Latest / SILVER / GOLD / $UFD: Surviving Global Economic Shifts | RONS BASEMENT / ✅ SILVER Stackers! ✅ THIS Is NOT What You Think!... (Silver and Gold Price Update)

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✅ SILVER Stackers! ✅ THIS Is NOT What You Think!... (Silver and Gold Price Update) · SILVER / GOLD / $UFD: Surviving Global Economic Shifts | RONS BASEMENT

0:00
Three big positive factors to talk about today in the silver
0:04
price. Everybody's talking about the
0:06
short squeeze. Is that the reason why silver
0:08
had skyrocketed? Now, obviously this morning
0:11
silver is not skyrocketing. Last I checked, we were down
0:14
$0.80 per oz. So we're certainly not having a
0:19
short squeeze this morning. We're having a bit of a sell
0:22
off, a bit of a consolidation, but let's talk about why the
0:27
fact that we've yet to have a short squeeze is a very, very
0:31
good thing. Let's run out to the chart and
0:34
take a look and by the way, before we run out there, I want
0:36
to tell you thank you for joining me this morning here in
0:39
the basement. I know it's a rough day in the
0:42
market for silver. We're going to talk about that
0:44
volatility as well, but it's a big deal when you join me here.
0:49
Thank you thank you. Please subscribe to the channel,
0:51
give the video a thumbs up. Here we let's refresh this
0:56
silver chart. We're down $0.90 in the futures.
0:59
Wow, $34.14 silver getting clobbered today.
1:05
Now are we having a short squeeze or did we have some
1:09
people were saying the big massive, even me, right?
1:12
I was bringing it up short covering maybe and certainly to
1:16
some extent it was. But guys, this is not a short
1:20
squeeze, OK? A short squeeze.
1:23
If you want to see more what that looks like, go back here to
1:25
2011 and look how over the course of just a few weeks, the
1:31
silver price went from $35 all the way up to almost $50 over
1:37
here. What we have had is more of a
1:40
natural market force that has propelled the price of silver
1:45
higher. And that's a good thing because,
1:49
because remember these silver squeezes, when they do occur,
1:52
they'll be a lot of fun. But typically a spike up is soon
1:56
followed by a spike down. So it's OK that we've not had
2:01
this big silver squeeze yet. And it's something that in the
2:04
future, you know, maybe we, we will go from $45 to $85 silver
2:11
in the matter of a couple weeks. We'll save our it's like a turbo
2:15
button when you're playing a video game, right?
2:18
You know, you get a couple turbos you can use while you're
2:20
playing the the we've got that in our back pocket the the
2:24
prospect and there's never a guarantee.
2:26
But we do know that there is a massive, massive short position
2:31
in the silver market right now. So what we're seeing here is not
2:35
a short squeeze. No, not at all.
2:37
So I, I, I retract any statements that I may have made
2:42
in the past to that regard. So here we are at $34.
2:46
Look at this silver chart. I know today stinks, no doubt
2:48
about it, but we got to keep things in perspective.
2:53
Here's a one year chart of silver.
2:56
Sure, yesterday we were at 35 and there we are, this little
2:59
blip down. This is not catastrophic what
3:02
we're dealing with today in there.
3:06
You are in good to see you, my friends.
3:10
Thank you for joining us in the basement, basement dwellers.
3:13
I want you to feel comfortable here.
3:14
You're part of the club. Welcome to the group, right?
3:17
You're part of the clan. Whatever we call ourselves, it's
3:21
a big deal. So I'm hearing, I just want to
3:23
put that to sleep that we, I don't think we've really had the
3:27
short squeeze yet in silver. Now it's undeniable that there
3:32
is a massive, massive short position in the market that will
3:36
need to be covered at some point.
3:39
Today. We're doing some consolidation
3:41
in the silver market probably has a lot to do with China.
3:45
Weird things are going on. Silver is also reacting to the
3:49
copper price. Let's go take a look at copper
3:52
quickly and see to what extent that might be affecting.
3:57
We're going to check that later. Let's go out to ceo.ca because
4:03
lately, like it or not, guys, the And there's copper right in
4:07
the middle. Yeah, copper down 1%.
4:10
Wow, Silver is really doing an extraordinary job of getting
4:14
clobber today. Silver's down 2.5%.
4:17
Earlier today, it was a little more equal.
4:20
Look, let's talk about volatility quickly.
4:26
We're going to have volatility in the silver market.
4:29
That's part of the game. We're going to have big up days,
4:32
and unfortunately for us, we're going to have days like today
4:35
when silver gets clobbered. Now, look, we're fighting for
4:39
$34. One of the key levels we need to
4:41
hold in the silver market, measured in U.S. dollars is
4:46
$32.50. Don't forget, it took months, it
4:50
took years. It took 12 years for us to get
4:54
the silver price above $32.50. Silver attempted like 3 or 4
5:00
five times to breakthrough $32.50.
5:04
Now that we're above that, it is no longer resistance that we're
5:09
bumping up against. Now it is support, but it is
5:13
very critical that that $32.50 level holds as support.
5:19
The volatility is part of the game here.
5:21
I drew a little picture. I want you to think about the
5:24
this, think about the the word volatility.
5:28
What letter does it start with, right?
5:30
It starts with the letter V, OK. And as you can see, the
5:37
important part here is that on that letter V, that the upward
5:42
movement is bigger than the downward movement.
5:45
If you look down here, right, a chart that's three VS hooked
5:50
together, but that's an upward facing chart.
5:53
So that's what we're dealing with today.
5:55
Who knows how this day could end.
5:57
Maybe, maybe silver ends down a dollar.
6:00
Well, remember what was it? It was Friday.
6:02
It was up to dollars. So let me ask you a quick
6:06
question. If Thursday of last week, I told
6:09
you that you could have silver up a dollar on Friday, but it's
6:13
going to drop a dollar and it was up.
6:15
It was up, what a buck yesterday as well, or earlier in the week
6:18
anyway. We're going to have these big up
6:21
days and then we're going to have a down day.
6:23
It'd be OK, right? We'd be like, Oh yeah, that's
6:25
perfectly fine. But now that we're experiencing
6:27
it on a day, my heart goes out. I understand.
