Latest / Financial Survival Network / Fed to Cut, Gold to Go Up -- Craig Hemke #5796

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Fed to Cut, Gold to Go Up -- Craig Hemke #5796 · Financial Survival Network

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Welcome you are listening to watching the Financial Survival Network. I'm Carrie Letts.
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Is it us? I'm here with Craig hemke Ef Metals Report dot com.
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Is it us? Or are we really deep fakes? And if it's just
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a big AI simulation, Craig, Hey, one sim to another. Here,
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here we are. If it was a couple of deep fakes, it
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wouldn't be our two mugs on here, that's for sure. If probably true,
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it would be Brad Pitt and George planning right right right now, right
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and in the meantime where in the midst of a bankruptcy, a bank banking
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bankruptcy, a banking collapse, it's global. I mean, what's keeping the
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banks in China from shuddering right now? Their equivalent of the FED is pumping
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out unlimited amounts of currency units. The same thing with the EU. All
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those banks are insolvent, they're all ready to collapse. I mean, I
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guess in the technical sense the big banks aren't in the US aren't on the
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brink of collapse, but there's certainly at a weekend state after what's happened.
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It is a laughable notion what's being put forth here on May Day about how,
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oh, this first Republic things over with, so now it's all good
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gerry, don't worry, everything's fine, pot mark it sells off of the
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dollar rallies and oh come on, manum two things on that one. The
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I guess the beginning stages of this crisis have come from all of the unprecedented
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rate hikes by the FED, taking us from fifty basis points in the ten
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year note to four underd and fifty basis points the real I mean run of
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the two year note from nothing to five percent in about eighteen months. Right,
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they got so far behind the curve because of their transitory bs. They
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tried to lay on everybody, but then they run off on this unprecedented scale
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of hi hi as if don't worry, everything's fine. I mean, they're
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just making it up as they go, and they're still making it up today
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with treasure officials and Jamie Diamond and the rest try to sair. Now that's
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it. Banks are sitting on a trillions really of dead that is miss or
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I guess miss priced on their ballot sheets will be a way to put it.
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After the financial crisis, they Fasby came up with the ability for them
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to arc bonds to maturity. They have ones that are in a basket that
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say they're eligible for sale, and they got to mark those to market.
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But then they can put others in a basket that are marked to maturity.
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Well, the problem is you get a rush for you know, people want
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to take their money out, which now can happen in a matter of minutes
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the way everybody's online. And the ones that you don't think you're ever going
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to have to sell and you're carrying them on your books at par they're actually
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worth eighty cents. Now you're upside down. So the notion that the only
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two banks carried there there's two. Oh, there's only two, right,
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there's only two, Silicon Valley Bank and First pub they are the only two.
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Okay, fine, the other part of this well then, actually,
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now there's three parts The other part then, is commercial real estate, which
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you and I've been talking about since COVID in twenty twenty. This was eventually
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going to be a problem not only just from an economic slowdown, but all
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these businesses that with people now getting used to working from home, they don't
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need ten thousand square feet anymore, they only need five all of that stuff.
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Who does most of that commercial real estate lending? That's your local bank,
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your first National Bank of Pittsburgh, right, Okay, So this is
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a problem at the local community bank level. That's only going to get worse.
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That's going to create even as as that crisis worse, that's going to
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create more bank failures. Third piece of this, then, what's the natural
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in a natural response, if your local banker, the guy in the Blewes
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suit, in the red tie, he's going to just start calling in things
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to say, you know what, we gotta lay a low here for a
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while just to protect ourselves at our venerable institution. We're not We're going to
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tighten our lending standards, are not going to make as many loans as we
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used to. And so the whole thing has this cycle of tightening and making
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the economy even worse, and then you spin it all back to what you
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know. The notion going around today is the FED higher for longer and everything's
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fine and strong economy. Right right, we'll see about that, hey,
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But you know, like I'm looking at the money supply figures M two and
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basically it peaked in the July of twenty twenty two, and it's been going
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down slightly slightly. But we can't afford a declining money is applied when debt
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is going up and all the fallouts are taking place. I mean, it's
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kind of counterintuitive. The other point I'd like to make is there's another stool
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of this lug that could conceivably collapse, and that is who makes all of
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these big, big office building mortgages. Besides the regionals. It's the insurance
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companies. Yeah right, No one's talking about the insurance companies, but I
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guarantee you under Dodd Frank they are considered to be a vital non bank institution
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that the FED and the Treasury can bail out up upon concern. The only
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thing is they don't have to mark their mortgages to market, but they're holding
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a lot of the paper because when you go by go to any city and
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take a ride downtown. It's all insurance company names on those buildings and banks,
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and those insurance companies aren't occupying all that space, right, there's an
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insurance company issue. And there's a difference when there's a run on an insurance
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company than a bank, obviously, but the effects can be equally as devastating.
