Speaker 1: And at some point the credibility will decline to such
a degree that we will have to they will have
to reattach currencies to gold, some external governor on the
worst of human nature, and to re establish that credibility.
Gold is obviously the choice. After one thousands of years,
it will be the choice, or will be part of
that solution in some way.
Speaker 2: You're listening to Carrie Let's's Financial Survival Network, where you
get valuable information you just can't find anywhere else to
thrive in today's trying times. You need the Financial Survival
Network now more than ever. Go to Financial Survivalnetwork dot
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Speaker 3: Ever, and welcome. This is Financial Survival Network. I'm your host,
car lutz Well. In a couple of weeks actually on
November two, I am heading off to New Orleans to
go to the New Orleans Investment Conference. Been there a
number of times in the past. Last time was there
was a couple of years ago. But being at the market,
what's happening with precious metals everything else.
Speaker 4: I felt I had to go.
Speaker 3: This is the year and with us is the founder
and the guy who runs it all Brian London and
if you're interested in the New Orleans Investment Conference real
simple url New Orleansconference dot com. Brian, it's great to
have you back on the show. This is number fifty one.
When you started this thing fifty years ago, how long
did you think it was going to go on for?
Speaker 1: Well, let me clarify that I did not start it.
A guy named Jim Blanchard star but of course yeah,
and an icon of a hard money sound money movement.
He was instrumental and getting gold legalized. He started our newsletter,
Gold Newsletter in nineteen seventy one, literally on the day
that Nixon closed the gold window, severed the last tie
between the dollar and gold in August in nineteen seventy one.
Jim decided to do something about it. Lobbied for the
return of the right of gold ownership for American citizens. Amazingly,
it was illegal to own gold back then, and then
was successful in nineteen seventy four getting it legalized. Decided
to have an investment conference to teach Americans how to
invest in gold, and that grew and grew. I joined
Jim about ten years later in nineteen eighty five, and
so I'm a newbie on the block.
Speaker 4: I've only been.
Speaker 1: Involved in it for forty years, but I ended up
after Jim passed away in nineteen ninety nine. I was
running his business for him and a minority owner in it,
and then bought the rest from his estate. Been trying
to continue our legacy ever since of you know, free minds,
free markets, sound money and all of the things that
I think now distressingly are under attack like they have
never been before, really since the nineteen seventies. So are
a lot of parallels today to the nineteen seventies, and
I think importantly and more to the point today, you know,
especially in the precious metals, these are the kinds of
moves we have not seen since then. And yet there's
plenty of opportunity left because unlike any other bull market
we've ever seen, we've had laggards here. The investments that
typically leverage gold, silver and mining stocks have lagged gold.
And now they're catching up, you know, like Bansheese, just
right out of the gate. Lots of our opportunities still left.
Speaker 3: Yeah, it's really exciting. I mean, look, we all knew
that it was heading here. Yeah, I think we all
thought it was going to be here back in the early,
you know, two thousand and ten, twenty eleven, but somehow
they engineered the collapse of the precious metals markets. Maybe
it just wasn't the right time. We could speculate about
how it happened, but the fact is it was inevitable, right,
I mean, fifty fifty two fifty three dollars goal silver
rather fifty two to fifty three dollars silver three four
years ago. We were imagining it, but now it's actually here.
Speaker 1: Yeah, And it seems as long as it took, it
seems like it came shockingly quickly. You know, inhabitable does
not mean imminent for sure. And you know, like Kimmingway wrote,
you know, how did you go bankrupt?
Speaker 4: Slowly?
Speaker 1: At first?
Speaker 4: Yeah?
Speaker 1: This was we knew it was happening. You know. If
there's one critique I would make of the people in
our you know, today's version of the sound money movement,
the people who are out here out there looking at
the extraordinary things happening that really aren't ordinary, aren't normal,
and projecting them into the future, is that we're probably
a bit early. We see what's going to happen. The
timing is always the tough part of it all. But
trends that are inevitable will inevitably reach their end and
their ultimate destination, and that's where we're heading out now.
I don't know if this is going to lead to
the great reset where gold and silver regained monetary value
at least association with legal monetary value and the UFS
and developed economies. It may take another one or two
crises to get to that point, but we do recognize
the trend, and now we see that the trend is
accelerating because the forces that have been holding it back
had been overwhelmed. Very simply, Yeah, I.
Speaker 4: Call it the comex GPT, the AII.
Speaker 3: It's probably in the basement of the FED and the
Echoes building, but it's been screaming. It's been having meltdowns,
and it can't keep the prices down anymore, even in platinum,
which I wouldn't tell most people it's something you want
to hold, but certainly it's been been Its performance has
been stellar, and traditionally it was always more costly pronounced
than gold, and yet for many.
Speaker 4: Years now it's been a fraction.