6:29
It's no fun. Look, I'm not happy about it,
6:32
but it's what's happening. And the key thing is that we
6:35
continue in that upward trajectory and we've got so many
6:38
things, other things to talk about when it comes to silver.
6:42
Let's run out. I thought this was super
6:44
interesting. Let's run out and take a look at
6:49
our friend, the Oriental Ghost. Just let this sink in.
6:52
He's got a lot of the bricks, the bricks summits going on
6:55
Putin. And Gee, that's not what we're
6:57
here to talk about. These guys are buddies, right?
7:00
Even India and China have made peace on their border.
7:03
But this is what we want to look at the Shanghai Gold Exchange,
7:08
right? The physical market for silver,
7:11
I would maybe say the biggest physical market in the world for
7:14
silver, there's silver AG, that's the Shanghai Gold
7:19
Exchange, $36.33 U.S. dollars. That's the IT.
7:26
It just kind of hit me this morning.
7:27
I was like, wow, in China, silver is selling physical
7:33
silver on their exchange is selling for $36.33.
7:39
I don't believe that this bull market is over, right?
7:42
The volatility will continue. It could take a couple, a couple
7:48
years till we get $75, eighty, $5 silver.
7:52
I talked with David Hunter yesterday.
7:53
I'll have an interview with him coming out on Friday.
7:57
He thinks we could have $75 silver by the first quarter of
8:02
next year. Right.
8:03
So let's hang in there. Things are going to get better.
8:05
I got so many notes to talk about.
8:08
Yeah. You'll know it's a short squeeze
8:10
because when the short squeeze hits, silver's going to go to
8:13
$75.00 or $85. Maybe that's what David was
8:17
referring to. The other thing is that we still
8:20
don't have investors back in the silver market yet, right?
8:25
Not yet. And I've got some crazy
8:27
interesting data we're going to we're going to refer to that.
8:29
But that's the other bonus. There has been a big short
8:32
position in gold and silver massive over the last three
8:36
months. So while we aren't in the short
8:38
squeeze yet, there's still a very, very likely prospect that
8:42
we will get a short squeeze at some point in the future.
8:47
And somebody who do you think, right.
8:51
So, so, so if it's not short squeeze, somebody's buying all
8:56
this silver. It's not the the western retail
9:00
investor yet or even the the institutional investors,
9:03
although they are starting. But who's buying all this
9:07
silver? China, India, right.
9:11
There's big demand for silver in the world right now.
9:15
China is, is bypassing the COMEX in the LBMA, OK?
9:21
They're going straight to places like Mexico and importing the,
9:25
the the physical silver or in, in refining it themselves, the
9:30
Dore, all that, whatever they call that stuff they are
9:33
bypassing right there is big demand and big deficits for
9:37
silver. We've talked about that
9:39
exhaustively now, haven't we, my friends?
9:42
OK, what's the secret weapon? What's the secret weapon?
9:48
What's going to drive the gold and gold and silver price
9:51
higher? Like nothing we've ever seen,
9:54
right? Negative real interest rates.
9:58
Stay with me on this, OK? If you don't understand what
10:01
real interest rates are, it's very simple to understand and
10:05
it's critical as a gold, silver investor, precious metals
10:10
investor that we understand this.
10:12
We can talk about all these different factors that are out
10:15
there, but there's one thing still, despite the screwed up
10:20
fiscal that's going to drive the price of silver and gold to
10:23
levels like you can only imagine.
10:26
And I'm going to explain it to you and I'm explain to you how I
10:28
see this playing out and how it will play out.
10:32
OK, as we head into the next months, quarters and years, Real
10:38
interest rates mean what are you really making on your money?
10:42
You take the the, the interest rate that you're earning, the
10:45
interest rate the bank is paying, whatever bonds, and you
10:49
subtract from that the inflation rate.
10:51
So if you're earning 4% on your money in a money market account,
10:56
but inflation's running at 10%, right?
11:00
You subtract 10% from the 4% that you're earning, and you
11:04
have negative real interest rates, negative real return.
11:08
You're losing 6% on your money. If you're earning 4%, OK, but
11:13
you're losing 10% to inflation, that is negative real interest
11:18
rates. Positive real interest rates are
11:20
great, right? You're earning, let's say, 4% on
11:23
your money, but inflation's only 1%.
11:26
Then you have a positive real interest rate of 3%.
11:30
Negative real interest rates are the rocket fuel for precious
11:35
metals. And let me explain to you how
11:37
this plays out, OK? Because the Fed needs low
11:42
interest rates. the US government cannot function with
11:46
high interest rates. And let me show you why that is
11:49
the case here in very simple terms, right?
11:56
35 trillion, 707, seven, seven. Somebody take us to a casino.
12:02
the Fed, the federal government hit the jackpot.
12:06
Wait till that's 7777 trillion, 777 billion.
12:11
I digress. This number, right, creates this
12:16
number, interest expense, which is almost $1 trillion.
12:20
Our government cannot function with higher interest rates if
12:24
interest rates continue higher, right, which they will.
12:28
Thank you, Troy Oz, Thank you, my friend.
12:31
If interest rates go higher, the government cannot function.
12:35
OK? So the Fed has to keep interest
12:39
rates artificially low. How do they do that?
12:42
The only way they're going to be able to do that, because nobody
12:45
wants the debt. Nobody.
12:46
Nobody wants to buy the US debt. So that makes the interest rate
12:49
go up. The only way the Fed can keep
12:52
the rates low is by buying the debt themselves, by by printing
12:57
money, OK, trillions of dollars. And they have a history of doing
13:02
that, OK, and buying the debt themselves.
13:06
It's called monetizing the debt. Jerome Powell, right?
13:10
He'll turn on that printing press like you've never seen
13:12
before and they'll buy the US government debt and that'll
13:17
drive the interest rates down maybe to like something
13:19
manageable. It really can't.
13:21
We've got a, we've got a guru who says they can't go above 5%,
13:25
but maybe they drive rates down to around 4%.
13:28
OK, Now that's great, right? Interest rates are low.
13:32
OK, But there's a problem with that because remember how they
13:35
accomplished that was by printing money.
13:39
And what happens when they print money?