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So what are the odds that these insurance companies are turned into banks just
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the way the big brokers were, right, wait No. Nine, So
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that then the Fed they can go to discount window and get money, right,
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And actually I remember many of them still are. Remember like even Mutual
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of Omaha back in two thousand and eight became the Mutual of Omah Bank like
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a munch exactly so that they could all cony up at the discount window or
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whatever they get their hands on overnight cash whenever they needed it. And again,
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I guess to relate this to the precious metals, I mean, at
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this point it's just wait, we'll just wait this out. I mean,
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they give you this garbage day after day, and the metals do their thing,
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go up, go down, day after day, and it's it's silly,
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but I think we I mean Carrie. We've it's like the old adage,
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we've seen this movie. We know how it ends, so why aren't
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we even paying attention during act two? Right? And it's like, Okay,
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I remember this is where they do this, and this is where she
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said that, and he says this, and when you know how it ends
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in the end anyway, and that's that's where this is all headed. They
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can pretend and paper over on a daily basis still put a headed, but
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it's a triple headed issue. The move and interest rates has created ballanshet issues,
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easy runs on banks because of where we are in twenty twenty three.
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From a technology standpoint, commercial real estate is an absolute building disaster, no
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pun intended building. And then ultimately that causes banks to lend even less,
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which makes capital, you know, working capital, everything else harder to come
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by. And it just exacerbates what was already going to be a recession and
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the slowdown. And again this is anybody can see this. What you can't
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be is misled by somebody that probably has an agenda, like a politician or
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a banker, you know. Heck, Kara I, just before we start
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recording, says something on Twitter about the recent holdings. I don't know,
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I can't remember which senator it was. But then on March sixteenth blew out
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of his first Republic Bank Corp stock right before it crashed. On March twenty
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two, bought a whole bunch of JP Morgan. So what they didn't know
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all of this obviously six weeks ago, you know. So everybody has this
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interest, you know, their own personal self interest regarding you know, regardless
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of the ethics of the morals or the laws, and they're going to say
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whatever they can to kind of front run everybody, you know, to protect
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themselves. So don't fall for this crap about it's all over and everything's fine.
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And one last thing, well, we were two days away front of
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the FED rate hike. We just had the second largest bank failure in the
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US history in terms of size of their deposit base, and yet the FEDS
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something wrong with this picture, my goodness, gracious. So so how long
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does the whole charade keep going? Though? Is the question. We've been
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in this situation many many times, you and I together over the year,
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and it keeps going right right well, and again, as I relate to
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this to the medals, you recall from our previous discussions. This year.
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You know, I write a thing in the first week of January every year,
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just if anything, just to kind of make myself think the year through
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and then hold myself accountable. And so what I wrote in January this year
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talked about, hey, look, none of this FED hiking higher for longer
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crap. The FED will be pausing and then cutting by summertime, not all
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this bank stuff, notwithstanding just that the economy was going to roll over,
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and we have an election year next year, and what do you think Bernie
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Sanders and Elizabeth Warren are going to have to say about Powell if all of
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a sudden we're deep in a recession of the first quarter of election year,
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right, and he wants to keep his job. So it's obvious what's going
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to happen. And we've again, as you just said, Carrie, we've
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seen this before. You and I have talked about this before. In twenty
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ten, there were the green shoots of the economy member all that crap,
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green shoots, green shoots, and everything was fine, and they were going
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to normalize rates and flatten out the balance sheet. And what'd you get by
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the economy slowed down in the first half of that year, and by November
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twenty ten we had QWEE number two up within the medals. Twenty eighteen.
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Everything's great, We're gonna keep shrinking the ballot sheet. We're gonna do normalize
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interest rates. Everything starts to seize up and collapse. There's no liquidity by
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June of nineteen or cutting rates up go the medals first part of this year.