Speaker 3: Of the price of gold. So that's catching up, and
that's like conformation that you really need great.
Speaker 1: Yeah, it is. We have confirmation on all fronts, and
that's why I tell people that, you know, this is
a generational opportunity. It's it's something we have not seen
since early two thousand, since gold bottomed out at two
hundred and fifty two dollars an ounce in nineteen ninety
nine and two thousand. But then you had to have
a lot more courage to invest in the sector and
be confident that a bull market and gold was coming,
a bull market in the silver, and then a bull
market in mining stocks. Today we have the incredible luxury
of knowing that a bull market and gold is already
here in full force and dwarfing really and it's the
violence anything that we've seen before. So we have that
factor that checkbox checked. We don't have the risk of
whether there's going to be a bull market. There is,
and yet we have the opportun unity to invest in
these leverage investments that are soaring right now but still
dramatically undervalued on any long term metrics. No mining stocks
right now on a price to earnings, priced to net
asset value are at historically very low levels because their
earnings have accelerated, have outperformed their prices, so they are
still dramatically undervalued. But the mainstream, the generalists, the big
money is just starting to realize that in pouring into
the sector.
Speaker 4: Yeah, so where does it end?
Speaker 3: I mean, that's almost as difficult as saying when. But
it looks like we're at the beginning, doesn't it.
Speaker 1: Yeah, you know, gold is a predictive mechanism, like all
investment markets. I think that bonds and gold are the
most sensitive to have an accurate at the markets as
far as discounting the future. Bonds, however, treasuries are manipulated
to some course's argument that gold has been as well.
But gold right now is not whispering at somethings they had.
It's not telling us that something's coming up. It's screaming it.
And so we have to look ahead and see what
that is. I think you look at the decades old
trend of every easier money, which promoted the accumulation of
ever greater debts, and in the fiscal situation, has reached
a climax, a point of no return where you can't
grow your way out of it, you can't tax your
way out of it, you can't cut spending obviously we've
seen that. So the situation now is that interest rates
have to be below the rate of inflation. The currency
has to depreciate more quickly then you're paying interest on
this these massive debts or everything falls apart. So at
the very least we have the necessity of negative real
rates going forward, and that is very bullish for gold, silver,
the monetary metals, really all commodities, all tangible assets.
Speaker 4: On the other.
Speaker 1: Hand, we are seeing that our gold is hinting that
perhaps there's the ultimate end game, there's some kind of
a monetary reset ahead that would involve gold as re
establishing gold along with the dollar, is the backbone of
the dollar, the foundation for the dollar. That could happen,
And what would interests me is how quickly we've seen
gold rally recently. And I don't think that's you can
account for that in buying from the current central banks,
as current Caytrees central banks that we know about. I
think that perhaps the US government itself is buying gold
right now, trying to put gold back where it belongs,
where it should have been all along. Because coincidence with
these big rallies in gold, we've seen all talk of
an audit of Fort Knox die Away.
Speaker 4: Yeah, everyone's no.
Speaker 1: I mean it is a coincidence. You know, maybe it
isn't so much of a coincidence.
Speaker 4: Yeah, that's a good question there.
Speaker 3: And for all we know, they might have been buying
precious metals throughout the entire time here from winn it
peaked in twenty eleven and then when it went down
that they could have been buying on the up. The
same thing with cryptocurrencies. What's your take on crypto. I
don't think we ever had this conversation.
Speaker 1: Yeah, I'm a big believer in the original ideals bitcoin.
I just wish it would have bought it with all
of his co win when it was selling for hundreds
of dollars. When uh, you know people are talking to
me about those ideals, I think a lot of those
ideals have fallen by the wayside Uh, bitcoin has sought
the to get under the umbrella of regulation and therefore
have access to big money investments. The the transparency has
worked against it. Uh, the anonymity has largely it oprated,
so it's it's been those ideals have been supplanted by
the ideal of number go up, and and you know,
even the bitcoin, Well, the most avid advocates of bitcoin
talk about it in dollar terms, whereas if they were
true advocates of the principles of bitcoin, they wouldn't care
about what it was in dollar terms. So I'm very
skeptical about it right now. I'm skeptical about the performance
and how it's become a speculative of the mania. But
the other side of the coin is that some people
I highly respect, very smart people that are friends of mine,
that are again very avid advocates of bitcoin, and they're
not easily fooled, and so they're very smart people. And
so that kind of keeps me watching it and thinking
that it may end up being what they say it's
going to be.
Speaker 3: I think so, and I'll tell you why. Exactly what
we have in the silver market, the paper infrastructure, what
we would call synthetic silver since doesn't really exist. The
silver that's traded is imaginary silver.
Speaker 4: Right.
Speaker 3: It's kind of like lawyers billing for forty eight hours
in a day. They're billing for time that doesn't exist.