13:41
Inflation skyrockets, inflation explodes, lower interest rates,
13:48
printing money. That's like the, the, the, the,
13:51
the dual convergence of factors that make hyperinflation become
13:55
a reality. So think about this.
13:57
Over here we have quote, UN quote, low, artificially low
14:01
interest rates, right? Because the feds monetizing the
14:04
debt. But over here we have inflation,
14:07
which is exploding because of low interest rates and printed
14:11
money. So we get a 4% interest rate,
14:15
but an inflation rate that goes to maybe 10%, that's a -6 real
14:20
interest rate. And that will be the driving
14:22
force behind why silver and gold go higher because like we've
14:27
talked about ad nauseam, at that point, $6.5 trillion are over
14:34
here making 4% on their money, but inflation's at 10%.
14:39
That's $6.5 trillion. Just thinking, Oh my gosh, I'm
14:42
losing 6% per year. I'm only making 4% on my money,
14:47
but inflation is running at 10%. What am I gonna do?
14:50
What am I gonna do? Well, the stock markets, not an
14:53
option for those people. Real estates already in a
14:56
bubble. Stocks of stock markets in a
14:58
bubble. Real estates in a bubble.
15:00
The only option they're gonna have.
15:02
And that's why it's been proven throughout time, negative real
15:06
interest rates are it, it's, it's, it's, there's all these
15:10
different factors we can talk about, about what, what affects
15:13
the gold price and the silver price.
15:14
We'll look at the dollar index a little bit later.
15:17
We'll look at all demand. And but at the end of the day,
15:20
there's one thing that drives the silver and gold price way,
15:23
way higher and that's when people are earning less on their
15:27
money, then they're losing to inflation, negative real
15:32
interest rates. And it's gonna it's a
15:33
mathematical it's impossible that it doesn't happen.
15:38
It's impossible and the Fed needs it.
15:40
It's the only way the system survives.
15:42
I'm sorry, I digress. But that is very important for
15:44
us to understand and remember, and right is really the
15:50
foundational factor as to why we believe that the the gold and
15:55
silver price will continue to go higher as measured in paper.
15:59
Unicorn fart desk dollars. All right.
16:01
Hey, I want to say thank you again.
16:02
Yeah. You, you, you, baby buttercup,
16:08
basement dweller, whatever we call ourselves.
16:11
Thank you for being here. Today's a rocky day, right, That
16:14
we need each other and we're going to be there.
16:16
We are here for each other. Let's go out to our friends at
16:19
Pen Backs and bite the bullet here.
16:21
This is not going to be good, guys.
16:23
This is not updated. I'm going to press the pin back,
16:26
pin backs magic button. And yes, silver down $0.94.
16:31
Gold down $12.50. Well one thing we know for sure,
16:36
if you waited till today to buy yourself some silver, gold or
16:40
platinum group metals as opposed to yesterday, you're saving
16:43
yourself some money. Pymbex is the sponsor of Ron's
16:47
Basement. They make this live stream video
16:49
possible. I've worked with them myself for
16:52
over a year. I've completed 5 or 6
16:55
transactions which to me were big.
16:57
Everything went off without a hitch.
16:59
I worked with them before they sponsored the channel.
17:01
Great people I get. What really makes me feel good
17:05
about Pymbex is all the overwhelming positive feedback I
17:10
get from our community. You guys love Pembex as much as
17:13
I do. I actually heard about Pembex
17:15
from our community. I know I'm always going to get
17:19
ultra competitive pricing. They always have what I want.
17:23
You know, I'm, I'm, I'm kind of kind of a mainstream silver
17:26
stacker, I guess you would say. They always have a great
17:29
selection and they're a company that I know I can trust and I
17:33
feel confident telling you that you can trust as well.
17:37
But you got to figure that out for yourself.
17:38
Do your own due diligence and let me know how your experience
17:42
goes. I love to get feedback on pin
17:45
backs and like I said, it is overwhelmingly been very
17:48
positive. If you ever decide that you want
17:50
to convert part or all of an IRA, don't, don't, don't get
17:53
ripped off. Please warning, if you ever
17:58
decide to convert an IRA into precious metals, take your time,
18:02
explore many options, talk to a number of different people, and
18:07
please talk to the guys at PMBEX.
18:09
Just compare at the end how many ounces of gold or silver you can
18:13
get from all the different options you have available.
18:16
I think you'll be shocked by what PMBEX can do for you.
18:19
Now let's see here. What's the next secret over
18:24
here? Whoa, whoa, whoa.
18:24
Let's go out real quickly. Let's go at the Zero Hedge and
18:27
take a look at this article. OK, this is interesting about
18:32
hyperinflation, from high inflation to hyperinflation.
18:38
I forgot to highlight that. Let's pull this up.
18:40
Hyperinflation. And this is what we just talked
18:44
about, guys. And there's Monopoly money.
18:47
Isn't it interesting how similar it looks?
18:51
The US money, we covered that yesterday.
18:54
All right, In the 1970s, OK, when silver went from $1.50 to
18:58
$50, from $1.50 to $50, yes, silver went up by more than
19:03
what, 25 times during that period.
19:06
Despite elevated inflation, the Fed cut interest rates multiple
19:10
times in 1972 to stimulate economic growth.
19:13
Inflation soared to over 12% in the months that followed.
19:19
That is where we are right now. In response to rising inflation,
19:24
the Fed raised, then they raised rates in 74 up to from around 6%
19:29
to 13%. However, then the Fed entered a
19:32
deep recession. That's what happens.
19:34
We are in a box. Jerome Powell's in a box, right?
19:38
They try to fight inflation that kills the economy.
19:41
They try to stimulate the economy that creates inflation.
19:45
It's called stagflation. OK here.
19:49
So by the end of the decade, inflation was in double digits,
19:52
11%, and peaked at 14 percent, 1980.
19:56
And then Paul Volcker came to town the yellow.
19:59
That's because out of control inflation was.
20:02
Only tamed by Paul Paul Volcker, he rate hiked rates above 17%.
