Latest / SILVER / GOLD / $UFD Meme Coin Investing & Global Economics / 🚀 Hidden Forces Set to Catapult Gold & Silver to NEW Record Highs!
Transcript
- 0:00This is a precious metals, gold and silver focused video.
- 0:03For those of you in the precious metals community and those of
- 0:08you in the crypto community who have requested that I make some
- 0:11content focused on the precious metals guys, I'll just tell you
- 0:15right now, I think that the silver price could hit new all
- 0:19time highs sooner as opposed to later.
- 0:23I'm going to tell you why in this video.
- 0:25There's a couple big key things that we're going to talk about.
- 0:28We know gold has already broken out to all time highs.
- 0:32So let's talk about these underlying factors that I
- 0:35believe are going to push us to higher highs with gold, but also
- 0:40new all time highs, $5560 per oz for silver.
- 0:52The first thing that we have to talk about, and we here in the
- 0:56basement have been beating the table about this for over a
- 1:00year, probably close to two years, and that is stagflation.
- 1:04There is no soil more fertile for growing higher prices in
- 1:09gold and silver than stag stagflation.
- 1:12And I've got a quick article. This I think, is the Holy Grail
- 1:17of describing what's going on right now and why we are in a
- 1:21stagflationary environment. Let's run out to this article.
- 1:24It is from our friends at Axios or Axios.
- 1:28I don't know how the heck you pronounce it, but it says right
- 1:31here the S word. Let's go up to the top.
- 1:36Give them proper credit. Axio says the S word rippling
- 1:40through Wall Street and Main Street.
- 1:43I've only got about 6 lines highlighted here guys.
- 1:45But this just sums up why we are moving into such a conducive
- 1:50environment for all time highs and silver and continued all
- 1:54time highs and gold says in yellow.
- 1:56Economic growth has flatlined so far this year.
- 2:01Inflation has picked up, so economic growth flat.
- 2:05Inflation picking up, and consumers expect both to get
- 2:09worse in the months ahead. Why does that matter?
- 2:13Adds up to Wall Street's least favorite S words stagflation.
- 2:18Stagnant growth mixed with elevated inflation.
- 2:21That pattern, most vividly seen in the 1970s, is particularly
- 2:26painful because it means people experience pain from both lack
- 2:30of job opportunities and higher prices.
- 2:34It also leaves the Fed and other economic policy makers with less
- 2:39ability to cushion the blow, because a move that might
- 2:42address one side of the problem will worsen the other.
- 2:46The big picture, the take away from a slew of recent data, is
- 2:51that President Trump inherited a shakier economy than it seemed
- 2:56and is risking something worse with aggressive policy moves.
- 3:01So basically what they're telling us is that the Fed,
- 3:05damned if they do and damned if they don't. the Fed is really
- 3:09it's been a while since we saw him.
- 3:12Our old friend Jerome is really in a box.
- 3:15He has that recession, that stagnant economy, the stag and
- 3:20stagflation on one side, and he has inflation on the other.
- 3:24What he does to fight inflation, raise rates, makes the recession
- 3:29worse. What he does to deal with a
- 3:31worsening recession, lower rates makes the other side worse.
- 3:36He is really in a box now. The big key take away for silver
- 3:40and gold here is that if we look back to the 1970s, it was the
- 3:44most explosive period of time for the silver price up.
- 3:50I don't know what 50X or some crazy number like that.
- 3:54The gold price, I think it was up 17X, not 17%.
- 3:59OK, guys, 17 times in value. The stock market during that
- 4:04inflationary period was flat. Home values went up about two
- 4:09times. But if you started out the 1970s
- 4:13and put your money into, let's say, silver, I think by the end
- 4:17of the decade you could have bought like what, 25 houses?
- 4:20So that's the number one big thing that we're moving into
- 4:24that will be very conducive for the precious metals prices.
- 4:29OK, let's go, Let's go. Let's go out and take a look at
- 4:32what's going on around the world with silver right now.
- 4:36I want to go out and take a look at China and see what is
- 4:40happening in the Chinese markets.
- 4:43Our friend Oriental Ghost always publishes the numbers from the
- 4:47Shanghai Gold Exchange and the Shanghai Futures Exchange.
- 4:52And when we take a look, guys, these are yesterday actually
- 4:55this morning's numbers, what we see.
- 4:58This is incredible, right? This is the real physical price
- 5:03of silver, right? Because the Shanghai Gold
- 5:06Exchange is a much more physical market to the extent that the
- 5:10COMEX in the LBMA are, you know, make believe, paper, whatever
- 5:14you want to call it, Unicorn fart dust silver, make believe,
- 5:19right? The actual physical market in
- 5:22China, who's consuming so much silver, says the actual silver
- 5:27price is close to $36 per oz. Whereas here in the United
- 5:32States, right, the spot price of silver, right before I came on
- 5:36here with you was hovering right around $34 per oz.
- 5:42What does that tell us about what's to come in the world of
- 5:46silver? And you know the whole story,
- 5:48right? We've got massive deficits in
- 5:51the silver market, but there's another big major key factor
- 5:56that can help propel the price of silver.
- 5:59I mean, I heard a guy last night talk about it could move silver
- 6:03from $30 to $60.00. Not if it's going to happen, but
- 6:08how fast it will happen. And that's our good old friend
- 6:12the US dollar and the US dollar index where they compare.