What the synthetic market for silver and for bitcoin is like.
And the amount of bitcoin coming onto the market is decreasing.
It was at nine hundred. Then we had the having
Now it's at four point fifty. Just like the amount
of silver coming onto the market has been decreasing. We've
been in deficit the past several years, and yet we
have this huge synthetic ETFs, We've got futures, we've got options,
and probably some other things that we don't even know
about that they're doing. And that's the exact same thing
with bitcoin, which is why if we're going to have
a short squeeze in silver, we're going to have it
in crypto too.
Speaker 4: In bitcoin specifically.
Speaker 3: I don't really follow a lot of the others, few
of them I do, but we're going to have it
in bitcoin for the simple reason of the ultimate loss
of faith in the system.
Speaker 4: That's my take. I don't know, what do you think?
Speaker 1: Yeah, I think you really put your finger on it.
It's the ultimate loss of faith in the system. And
that's been one of my key points in theses, like
over the last decade or so, that you know, the
Great Financial Crisis was revealing to me. If you plot
the Fed funds rate since nineteen eighty, you know when
Paul Boker drove up interest rates above twenty percent to
kill off inflation. Ever since then, whenever there was a
slow down in the economy of recession or anything resembling such,
the Fed had the same prescription. They lowered interest rates,
they made money easier. Central bank always did that, but
was never able to raise interest rates back again more
than halfway of the previous trading range. And so if
you plot the bottoms, you see a stair step stay,
stair step down, second four, first four down to the
ground floor at zero. After the Great Financial Crisis and
then zeroing interest rates didn't accomplish what they needed, so
they came up with quantitative easing and everything else. They
did all that over the span of four to five years.
Then came COVID. People forget they actually began quantitative easing
a few months before COVID. They did five hundred billion
dollars worth of quantitative easing before COVID ever hit, So
this was happening again regardless, then COVID hit. In everything
they did after the Great Financial Crisis over four to
five years, they did a multiple.
Speaker 4: Of that in these steroids like days.
Speaker 1: So what's happening is that with every crisis, every recession,
every bubble that bursts, that's created by the fed, the fed.
Then once the bubble burst has to come in of
rescue efforts, the investors, the market, the economy becomes addicted
like Pablov's dog to this and every time that happens
they need a greater dose of the drug to get
the same result because they've grown tolerant of it. So
the bottom line is that as these cycles progress, after
each bust and then boom, the market realizes, investors realize,
savers realize that there's going to be an awful lot
of currency created, and that degrades the credibility of the
currency with each instance. So yeah, it's loss of faith
in the financial system, loss of faith in the currency,
in the credibility of that currency. And we don't know
whether it's the next cycle, the one after that, or
the one after that that all the credibility will be lost,
but the trend is clear, and at some point the
credibility will decline to such a degree that we will
have to they will have to reattach currencies two goals,
some external governor on the worst of human nature, and
to re establish that credibility. Gold is obviously the choice.
After one thousands of years, it will be the choice
or will be part of that solution in some way
for good reason. We're not talking, you know, ten thousand
dollars gold, We're talking twenty thousand dollars and above that is.
You know, I think that the current rise the rallies
in gold are hinting at the possibility of that being
more near term than we would have believed.
Speaker 4: Yeah, and.
Speaker 3: It's interesting because the Great Depression was really a turning
point in the United States because prior to the Great Depression,
rising interest rates were seen as a positive because econ
growth was driving demand for money, was driving higher rates,
and you got a better return on your savings. After
the Great Depression, that logic went out the window. Lower
interest rates were the key to driving economic growth. But
during the Great Depression we had ridiculously low interest rates
and nobody was borrowing. So, you know, these distortions from
Kynesiism and I call them the central bank robbers, really
have distorted our perception and our understanding of how the
healthy economy really works.
Speaker 1: Yeah, it was a confusion of speculation with investment, and
as we know, the twenties were such a period of
red hot speculation, and so the central banks were essentially
created the party going. But you know it is it
is amazing that we've had fed governor's like Alan Greenspan,
you know, radical free market advocates who got in there
and determined that a bunch of old economists sitting around
a table could better determine the proper level of interest
rates the price of money than the free market.
Speaker 4: And that's amazing to me.
Speaker 1: And nobody ever addressed that in Congress except for Ron
Paul and he was, you know, laughed off as a koop.
Speaker 4: So true, so true.
Speaker 3: So you know, maybe the classical economists newer thing or two.
Certainly the Austrians did. But for so many years the
Austrians have been in disfavor, even by our social media platforms,
which routinely suppress any mention of Austrian economics.
Speaker 4: Hard to believe.
Speaker 3: Even the Mesis Institute is their YouTube channel is being
throttled and they got hundreds of thousands of subscribers. They're
lucky to get fifteen hundred views. What does the establishment
fear about free markets and Austrian economics and a move
away from monitorism.