20:08
But it's critical for us to understand an option that is not
20:12
available to the Fed today because of the skyrocketing
20:16
federal interest expense. We have almost $36 trillion in
20:20
debt. They can't do today what they
20:23
did back then. In fact, this is where it gets
20:25
interesting. The Fed could only raise rates
20:27
to about 5 1/4%, less than 1/3 of what Volcker had to do before
20:33
capitulating. In other words, the the higher
20:36
the debt load, the less room the Fed has to raise rates because
20:40
of the interest expense. There's too much debt.
20:43
So if we went to 15% interest right now, that would pretty
20:48
much wipe out. I think the federal government
20:50
brings in about four trillion a year in in revenues from taxes
20:54
and everything. That would mean the interest
20:57
expense alone would become higher than the total government
21:01
income. OK.
21:02
They'd be like if you make 100 KA year in a job and you have so
21:06
much debt that your interest expense on the debt alone is
21:10
over 100K. As the debt pile and
21:13
accompanying interest expense grow exponentially, I am
21:16
skeptical of their ability to hike rates to even 5 1/4%.
21:20
Again, forget about higher than that.
21:23
So the Fed is in a massive box. Let's get Jerome out right then.
21:29
This is all we're going to do with Jerome here.
21:31
He is right? He is in a box.
21:34
He is a recession on one side, that's what the R stands for and
21:38
inflation on the other. And we got some shocking news
21:41
about about the economy and what is he going to do, right?
21:45
This is all he can do. Print this, guys.
21:49
That's all he can do. Get oh, get ready because it's
21:53
coming. It is coming.
21:58
He will need to print money to monetize the debt.
22:02
OK, artificially keep interest rates down, but all that money
22:07
printing is going to create sky high inflation, negative real
22:11
interest rates and you are going to see a level of interest in
22:15
gold and silver like we've never ever seen before.
22:19
Let me go out and let me show you what's going to happen.
22:21
We need to have some fun here. You guys ready to have some fun?
22:25
That's you. OK, we'll look.
22:28
We'll we'll we're going to look at this one later, but we'll
22:30
look at it now. The incredible bulk silver bar
22:33
in Monster box. Time to bulk up.
22:36
Took me a lot of time to get that green picture taken, but
22:39
this is what I really want to show.
22:41
No, wrong one. Where'd it go?
22:43
Oh, shoot. Which one did I want to show
22:46
you? There was a picture I wanted to
22:49
show you guys. Oh, it's up here, I bet.
22:51
Hold on. Here.
22:52
Here it is. Gold to all time highs.
22:57
This is when when we get these big negative, this is what's
23:00
going to happen when we get the big negative real interest rates
23:05
when people wake up right when people wake up, the sheeple
23:09
don't know that they're going to be rushing to buy very soon.
23:13
Gold and silver. The sheeple have not showed up
23:17
and I thought this was a great meme, right?
23:19
Gold to all time highs, silver to all time highs and you got
23:23
all these people out here that don't realize yet you know, your
23:26
rehab buddy, your dermatologist, the waxing lady, couples
23:32
therapist, your tender match, all of them Hold on here.
23:35
I'm getting hit with something from Susie, hopefully not
23:42
telling me that my microphone's off.
23:44
Can you guys hear me? Are you guys, are we here today?
23:47
Hey, we got 700 basement dwellers.
23:49
That's what's going to happen. Those people.
23:51
We have not even felt that yet. We have not even begun to see
23:55
that yet. I thought this was a great,
23:58
great piece of insight from Adam Taggart.
24:02
You know what's going on at the local coin coin shop level guys,
24:07
it hasn't even started yet. We haven't even seen don't see
24:12
the picture. Oh, shoot.
24:13
Thank you, Susie. Susie says we don't see the
24:16
picture. I'm sorry, guys, I'm having I'm
24:19
really screwing everything up today and the stage.
24:22
OK, here we go. Wrong one, wrong one.
24:27
There it is. Gold at all time highs, Right.
24:30
And then those are all the sheep.
24:31
We'll see all the sheep out there.
24:33
They have not even started. It's I'm going to repeat myself.
24:37
Once you just look at the picture when they come, it will
24:40
be absolutely crazy. Absolutely crazy.
24:44
Now let's go out and hold on. Find the right one.
24:54
Where did it go? Darn it, here we go.
24:57
This came from Adam Taggart. He's super respected guy in the
25:00
medals with great commentator on the on the on the economy, on
25:05
gold and silver. Gold and silver investors might
25:07
find this interesting. He said they just got off the
25:10
phone with a veteran gold dealer, shop owner.
25:13
OK. He said despite gold rising to
25:16
all time high this year and silver's recent surge to 35 an
25:19
ounce, he's not seeing any boost in buying enthusiasm from the
25:24
general public. This is a good thing, guys.
25:28
Stay with me on this. This is a good, good thing, OK?
25:32
Premiums on precious metals are low right now due to this
25:35
lackluster demand. In fact, his customers are net
25:39
sellers. He says the only movement he's
25:42
seen is that maybe the ratio earlier this year from 5 sellers
25:46
for every one buyer is now decreased to three sellers for
25:50
one buyer. These sellers why are people
25:52
selling their precious metals fall into the into the following
25:55
three excuse me categories #1 bitter.
25:59
Folks, it's not us, we're not bitter, who bought back in 2012,
26:07
who've been waiting to get back to even on a nominal basis,
26:10
people who bought silver at $34 the last time it was this level
26:14
in 2012. There aren't that many of these
26:17
people. We talked about that silver was
26:19
only up above that level for a relatively short period of time.
26:23
And fine, bye, bye, see you later.
26:25
Glad you and your mind got your quote UN quote money back.
26:29
I bet those people will regret this decision in the future #2
26:32
loose hand investors who've enjoyed a nice short term return
26:37
and some people that bought silver a year ago and they're
26:40
like, wow, it's up 4050%. Whatever it is, I'm going to
26:44
sell it. Make some money, right?
26:45
Make some profit. Those are loose hand.
26:46
Not, not, not the diamond hand investors like you and people
26:51
who need the money. This is where it gets
26:52
interesting. So in red, if the bull market
26:56
indeed runs higher from here, he thinks we're still in the early
27:01
innings of it. OK, the green the general buying
27:05
public doesn't get involved until the final inning or two
27:10
and he doesn't see us anywhere near that.
27:13
OK, think about it. Think about it.