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Oh, everything's great. We're gonna normalize the ballot sheet. Come on,
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man, Yeah, so we're right on track. History is shown over
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the last eight rate hike cycles. The period of time between the last hike
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and the first cut is about seventy five days. So either the class either
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they don't hike on Wednesday and the clock we're already six weeks into it,
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or they do hike Weddingsday and we're on a schedule now looking at maybe July
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for the first cut. That sounds about right. I like that. I
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think you're one hundred percent on the money, Matt. I can't see it.
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I can't see it any other way. It might be a little bit
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before, it might be a little bit after, but I would stake my
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money on July. And as long as we're in the prediction business today,
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I will predict right now bitcoin. Let the currency has been on a tear.
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They're doing great, all the believers. I mean you talk about gold
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bugs, well we got bitcoin bugs, and they believe that it's going to
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infinity. Right. But there's a little event coming up in Miami, the
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Miami Bitcoin Conference of twenty twenty three. It's coming up eighteen to five twenty.
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Set your clock because it's going to crash. I mean, this is
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always the best indicator is the Bitcoin conference. And a chair will get lots
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of hate mail over this, but I'm telling you it's going to happen.
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I know it before. You know. Twenty seventeen, it happened. Last
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year, it happened and get ready yep again, does it mean it's going
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straight to zero? But you're absolutely right. The big holders know that there's
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gonna be all this retail interest in buying bitcoin. Again. Well, if
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there's all this retail interest buying, somebody is selling, right, And so
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yeah, you're right, that's happened before. That's a word of the wise.
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Yep, yep. I'll be surprised if it doesn't. And the chart
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is looking really weak too. If you believe in such things apply to cryptocurrencies
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and we're on the brink. What about the central bank digital currency? Yeah?
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Is that coming? Are we just the all acting paranoid or is it
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real? It's very real. People have watched you and I talked for the
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last ten years. We'll remember how many times we talked about the war on
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cash, right to get rid of physical cash, and even in COVID,
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well it carries germs we've got right in cash. We wouldn't want that to
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happen. No, And you know, and it was always the only people
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that use hundred dollar bills carrier like drug dealers and bookie right, who else
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would you use it? When you when you got a card when you get
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and so they're eliminating that bit of your sovereignty and and but and then you
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know, and we've seen instances like you know, like go buy a gun
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with your visa card, you know, and it's noted with a certain code.
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Yeah, okay, So this war on cash has been going on for
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a decade. This central bank digital currency is obviously a part of that.
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I agree. Whether it gets too and I guess it probably will, I
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don't know how quickly it'll get there. But whether it gets to this draconian,
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you know, horrible dystopian future where you know, you got to get
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the government's approval to buy a pound of bananas, you know, with your
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centricy, with your currency. Whether it gets to that, we'll see.
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But I think for now why they're in such a rush to roll it out
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as so they can rescue these banks. You remember, like, um,
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it's Congress that has the spending power, right, and then the Fed buys
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the bonds and then you get the cash out in society and all that kind
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of stuff. Remember back when everything was collapsing in two thousand and eight and
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it was bank after bank. I remember the day that all of a sudden
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on CNBC it was Goldman's turn. They were coming for Goldman. Well,
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then stopped the presses. That was the end of that. Now it was
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time for tark And remember the first time they rolled up to Capitol Hill about
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TARPA was seven or billion dollars and failed. Yeah, they had to get
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authorization and it failed, and oh, Mark, it's melted down all this
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year. And then they ran up the ben burnanc up there to scare the
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ship and crap out everybody. You know, Wall Street, do Main Street
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and every you know, oh, we got to pass this seven hundred billion
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dollars. Okay. What a CBDC will do is it allow the FED to
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kind of circumvental that. You know, you get an outlet like this First
15:48
Republic Bank, but that's too big, your local again, first National Bank
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of whatever, and they've got three billion dollars in deposits and four billion dollars
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worth of liabilities and they need a billion dollars in liquidity to get right side
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up again. The FED, through a cbdc'll just pop them a billion dollars
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of ones and zeros and nobody ever even has to know about it. I
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think that's that's the initial purpose of those things. Oh yeah, Well,
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and when you want to spur demand, because everything depends upon demand. He
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you got you got five thousand dollars worth of the CBDC in your Yeah.
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Never, it's a limited time offer. If you spend all five thousand now,
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we'll give you another thousand, right, if you don't the freshness date.