Speaker 4: Is it a loss of power? What does it mean here? Yeah?
Speaker 1: I think it's power, I really do. I mean, I
don't think there's money to be made from that. But
it is the meritocracy to the elitism, you know, that
sense of power. I don't think, you know, even I
used to lap at deep state conspiracies and then we
all it all proved to be true. But it's not
you know, a cabal meeting on Tuesday nights, you know,
to light candles around a pentagram or anything, and and
and and champed versus. No, it's it is a loose
affiliation of people who are raised the same way, who
think the same way, and and view people who have
opposing views as outsiders and the other team, and you know,
exercise their power over their little fectoms, and little exercises
of power, uh, multiplied by tens of thousands of bureaucrats
and like minded status add up to you know, a
monolithic enterprise. And so it is real, and it does exist,
and it spreads its tentacles and every fabric of modern life,
even into social media as we saw, you know. And
Matt Taibi is one of is speaking at this New
Orleans conference, has been at the forefront of exposing all
of this.
Speaker 3: Yeah, yeah, I'm looking forward to hearing him speak. He's
pretty amazing what he's done, what he's exposed, And hopefully
I'll meet with him because he was big on the
Twitter files. I've got one for him for the YouTube files,
and hopefully I get to interview him as well. He's
the perfect example of you don't have to agree with
people on their politics.
Speaker 4: It doesn't matter whether you agree or not. It's values.
Speaker 3: We've gotten into this thing where beliefs politics, but we
don't really think about values anymore. Our communities. We want
our communities to be safe. We want our schools to
actually educate our children right. We want health. We want
our medical community to support health, not hinder it. We
want healthy food, clean water, clean air. We all want
the same things, and yet the political system has made
us move away from our values and go into beliefs.
And you know, if I believe that the sun isn't
going to rise tomorrow morning and you believe it, you're
never going to convince me. And I might even be
blind to the fact that the sun does rise in
the morning because I have that belief. I hold it
so strongly. But if we talk about values, all of
a sudden, the whole equation changes.
Speaker 1: You know, Yeah, that's a great way to put it,
you know, and the ability to have polite disagreement in
intelligent discussion is so rare these days. And yeah, Matt
is a prime example of that. He was a lion
of the liberal left for so long, and yet he
was never a member of any team. And they didn't
realize that he was not a member of the team.
He was always working for truth and and sometimes that
truth is you know, painful because on your side, as
it were, that that the errors are being pointed out.
And uh, you know, Mat sment decades skewing the right
and then when the left just quit bonkers, he's spent
the last few years skewing the left. And uh, like
I said, I think he's the most important journalist of
our generation. But he's also uh an exemplar of of
how important it is to you know, hold your values
sacred and and and disagree, uh and not be a
member of any particular team.
Speaker 4: Uh.
Speaker 1: You know, even if the members of your team or
should be your team, you know, you still have the
right to criticize him, uh and their failings and not
just accept it because you don't want to give the
other side a victory. So yeah, things have gotten so
colorized these days. It's it's amazing. It's why I've steered
clear of a number of politically oriented speakers at my
conference because you know, you just pissed people off. Somebody
I want to get angry and it's you know, it's crazy, yep, and.
Speaker 4: You gain nothing from it.
Speaker 3: So all right, the site you want to go to
is New Orleans Conference dot com and you'll see Brian
there along with all the speakers. We didn't even get
into the speakers, Brian, but you really have an all
star cast this year. I'm looking forward to a lot
of these sessions. The dates it's November second through November fifth,
and you get to hang out in New Orleans and
eat some of the best food in the world, which
I am also looking forward to. And Brian, just tell
us how to subscribe to your newsletter please.
Speaker 1: Yeah, Goldnewsletter dot com. Very simply, it is an extraordinary value,
if I say some myself, in this market, especially our
track record has been extraordinary. We have new stock picks
coming out quite frequently that double and triple very quickly.
So it is it is in a market and an opportunity.
Now you will be cheating yourself if you don't participate
in and.
Speaker 4: I couldn't agree with you more.
Speaker 3: If you've got a question for myself a Brian, shoot
an email kl at Kerrie lets dot com and sign
up for your free substack news letter subscription it's just
Financial Survival Network dot com and you'll get all the
latest and greatest material a lot of original articles. Brian
can't thank you enough for coming on, looking forward to
seeing you in a couple of weeks in New Orleans
in the Big Easy and enjoying the conference. Hey, don't
work too hard getting it together. We'll see you soon.
Speaker 1: Thanks Gerry, great talking with you.
Speaker 2: Thanks for listening to Carrie Letz's Financial Survival Network, your
solution to today's trying times. For the latest, go to
Financial Survivalnetwork dot com. Financial Survival Network now more than ever,