27:16
If we were, if we were talking right now in saying that, Oh my
27:20
gosh, these the coin stars coin stores are overwhelmed with,
27:24
with, with demand. And in the online bullion
27:27
dealers, we're saying we got to raise your minimum, raise the
27:31
minimum amount you need to spend to make a purchase.
27:34
And it's taking us 8 weeks to ship the bullion to you.
27:37
Remember, just think back, we had that situation not too long
27:41
ago, right, during the health crisis of 2020, when we had the
27:45
silver squeeze, even just a year and a half ago when we had the
27:48
little banking crisis. And what happens after those,
27:51
after those spikes in demand is a pullback.
27:55
We're not having that yet. What we're having now is an
27:58
organic, healthy demand surge in silver and gold, most of it not
28:06
coming from the West, but but, but what I think is a very
28:08
robust healthy increase in the silver and gold price.
28:13
Currently, his store has few customers per day and most
28:16
transactions are done by appointment.
28:18
He contrasts this to the early 80s gold run when he'd arrived
28:22
at the shop to find a line outside the door stretching
28:25
around the block. In those days he'd had to let
28:27
let sellers and 1st so that he'd have inventory from the for the
28:32
buyers to purchase. So again, if we had lines out
28:36
the door right now at the bullion shops, at the online
28:39
bullion dealers, that would probably indicate to us that we
28:43
were in a spike up, right? So look both from a short
28:50
squeeze perspective of what's going on at the COMEX, this
28:54
massive short position that really we've not had that big
28:58
short squeeze. That's not the reason why the
29:01
price has been going up, right. Also from a Western retail
29:06
investor perspective, we haven't seen any indication that we're
29:09
in like a mania phase yet for the precious metals.
29:13
We have all those things ahead of us.
29:15
The good news is that the the the price increase, the value
29:20
increase that we've seen in gold and silver are coming from
29:24
different probably more robust natural market demand forces.
29:31
And when we do get the short squeeze, when we do get the
29:33
retail investor coming in, woof, Katie, bar the door, it could be
29:38
incredible, absolutely incredible for the precious
29:42
metals. Let's talk about the mainstream
31:13
media. Wow, man, what a morning.
31:15
I had the microphone off. Thank you, Susie.
31:19
You're saving me this morning. Sorry about that, guys.
31:24
I don't know how long I had the the mic off, but I was just
31:26
saying everything's getting beat down today.
31:28
Not a good day in the markets. We're going to hang in there.
31:31
Volatility. I need to remember that too.
31:34
I can feel it. Uh oh.
31:36
Here's Susie. Hi, Susie.
31:41
Can I hear you now? Yeah, they can hear me now.
31:43
I don't know how long I had the mic off.
31:45
I apologize to you, Susie, and to everybody else.
31:47
Do you want to say hi to everybody?
31:49
Sure. I'll say hi.
31:49
I'm gonna be going. OK.
31:52
OK. All right.
31:52
Bye. Bye.
31:52
Hello, everyone. Thank you so much for being
31:56
here. OK.
31:58
Love you. Bye.
31:59
Bye, Susie. You too.
32:00
Bye. Bye.
32:01
Susie is at her mom's house today.
32:04
I don't know how long I had the microphone off.
32:06
Oh my gosh. Welcome to the live streaming.
32:09
Welcome to the basement. Welcome to a day when silver's
32:11
down a dollar an ounce and I'm frazzled.
32:15
It's going to be OK. Like I was saying, I need to
32:17
remember that as well. We are getting mainstream media
32:21
attention in the silver and gold markets.
32:26
We've been there, we've done that.
32:28
Here we go. Bloomberg Gold reaches record
32:33
high is geopolitics drives traders for safety Bloomberg
32:37
Yahoo Finance, Bloomberg Mainstream Media OK, a gold hit,
32:43
a fresh record due to sustained, sustained safe haven demand with
32:48
investors focused on the approaching US election.
32:51
Oh my God, we forgot about that. We got a crazy election coming
32:54
up and conflict in the Middle East.
32:57
A couple quick words on the election, the craziness we
33:02
talked about this last week, but we need to remember this guy's
33:05
the potential for let's say I don't know what the how do you
33:09
describe this social disorder or disruption really is higher
33:17
after the election. Obviously running up here,
33:20
although we've had one of the candidates has had two
33:22
assassination attempts, really the the the potential for social
33:27
disorder and I don't want to see that.
33:29
I'm not calling for that or necessarily predicting it.
33:32
But the risk of craziness, we'll just call it that is more more
33:38
acute after the election, the weeks after the election,
33:42
because it just doesn't feel like either side is going to be
33:45
really interested in accepting the outcome.
33:49
The flight to safety has helped offset pressure from sell off in
33:52
U.S. government bonds in recent days as traders bet on a slower
33:59
pace of easing by the Federal Reserve.
34:01
Normally, higher yields and tight money policy settings tend
34:06
to weigh on the precious metals as it doesn't pay interest.
34:09
Quote gold's ability to latch on to the coattails that take
34:13
prices higher irrespective, right?
34:16
That means ignoring the macro backdrop, meaning the dollar
34:20
going up, interest rates going up suggested the market
34:23
continues to see positive underlying flows.
34:26
OK, let's talk about that right now.
34:29
This is this is something critical that we need to
34:32
recognize the dollar index. This is the DXY, right?
34:36
Comparing the dollar. It's it's it's BS.
34:39
It's the the best horse in the horse factory type comparison.
34:42
But this is the dollar index and if we look over one month, it is
34:49
incredible. The dollar index really not even
34:53
a month, about 3 weeks is gone from 100 all the way up to one O
34:58
4.5. That is a 4%.
35:00
That is a massive increase in the US dollar index now in the
35:06
past. And that's what this article
35:08
talks about that should have, that should have made gold go
35:11
from what you know, 2526 hundred where it was down to 2200.
35:17
But we saw the opposite occur. It should have made silver go
35:21
from $29.00 down to $25. It didn't happen.
35:26
The opposite occurred. So this is what's going on in
35:30
precious metals right now is significant, in particular when
35:33
we look at how the how the how the precious metals prices have
35:36
decoupled, decoupled from the US dollar index now today.