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You know, they're only eight money is going to have a freshness date
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now and you have that expiration? Are you reminding me carry I was last
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time I was mowing my law and I was doing it on my John Dear
16:48
a little, writing a lot more. You know, I bought that sucker
16:52
when we moved into our house in two thousand and eight. And I use
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my George Bush stimulus check. I got twenty four hundred dollar check from the
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Treasury and the mail, and you were supposed to go out and spend it.
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Do you remember this, right, you're required? Yeah, it was.
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It was stimmidd deficit spending stimulus. You had to go out and stimulate
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the economy. Here's some money and go spend it. Which is again,
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so it's not like this is unprecedented. They'll just do it now in a
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different manner, okay, And you're absolutely right that's how to work. Well,
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I'm expecting they're also the Fed's going to take a book from the way
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banking was in the seventies and the eighties to get you to open a new
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account. They're going to give toaster ovens irons um. I remember our Mitzvah
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had all this money. We opened up like eight different accounts. I got
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like a clock radio not the name uses I'll probably do not screens, right,
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all right? And your CBDC currency account today and get a free sixty
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five in lat screen. There you go. That's exactly right from Charles Bastards.
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I mean they pay nothing. They can go by one year. Uh
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it's you know, one year t bill for five percent. But yet you
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walk in and they would they'll give you one percent on a five year CD
18:15
or a couple of pennies on your checking account or Jerry they were they're charging
18:19
is now the highest interest rate on credit cards ever? Yeah, ever the
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Hanies or they're late seventies. I mean it's criminals, so they you know,
18:33
but you know they all get bailed out in the end because you know
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it's who you know, I guess bailout nation. But yeah, it's it's
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uh, it's going to get real interesting. You know, all this that
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they come up with. They need LEEI. Cooker to come back because he
18:49
was the master marketer and that he could sell anything to anyone. You know,
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So prop up the like weekend at Bernie's. Prop up the corpse of
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Li I Coo guid. Yeah, no one will know the difference. Everyone's
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dumbed down. Well, we got a corpse for president. Did I just
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say that? Yeah? Well no, you didn't say that I misheard.
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Hey, I want to go back to a prediction that you made a number
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of other metals analysts made, and everybody cried bs and you know what that
19:19
was that prices would start to really go up when interest rates went higher and
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everything, No, that can't be writing. You know, then the T
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bills will be much more competitive against gold, and people won't give up big
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emills. And what happened We started this rate hike ground and what happened to
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gold? How about that? This is again, it's such a simple I
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don't know, I don't I feel like I'm kind of snotty to say this,
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but it's such simplistic base level analysis to say those kind of things,
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because it's it's like, it's this, it's all put that in the same
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group of people that said, well, goals do good. Look at inflations
20:04
nine percent and it's not going up. So then you go, it's not
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even Look, it's not about the base level inflation, it's not about nominal
20:11
interest rates. What will drive gold but Durham gold the seventies, eighties,
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nineties, everything is real interest rates, inflation adjusted interest rates. And this
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is why the period we're entering into now of stagflation is going to be good
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for gold. To this, like stagflation in the late seventies carry when you
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were just getting back from NOAM. It puts good for goal because if you
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have negative real interest rates, which means the rate of return on your fixed
20:42
income is actually over time when you adjusted for inflation negative, then gold,
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which doesn't pay a dividend. They always tell me, looks free, damn
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good. And that's where we're heading into again. FED is going to be
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cutting rates and the longer term rates are going to be falling because people are
21:02
looking at it, you know, and looking for anything that they can do.
21:04
And you know, we go from three and a half down to three
21:07
down to two and a half, but inflation expectations or remaining elevated and getting
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worse. So with stagflation, that's what happens. So you end up when
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you compute your real interest rates off of current interest rates but also inflation expectations,
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we're gonna end up getting back to negative one, negative two percent,
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and that just drives gold higher and higher, not straight up none of this.
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Always laugh when people I see people say, oh gold, once it
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gets through two thousand, it's going straight to three thousand. I'm like,
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no, it's not that's not how it works. It'll go to twenty three
21:38
hundred, and then it'll pool around for a while and consolidate and everybody'll get
21:42
used to it, and then it'll go to twenty five hundred and eventually go
21:45
to three thousand. But it's not going to go from two thousand and three
21:48
thousand in a month. That's just not how it works. And it's not
21:51
just straight up inflation, or it's not just nominal interest rates to drive the
21:55
prices. So real interest rates exactly exactly, and they're all negative real interest
22:00
rates, right yeah, right, Well again, you think of what drives
22:07
the price in sadly still in twenty twenty three is the futures price. So
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you think of, okay, well, who buys and sells the futures contracts?
