you like out there. Well, there's one device that we use as
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  an industry called the Sigma SYGM and a Yeah, we use the Sigma device
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  mostly and a lot of it's just looking at coins and knowing what's you know,
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  I've seen hundreds and thousands and millions of ounces of gold and silver,
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  so I just know what the various mints products look like, sound like,
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  feel like, yeah, feel like too. And it's kind of like a
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  bank teller when they get those counterfeit bills, they feel so many you know,
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  like you say, millions of dollars of currency going through their hands and
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  then it just hits their hits their figure tips and they just instantly know.
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  So that expertise is a good reason to buy from a accredited, acknowledged source
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  like yourself, right right. And there's a lot of good dealers around the
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  country in the US that RP and G members professional and Mismatistic Guild members.
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  We tend to be the leaders in the industry with the most experience. Yeah,
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  I bought from you many many years ago. I haven't bought metals much
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  in the recent years, no need to, but you know I bought from
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  you probably back around two thousand and eight or nine ten in that area,
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  so very happy with the service. They just tell us, Dania, Dana,
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  where we find you, how we connect with you on the web.
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  Find out more about about your company. So again, we're American Gold Exchange.
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  Where willis We're in based Boston, Texas. We're in our twenty sixth
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  year this year. Website is a M E R g O l D dot
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  com. People can email us at info I n f O at A M
• 15:18
  E R G O l D dot com. Phone numbers eight hundred six one
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  three nine three two three if you'd like to give us a call. All
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  right, excellent. Hey, really appreciate you coming on data again and uh
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  talking about this. I think a lot of valuable info there. If you've
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  got a question for Data myself, shoot me an email KL at Carrie Lets
• 15:41
  dot com. The link to data sites and the show that's this interview on
• 15:46
  Financial Survival Network dot com. And while you're there, please sign up for
• 15:50
  our free newsletter at Data. Always a pleasure. Thanks for the info.
• 15:54
  Thank you, Kerry. Great to see you again. Thanks for listening to
• 15:58
  Carrie Lets's financial service Bible network your solution to today's trying times. For the
• 16:03
  latest, go to Financial Survivalnetwork dot com. Financial Survival Network now more than ever