35:42
And that might be a part of the reason some people say it's
35:45
China, the reason why silver's getting clobbered.
35:48
But let's go out to quickly look at the bond because interest
35:54
rates are going up. Now, remember, remember the US
35:58
government cannot afford these interest rates where the 10 year
36:03
bond yield there it is 10 year bond yield.
36:06
This is like the bellwether everybody looks at.
36:08
Let's just take a look and see what it has done over the last
36:13
month because I have a feeling that it has shot up as well.
36:19
So if we look at one month, yeah, I mean, look at that from
36:23
3.3 and a quarter up to four and a quarter, that's a half
36:28
percentage point rise. That's big.
36:31
That's like the Fed raising interest rates by 1/2 percent.
36:35
And it's strange because this all happened just after the Fed
36:39
lowered interest rates by 1/2 percent.
36:42
So that's a critical thing for us to remember.
36:46
Gold, I know it's getting beat up today.
36:48
Silver down a dollar, it's OK. It'll be OK because those metals
36:56
in the face of higher interest rates and a rising U.S. dollar
37:02
have done very well. They've been like, you know,
37:06
battled against the odds, right? They like, it'd be like when
37:10
when Michael Jordan played in the NBA championship game with a
37:16
sprained knee. That's what gold and silver had
37:19
done for the last 30 days. And we need to be proud of our
37:23
friends Gold and Silver because they really have shown strength
37:28
over now. You know, look, like we said
37:30
$32.50 for silver. But guys, we got to remember we
37:34
had like a $2.00 up. Let's go look at the silver
37:37
chart real quickly. I know today's up today stinks,
37:40
but we had these days and silver that were just incredible.
37:45
So to have a down day is not catastrophic.
37:49
And again, 3250, I mean, you know, you'll see me shed some
37:53
tears here if we get silver dropping below 3250.
37:58
But let's just look at the last five days on the silver chart.
38:04
Here we are in Yahoo Finance. OK, five days.
38:11
OK, wow. So that was right.
38:15
We went from down here. Let's look at a month that'll be
38:20
more, that'll be more optimistic for us.
38:22
All right, 10/8, right, Two weeks ago, $30 silver here.
38:31
What's this state 1016? Seven days ago, we were at
38:34
$31.60 in silver. So we had a big update, a big
38:41
update. We had three big updates in a
38:43
row. All right, 1016 yes.
38:46
So that would have been so that mean let's take this and and
38:50
take some perspective here of where we are.
38:53
Again, this is just one month, so 101610171020 All right, all
39:00
right, so that was a week ago today.
39:04
One day, 2 day, three day. OK, wait a minute, sorry.
39:09
One day, 2 day, three day, four day.
39:12
OK. Hey.
39:13
Yeah, we're we're not in that. It it stinks.
39:15
It's a bummer. It's not the end of the world.
39:18
What about CNBC? Let's see what they're saying
39:20
about gold. Our old friend.
39:21
Gold and silver. This is interesting.
39:24
We'll do gold first. CNBC tells us, right.
39:28
We're getting coverage. New bullish phase as gold hits
39:31
another high. Analysts say more records are
39:34
insight. Let's see what the analist said.
39:37
We'll just do the key points here.
39:39
Gold is now in a, quote, new bullish phase driven by factors
39:42
like central bank buying, rising U.S. debt and a potential peak
39:46
in the US dollar, said Paul Wong, market strategist.
39:50
It's brought asset asset management, okay, central bank
39:54
buying. If we hear that again, our, our,
39:56
our ears are going to explode. The rising U.S. debt, yes, that
40:00
matters. We talked about that earlier,
40:02
how that can only create negative real interest rates
40:05
going forward and a potential peak in the US dollar, right?
40:12
Gold and silver just ran a a a a 30 day marathon with a spraying
40:17
knee. So when the dollar reverses that
40:20
will put more wind in the sail for precious metals.
40:24
His remark came as a gold went over 2700 a growing chorus of
40:31
analysts. It predicted that the price of
40:35
gold will continue to rise to new records, with some expecting
40:40
the commodity to cross 2800 in the next three months.
40:43
I know that's probably what it looks like in your basement
40:46
right now. Rising U.S. debt to GDP ratios
40:50
have historically led to higher gold prices due to concerns over
40:55
the sustainability of debt. That's our debt problem,
40:59
currency devaluation and debt monetization.
41:02
So Mr. Wong agrees with us, the out of control debt level in the
41:06
United States will only result and debt monetization, and I'm
41:12
sorry, yeah, debt, monetize it. Monetizing the debt, right.
41:16
And the dollar going down in value because when you monetize
41:19
debt, you print money. And when you print money, that
41:23
makes the value of this, right. Paper.
41:28
Hey, everybody, it's the paper dollar floating by.
41:30
Look at his wings go down and that makes the real value of
41:35
precious metals go up. I want to say thanks to all the
41:37
moderators, Jake from Jake's custom parts.
41:41
I hope you're feeling better. Jake.
41:42
We love you. Thanks for everything you do
41:45
Annie Oakley, the one and only others Jake, he's there.
41:48
Awesome. Good to see that.
41:50
And our our friend big Tim, the Silvershire and Susie who called
41:53
on the phone because she is a has to leave the home, our home
41:58
on a regular basis to go care for her elderly mother.
42:02
She's a wonderful daughter. She spends the night and takes
42:05
care of her mom and then I screw up and she has to call me on the
42:09
phone. Thank you, Susie, I love you and
42:10
I miss you. Now let's go to the other CNBC
42:14
silver article. What does it mean?
42:19
It means a lot. It's a big deal if CNBC is
42:23
publishing articles about silver.
42:27
Let's check it out. And there's something even more
42:29
interesting about this because we can't read it.
42:35
CNBC Pro, I think they charge it.
42:38
I looked at it one time. It's like it ridiculously
42:41
expensive. So they're pro members.
42:44
These are the elite people who hold on one second who want to
42:54
spend, you know, I don't know, $1000 per year to be a pro
42:58
member of CNBC and they're getting this exclusive
43:02
information about silver. It's breaking out and has
43:07
potential to outperform gold. That says Katie Stockton.
43:11
But see, if you want that information, you got a, you got
43:16
a, you got to be a pro member. So two points on that.