22:17
Mainly hedge funds against the banks. A lot of those hedge funds are
22:21
done by algorithm HIH frequency trading, and those funds are programmed to follow real
22:26
interest rates, so not off just a month over months CPI, it's off
22:30
of inflation expectations. So right now, the ten year inflation expectations are about
22:36
a little over three percent the ten year notes about three and a half percent,
22:41
and so you can calculate that as a positive real interest rate. What
22:45
will happen is that tenuere inflation expectation go to four, and the ten year
22:49
note will go under three, and now you're negative one again. And that's
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when gold just continues to rise and rise. Not there yet, and golden
22:56
won't break out. It's I've been saying this year, it's not going to
23:00
break out above twenty one hundred until finally we know that the Fed is cutting.
23:06
Because until everybody's on that boat, you get things like today, we're
23:08
all of a sudden, today everything's going up, and then the manufacturing PMI
23:14
comes in three tenths of one percent higher than expectations, and all of a
23:18
sudden, it's like, oh, oh, oh my god, what are
23:19
you doing. That's never gonna cut? Well, what is one little thing?
23:23
But you know, all of a sudden shows once we remove all doubt
23:27
that the FIT is now cutting, then gold will finally break out. But
23:30
in between now and then, you still get these days like today, we're
23:33
all of a sudden, who maybe we should short hiking, you know,
23:37
putting in some rate eye cards for June break, so game, the game
23:42
continues. Yeah, so mood stops, but then they'll come up with another
23:48
game. We know that how they work, you know, we know how
23:52
it works. So so interest rates are going to come down, but you
23:56
know, we could have the anomalous situation where rates come down but the Fed's
24:02
rates come down, but interest rates really don't come down at all, you
24:07
mean, like on the mid term kind of think or mortgage rates stuff like
24:11
that. Mortgage rates, Yeah, a thirty year doesn't really a ten year
24:15
doesn't come down that one. Yeah, I don't think absent you know,
24:21
economic collapse, another pandemic, you know, lockdown thing. I don't think
24:26
we're going back to one percent on the ten year note. No, And
24:29
I don't think my current mortgage that I refinanced a couple of years ago at
24:32
two and three quarters percent, I don't think I'm gonna I'm gonna let the
24:34
bank hang out of that one as long as I could stand in my house,
24:37
right. I don't think we're going back to that level a time soon.
24:41
But again, what will happen is what we've already seen. The ten
24:42
year note peaked at four forty and as recently as low as three thirty.
24:48
Okay, it's probably gonna go under three. And then inflation expectations because the
24:52
Fed, I mean, the genie's out of the bottle. They they're not
24:55
going to get it back down to one, right, expectations kind of kind
24:59
of it's a self fulfilling cycle. You get inflation and then it sticks around,
25:03
You get more inflation, you start expecting more inflation, and the thing
25:04
kind of builds on itself exactly. So the inflation expectations will go to four
25:08
as inflation hovers around continues around four, and that's probably again and that's again,
25:14
that's a long term sustainable thing, a sustainable condition for bullish expectations for
25:21
gold and silver, and that's that's where headed not to the moon alice,
25:26
but consistently higher to the point where all the miners start making money again.
25:30
That sort of thing. Yeah, the minor So let's talk about that,
25:33
okay, because if there's one sector that's been the Rodney danger fields sector with
25:37
the market with a few minor exceptions sixteen in the height of the pandemic marching
25:45
that was. But other than that, uh, this has been in the
25:52
total crapper for you. Yeah, for the better part of a decade since
25:57
twelve years twelve years, right, going keep preaching to the choir. They're
26:03
carried. I know all about that um M price suspect most people listening to
26:07
us new I mean where there's there's two problems with the mining shares. One
26:11
nobody owns them, and so you get these long periods of time where they
26:15
just do nothing except burn money. And then you get these huge surgeons,
26:22
you know, where all of a sudden, you know, your neighbor's calling
26:23
up his stockbroker, Mary Lynch, saying, hey, I need to this
26:26
gold's taken off, and the stockbroker the only one he's ever heard of,
26:30
his newmont and so he sells the guy a thousand shares a new moont B.