- 6:17Remember, this is a comparison number, the index comparing the
- 6:22US dollar to the mighty Japanese yen and those beacons of
- 6:26financial responsibility, the Europeans with the euro.
- 6:30When the US dollar on a relative basis breaks down below 100,
- 6:35that can act as rocket fuel for the price of silver.
- 6:40Let's go to a three-year chart and I want to show you on this
- 6:44chart just how important that number is.
- 6:47Because if we draw, we go back three years and we draw a line
- 6:51at 100, you can see several times back in the summer of
- 6:552023. Oh, and coincidentally, during
- 6:59the summer of 20, 24, we tried to break down this summer when
- 7:04it actually happens. OK, sometime around June 4th, I
- 7:08believe. Nonetheless, when the dollar
- 7:12index breaks down below that key 100 level, all games are off for
- 7:18the price of silver. That's when I think it's very,
- 7:22very likely that we could see that silver price immediately
- 7:27catapult to new all time highs, yes, above $50 per oz.
- 7:33And right now, guys, look, we also talked about this for
- 7:36years, we talked about this $3334 resistance level in
- 7:42silver. We've been holding in that area
- 7:45for a number of weeks now. Poked our head above, poked our
- 7:48head below. The longer we stay in this area,
- 7:51once we break out above that, that will be further bullish
- 7:56momentum for the price of silver.
- 7:58And of course, we know the old cup and handle.
- 8:01I don't know what is it, the 45 year cup and handle in the
- 8:05silver market. There are so many things working
- 8:07in the favor of silver. Gold, of course, you know, I
- 8:11know it's broken out the new all time highs.
- 8:13It feels like gold can just continue to go higher and higher
- 8:18and higher, but silver really needs to play catch up.
- 8:22I mean the silver to gold ratio that that elastic band has been
- 8:27stretched so far. There are just so many crazy
- 8:31things working in favor of silver having what I would like
- 8:34to call like a catapult or slingshot type move where it
- 8:38really, really melts the skin off of some of those silver
- 8:42traders down at the COMEX in the LBMA.
- 8:45But what's going to make the dollar go down in relative
- 8:47value? Hey, no trip to the basement
- 8:50would be complete without a little trip out to look at the
- 8:53US debt clock. Well, basement dwellers, nothing
- 8:56much has changed here. As you can see, the US national
- 9:00debt continues to grow. As a matter of fact, since I've
- 9:05been speaking, it's gone up by what about a half, $1,000,000?
- 9:10And as that debt continues to grow, our interest down here,
- 9:14interest expense continues to grow now well over $1 trillion.
- 9:21And we know what that means. That makes this number, the $2
- 9:24trillion national deficit, continue to grow, which makes
- 9:29the US national debt continue to grow.
- 9:32Allow me to draw a couple arrows for you.
- 9:35This is what we like to call a debt spiral.
- 9:41OK, the debt, the total debt grows, interest expense grows,
- 9:45deficit grows, which feeds back into the total debt.
- 9:48It's a horrible, horrible cycle. The other thing I'll point out
- 9:52to you is that interest on national debt, not well over $1
- 9:56trillion is equal to about 20% of the US federal tax revenue.
- 10:01That means every dollar you pay in taxes, $0.20, is going to pay
- 10:06just interest alone. Yes, you're getting nothing for
- 10:09that but lining the pockets of someone who holds a U.S.
- 10:13Treasury. And I'd like to draw your
- 10:15attention to the lower right corner of your screen where you
- 10:18can see my cursor circling the dollar to silver ratio now
- 10:23sitting at $1102.00 being created in the M2 money supply
- 10:30for every one ounce of silver being created this year by the
- 10:35mining sector. I think the future looks very
- 10:39bright for the gold price, in particular for the silver price
- 10:44as we we move into the remainder of 2025.
- 10:48Look, I'm not giving financial advice.
- 10:50I don't have a crystal ball. However, over the last few
- 10:54years, I'd expressed my bullish sentiment towards both gold and
- 10:59silver, and I think that continues at minimum through the
- 11:03remainder of 2025. Donald Trump in the current
- 11:06presidential administration, I believe will be instituting
- 11:10pushing for some very easy money policies.
- 11:14And on top of that, as we have this total crazy stagflationary
- 11:19environment that we're moving into, we know that history
- 11:23indicates to us that will be very, very net positive bullish
- 11:27for the gold price and the silver price.
- 11:30And we know that recently, I believe on Monday of last week,
- 11:34we had this big movement for a silver squeeze on March 31st
- 11:39that didn't turn out so well. I won't say it's a failure.
- 11:42I, I, I applaud those who tried to, tried to force the
- 11:47electronic markets to recognize the true value of silver.
- 11:51But what I do want to point out and I think it's important for a
- 11:54silver investors to remember is that retail silver investment is
- 12:00just a small fraction of the total silver market.
- 12:03So the fact that some movement on the retail side didn't
- 12:06reverberate across the whole silver market.
- 12:10I mean, I actually think the price of silver was down on
- 12:12March 31st wasn't surprising. The big underlying macro
- 12:17fundamentals that will push the silver price higher remain very
- 12:22favorable. Hey, thanks for joining me here
- 12:25in the basement. Don't forget, like share,
- 12:27subscribe this video. Most important, I always want
- 12:30you to feel welcome here. Please come back and I will see
- 12:33you soon.