43:22
I wonder how much they charge CNBC Pro.
43:26
Oh, it's only $299. No, thank you, CNBC.
43:30
But thank you for the offer. But what does that tell us?
43:34
Right, right. Number one, we know what they're
43:37
going to say in that article because we've been talking about
43:39
silver for years and years. But #2 that's exclusive content
43:43
only for pro members. Don't tell anybody the silver
43:47
price is going to is going to skyrocket.
43:50
I thought this was one. And then we got to talk about
43:53
the US economy, scary developments right here in the
43:57
USA. OK, Two companies that are
44:00
saying very frightening things on a serious level about what's
44:06
happening right here in the USA. Again, this will be more impetus
44:10
for the Fed to print money and that will be good for silver and
44:13
gold. But first I want to look at
44:15
this, see if I can if I can get this right here it is.
44:19
OK, I apologize this is a little foggy, but this I think was one
44:25
of the best memes. This I had never thought of
44:29
this. We know the world is de
44:31
dollarizing. We know that China in Russia,
44:35
Brazil, the BRICS meeting going on right now, they're moving
44:37
away from the dollar. But I never thought about it
44:40
this way. And I thanks to believe it was
44:42
my friend Mark S who sent this to us.
44:45
This shows it. And this, this just kind of blew
44:48
me away. This is China's motive for
44:52
killing the US dollar. It took them 21 years for China
44:58
to save this much U.S. dollars, this little yellow dot $3
45:02
trillion. It took two years for the Fed to
45:07
print this much U.S. dollars, 17 trillion.
45:11
I mean, think about that. If you're China and you spent 21
45:16
years saving up 3 trillion US paper Unicorn fart dust Fiat
45:22
dollars, you saved up 3 trillion of them, OK, because they're,
45:27
they're valuable, right? You're you're, you're, you're
45:29
believing in in that. And then in the matter of two
45:32
years, the, the government of the United States printed more
45:37
than five times that amount. Just that they can use however
45:41
they want. So you work really hard.
45:44
It'd be, I don't know, I, I was trying, I was trying to think of
45:46
a good analogy. It'd be like if you, it's like
45:48
if you worked for me, right? If you worked for me and I paid
45:53
you in Ron dollars or Ronbos or whatever I called it Ron coins.
45:58
Ron coins and I said, I'm going to pay you 10 Ron coins a week
46:02
and you work for me for like, you know, years and years and
46:05
years and you save up your Ron coins and that you think they're
46:08
worth a certain amount. And then I just all of a sudden
46:11
say, you know what, whatever amount you have of Ron coins,
46:14
I'm just, I just created five times more.
46:17
I mean that explain that that I think is critical to understand
46:21
why China feels the way they do. Big trouble in the US economy,
46:27
we are in big trouble. We know the US debt, OK, we know
46:31
that. But big trouble means big money
46:35
printing coming down the road. Think about it.
46:38
What did they do when the when the tech bubble burst?
46:40
What did they do during the great financial crisis?
46:43
What did they do during the health crisis in 2020?
46:46
What did they do pretty much even during that little banking
46:49
crisis? They print money.
46:51
That's all they know how to do, and that's what is coming.
46:56
Now, what are some real world examples of what's going on in
47:00
the US economy right now? Let's start by talking about
47:05
Starbucks. You know what?
47:06
Hold on, my kids love I, I, I would never go to.
47:10
I probably go go to Starbucks one time a year, maybe even
47:14
that. I don't even think even that to
47:15
be honest with you. I do not like paying $5 for a
47:18
cup of coffee. OK, I like paying $0.05 for a
47:22
cup of coffee. We get our coffee at Sam's Club.
47:24
This big red bag I have a bun coffee maker.
47:27
It makes wonderful coffee. Anyway, I digress.
47:30
If you go to Starbucks every day, good for you, but just
47:33
realize you're spending a lot of money on coffee probably, I
47:37
don't know, 2 grand a year more than what you really have to
47:40
spend. None the less, to certain
47:43
people, that's kind of a luxury item, right?
47:45
Right. They're a little extra.
47:47
What do they call that? Disposable income?
47:50
What did we just learn from Starbucks?
47:55
Let's take a look and here we go from the Kobe C letter.
48:01
I love this guy. He is smart man.
48:04
Breaking, this is breaking news. Starbucks stock falls as much as
48:09
10% after reporting to the stock falls 10%, a third consecutive
48:14
quarterly drop in same store sales.
48:17
The company's revenue fell 3%, OK.
48:21
Their revenue fell 3% to 9 billion for the quarter and
48:25
worldwide same store sales fell by 7%.
48:33
Starbucks says they are losing the quote occasional customers
48:37
as demand for their products has fallen.
48:40
The stock is now negative on the year that look at that.
48:44
Wow, Hopefully you don't don't own Starbucks stock because it
48:48
is not a good day. But what does that tell us about
48:52
the health and welfare and it gets even better.
48:55
I got AI got an even the more I was shocked by this next, what
48:59
this next company said. But Starbucks is telling us
49:03
their sales are dropping, dropping, right?
49:06
Because people don't have $5 to go buy 1 cup of coffee, right?
49:13
They're shrinking. the US economy is shrinking, right?
49:17
We know that. We know that retail sales are
49:19
supposedly up, but they don't they don't adjust that for
49:24
inflation. In real terms, retail sales are
49:27
down. We're heading into we had we
49:30
what what did the the former executive from Target
49:35
Corporation, the former CEO of Toys-R-Us, what did he just say?
49:40
He said things are the consumers done right in the United States
49:44
is a consumer based economy. OK, alright, let's look at one
49:48
more piece. Look, I live in Missouri, I'm in
49:52
Saint Louis, and yes, I have to be honest, I've always loved go
49:56
karts and ATVs. So I'm not putting anybody down
49:59
on this next one. But the go Kart ATV crowd is
50:04
hurting and that's middle America.
50:06
That's average people, right, that buy ATVs, go karts,
50:11
Polaris, Polaris, whatever you pronounce it.
50:13
I've always been a Honda guy myself.