26:34
Yeah. Yeah, And so you get all of a sudden, these
26:37
these peaks of interest. Then the other thing that's been working against them is
26:41
that, you know, even as recently as ten years ago, if you
26:45
had like a part, you know, cut up your pie of your investment
26:49
options, you had this little sliver of outside the dollar, you know,
26:55
non non paper kind of thing, and it was gold, silver and maybe
26:59
the mining share. Well now it's bitcoin and crypto and all this other crap
27:03
that siphons away buying interest from the mining share, so that that doesn't help.
27:07
And then finally the producers they had they dig their product out of the
27:11
ground for whatever they can sell it for. But the cost of digging out
27:14
of the ground is always going up because the major cost is inflate or is
27:18
energy, and so their margins are constantly getting squeezed like this. So it's
27:25
kind of a threefold problem. But again the problem, the biggest problem is
27:29
if you get tight just a minute, you think, oh, I'm just
27:32
I'm tired of these miners. They've done nothing for three years. You give
27:36
one of those periods where they quadruple in ninety days. Yeah to the moon
27:38
Alice. Yeah. So that's and so it makes it that makes it a
27:44
very difficult sector, especially if you try to do it yourself, and it's
27:48
it's really hard to do. There's one thing that makes it even worse.
27:51
It's really four things. Is that all of these companies that are producing,
27:56
in order to finance their operations, the banks require them to hedge, and
28:02
they should hedge anyway if they sell their production into the forward market. So
28:07
when when the market takes off in seventy percent of their production is hedge,
28:11
right, virtually no profit in crew right right. And then they're hedging while
28:15
the price is going up, putting a cap on the price. I mean,
28:19
it's just maddening. Or I'll give you one more care. I've never
28:22
even thought about this before. But you know, I started doing those things,
28:26
uh, these weekly things with Eric's Brott miibe or six years ago,
28:30
and he had I kind of become friends and I was talking. So I'm
28:33
not like trying to be like mister name dropper, but I was talking to
28:36
Eric Brott last week and here's what he's I'd never thought of this, he
28:41
goes. He goes, think of what a scam this is. If in
28:44
Canada you can naked short sell things to death, there's actually a thing cause,
28:48
yeah, it's called the same Canadian Mining and issue. I've ever heard
28:52
of that. No, But okay, when you you just naked short sell
28:56
things to death. And so if you're an exploration company, costs a lot
29:00
of money. You might need ten million dollars a year just to keep going,
29:03
so you've got to constantly keep coming back and deluding your stock by doing
29:07
these private placements. Well, Eric goes, well, here's where it's such
29:10
a scamp broker. Here's about the private place, but they call it their
29:12
hedge fund clients short. They short the shit out of the stock, take
29:17
the proceeds from shorting it by the private placement, get the stock from the
29:22
private placement, and repay the short. All right. So that is a
29:26
great point you raised. And there was an article in Zero Hedge. I'm
29:33
sure you caught it a year or two ago. Canadian brokers can naked short
29:37
any stock for ten days, Yes, all right, because I believe the
29:45
theory of naked shorting was we know the shares are being shipped from New York
29:49
or from Toronto or wherever, but we need to lock in the price now
29:56
because otherwise the risk gets too high while we're waiting for this if against and
30:00
we short them. Right, yeah, but that leads to, all right,
30:04
we're going to close the position in ten days, but on day nine
30:08
or every day we're closing a ten day position, we're opening a new ten
30:12
day position. And each time they do it, they got to increase the
30:18
number of shorts. It's a cascading thing. And then when some unforeseen development
30:26
hits, you see parabolic moves in these companies that may or may not be
30:30
worth anything but their junior juniors, you know, microcaps. But all of
30:34
a sudden something happens and everybody runs to cover. Yeah, and then you
30:41
have multiple trading stops and they stop. Yeah, it happens periodically. I'm
30:45
not going to I know somebody who who was involved in what are these companies
30:52
in? And the company did a couple of things and as a result,
30:56
everyone had to cover it once and it went from three bucks to fifteen bucks
31:00
yeah, two days, Yeah, with probably a dozen trading stops. Right,
31:06
it's why they do trading stops, Craig right, ru. Yeah.