50:15
Anyway, they warn, challenge, Wait till you see what this
50:19
company is reporting. They make those four Wheeler
50:22
ATVs, those little dune buggies, jet skis, pontoon boats, all
50:26
that stuff. And guys, this is shocking, OK?
50:32
They all, their stock also, it was, was down significantly.
50:36
They posted disappointing third quarter earnings.
50:38
They also cut their full year earning sales forecast siding.
50:41
Sagging demand for outdoor vehicles due to elevated
50:46
interest rates is what they're they're blaming on as consumer
50:49
confidence and retail demand remain challenging is what the
50:54
CEO is saying. Consumer confidence.
50:57
But wait till you see these numbers.
50:59
Look at that. That looks like fun.
51:00
I'll be honest with you. That appeals to me.
51:04
But not for like 25 grand. Like these things cost more than
51:07
cars cost now anyway, let me look at that again.
51:11
I want that. I want that in my garage.
51:13
What do you think, Susie? Are you still on here?
51:15
Can I buy that? I think it's only like 24,000
51:19
probably get one cheap here in about a year.
51:21
Anyway, look at these numbers. Polaris reported sales down 23%.
51:26
Let's just go right to the number sales.
51:28
One point sales say this is Starbucks as well, 1.72 billion,
51:33
down 23%, almost 25% year over year.
51:39
Their sales right now are barely 75% of what they were a year
51:45
ago. Off road sales down 25% year
51:51
over year. On road sales down 13%.
51:55
This is what's shocking marine sales, right Boats, jet skis,
52:00
that kind of stuff, down 36%. If we round that up, that's down
52:06
40%. What does that tell you about
52:09
the health right and vitality of the middle class consumer?
52:15
Cuz guys their customers are middle class people.
52:19
OK, I kind of live in a little bit of an upper middle class
52:22
neighborhood. Not not most of my neighborhood
52:24
scoff at me. I have an ATV it's sitting right
52:26
over there like 5 feet from me a 1985 Honda ATC 3 Wheeler.
52:33
And when I drive my or my kids dirt bike we have a Honda 110.
52:37
When I drive it around the neighborhood my neighbor scoff
52:39
at me. OK, I got my my neighbors are
52:42
most of them are professionals. I love them.
52:44
They're great. Whatever couple of my neighbors
52:46
are really cool. They got other ET VS and mini
52:48
bikes. But anyway, I digress.
52:51
Right, the mini bike go Kart, ATV jet ski crowd, right, is
52:57
more middle America. They're going to take out a
53:00
loan, they're going to pay, they're going to go to the
53:02
dealership and they're going to convince them that yo, you can
53:04
afford $240 a month for a jet ski payment or an ATV payment.
53:09
Those people are out of money. It's not good.
53:12
We are not in a very healthy spot right now here in the US
53:16
economy. Let's go out and check.
53:19
Let's go out. Let's first say thank you to
53:21
channel sponsor First Mining Gold, Canadian gold developer
53:25
with gold in the ground in Canada.
53:28
You can learn more about them at firstmininggold.com.
53:30
It's the stock I own, Fortuna Mining.
53:33
They're an operating gold and silver mining company with
53:35
operations in Latin America and West Africa.
53:38
You can learn more about them at Fortuna mining.com.
53:41
Also a stock that I own. I eat my own cooking.
53:45
I only take sponsorships from companies that I either do
53:48
business with or I own stock in the company.
53:50
But I'm not giving financial advice.
53:52
Do your own due diligence. Let's go check the latest.
54:00
My gosh, could it get worse. Take a deep breath with me and
54:08
and I guess it's the same down $1.15 on the silver price.
54:13
Come on silver, we got this guys.
54:16
We got this. So quick review guys, yet today
54:20
stinks in the silver market. It's called, for those of you
54:23
who weren't here earlier, it's called this volatility.
54:29
OK, see the V in volatility. See that right.
54:36
As long as the net of it, the end result is up, we're OK.
54:41
There's three VS at the bottom and that shows an upward trend.
54:46
As long as those those upward side of the V is bigger than the
54:50
downward side, we're in good shape and that's what's been
54:53
going on here for the last number of months.
54:56
That's why we are still sitting at silver in the $3334 range.
55:01
We're OK, OK, 3250 line in the sand.
55:05
I'll reassess things at that point.
55:07
If we close below that, which I don't think we will, let's be
55:11
optimistic. Let's remember we haven't really
55:14
even have been had short covering yet, 300 million oz
55:18
short at the COMEX in the LBMA, right?
55:21
Those crooks, I was reading the last night refreshing.
55:25
They put people in jail from JP Morgan for manipulating the
55:29
silver and gold price, the precious metals prices.
55:32
Those crooks, they've got massive short positions,
55:36
somewhere between 300 million and 700 million depending on who
55:40
you want to listen to. Even at 300 million, they are
55:43
down billions of dollars right now on their short positions,
55:48
right? When they do cover and we can,
55:50
we looked at the chart, right? You'd know if it was a short
55:53
squeeze because it would be a spike up.
55:56
We're going to save the turbo button, right?
55:59
Like when, like I said, when you're playing those video games
56:02
at the arcade and you get like 3 turbo buttons when you're
56:04
driving your truck or whatever you're doing, we're saving our
56:08
our short squeeze turbo button for later on.
56:10
It will happen, OK, And at the end of the day, we're going to
56:14
have negative interest rates. We're going to have printing of
56:17
money by the Fed. It's going to make the price go
56:19
higher. Hang in there.
56:21
I know today's a tough day. It will get better.
56:23
Thank you for being here. Thanks to all the moderators.
56:25
Thanks to all the sponsors. Most important.
56:28
Thank you. OK, Thank you for the Super.
56:30
Oh, I got another super chat. Hold on.
56:32
Almost missed it. Jail lizard.
56:35
Yes. Thank you, my friend.
56:37
OK. And thank you, Troy Ounces for
56:39
the Super chats. Everybody have a great day.
56:42
All right, It's going to be all right.
56:44
We're going to be we're going to be.
56:46
I can't, I can feel that maybe later this year, maybe early
56:51
next year, we're going to be sitting down here talking about
56:53
silver prices that we really can't even imagine yet.
56:57
But we'll we'll see if that happens.
57:00
Talk to you soon. Thank you.