31:10
But and then the sad party, the retail guy that doesn't know how all
31:15
this stuff works, thinks, well, now it's fifteen, it's going to
31:17
forty five, and then it goes right back down to you know, to
31:19
four as they come back in and shorted again. But I think what a
31:23
scam that is. You can sit there, I mean, this company is
31:27
just trying to stay afloat, and they end up having to raise cash because
31:32
they're getting shorted to death anyway. And then the company so they do offering
31:37
a you know, ten million dollars at one and it's you know, so
31:41
like that gets announced hedge fund shorts to crap out of it. At one
31:45
goes all the way down to seventy cents, and they take their shares of
31:48
seventy cents and cover their short all right, But going back to the Canadian
31:52
thing, and it's what, it's even worse than that, because there are
31:56
certain really well healed investors that, while they don't own brokerage companies Canadian brokers,
32:05
they effectively control them, bring their order flow and through their volume.
32:08
So individuals can't do this. They have to settle within two days, and
32:14
the new rule got passed by the Canadian regulator that they have to know they
32:19
have the shares before they can short them. Right reasonably believe that they'll be
32:22
able to obtain the shore the shares in the next two days, But it
32:25
doesn't apply to brokers. So effectively, these well healed investors avoid the entire
32:34
regulatory scheme. And the other thing, Craig, is that, from my
32:37
knowledge and correct me if I'm wrong, brokers don't have to report their short
32:43
positions in Canada. I don't think that to be true. If anybody knows
32:49
otherwise, please let us know. I don't want to be disseminating false information.
32:53
But from other people I've heard they don't have to disclose their short positions.
32:59
It doesn't get get reported on the short interest reports because their market makers
33:05
and they buy and sell for their own account, you know, and they
33:08
did they do right, right, right right. If I'm wrong, though,
33:14
I'll stand correct, and I'd love to hear from any of you out
33:16
there. Yeah. So that's just some of the obstacles. But we're getting
33:21
to a point where I think any idiot with ten thousand dollars can make a
33:25
boatload of money in mining shares. Were not there yet, but that could
33:30
happen any day. It's again one of those massive runs in like like in
33:34
twenty sixteen, yeah, which was another period where the FED was playing the
33:37
rhetorical games about hiking rates and all that crap, and all of a sudden,
33:40
economy slowed down and like the Huie Index went from one hundred to almost
33:45
three hundred and eight months. Yeah, so it's there. It happens.
33:50
Yeah, and you know, the smart companies that you and I hopefully invest
33:55
in and certainly cover all of them use that time in sixteen and then also
34:00
in twenty the raise capital. That's the time their stock became liquid. Right
34:07
now these stocks are a liquid nobody wants them, but all that's about to
34:12
change. Heke Craig tell us how do we become members there at a TF
34:15
Metals Report dot com And what's in it for us? Well, first I
34:21
want to send everybody my new website, Craig and carries short the shit out
34:24
of Canadian Miners fund ss CM. I think as the U r L as
34:31
we speak. Yeah, there you go, And then we're gonna be in
34:37
trading places, you know where I'm on the beach bailing good Gary. I
34:43
love it. Yeah, look I joke, but I mean if you can't
34:47
laugh at the corrupt, how corrupt everything is, then you're just gonna absolutely
34:52
drive yourself bananas, you know. And like today, at one point,
34:57
silver was up ninety five cents and then because the manufacturing PMI for this month
35:05
came in three ticks higher than it was exposed to tip Be, the dollar
35:09
went up forty cents and silver went back down four percent. Which silver it
35:15
was about said hit Twiday's things, right, So if you're going to keep
35:19
your sanity, if anything might, maybe my site will help you do that.
35:22
Yeah, TF metals report. I I cross content every day and I
35:28
hopefully people think it's that. We'll try to help you keep pure. Thank
35:30
you, sanity. There's no guarantee, but writing no guarantee. There's links
35:36
of links to the new site and to craig site in the show notes on
35:40
Financial Survival Network dot com. And just sign up for your free newsletter while
35:45
you're there. And hey, got a question for Craiger myself, shoot us
35:51
an email kl at Kerry LUTs dot com. We've been talking about this stuff
35:55
for the better part of ten years, actually eleven, Craig, and exactly
36:00
what we said is coming to pass. Yeah, yeah, that speaks volumes.
36:07
Be aware of bitcoin again because the BTC conference is coming up in Miami
36:12
eighteen to the twentieth of May. And Mark my words, could very well
36:19
be a peak. I can't tell you for sure, but it certainly worked
36:22
that way in the past. All right, Craig, Thanks, we'll talk
36:24
to you again. Sam matt Way, it's good to see you, Carried.
36:28
Thanks for listening to carry Lets's Financial Survival Network your solution to today's trying
36:34
times. For the latest, go to Financial Survival Network dot com. Financial
36:38
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