Speaker 1: Well, it feels like they're testing things, right, because we
did a pandemic. Now we know how that works, We
know how easy it is to say our conculture and
so you know, the cyber attack or the you know,
the major outage is on that list of things they
want to understand before they actually launch it for real,
and so this could have been just a trial run.
You know, Hey, hey, what happens if we shut the
internet down for ree hours? You know? Move on? Yeah,
let's just make sure that it's okay for us.
Speaker 2: You're listening to Carrie Let's's Financial Survival Network, where you
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Speaker 1: And welcome.
Speaker 3: You are listening to and watching the Financial Survival Network.
I'm your host, Carrie Lutz. John Robido is back with us. John,
You've been on the road, but you're looking healthy and
that's the important thing. So hey, the first question world
War three?
Speaker 1: Are we there yet? Hey? Carrie? Yeah, it's good to
be back home and good to talk to you after
a month of traveling around. And I guess you're gonna
hit the road pretty soon too yourself. So yeah, well
have fun if we don't talk before that, but yeah,
world War three, that might be an important story going forward.
You know, Trump's all the finance stuff that we're going
to talk about, because if we're in a shooting war
with nuclear powers, and you know, it really doesn't matter
what the treasury yield is or where the NASDAC is
or in videos president, you know, because we're in danger
of nuclear annihilation at that point. Why anyhow, we're getting
closer and closer. First, in Ukraine, we've been feeding so
many weapons and probably so many advisors and on the
ground people to this proxy war over there, which was
originally designed to weaken Russia. Take take an adversary off chessboard,
and it's been going on forever, and Russia's not off
the chessboard, and the Ukrainians are basically out of people,
so they they're starting to do something desperate now, or
the Ukrainians in the US and partnership are starting to
do something desperate where they're attacking the interior of Russia.
And they're hitting nuclear plants and refineries and military bases,
and so Russia is kind of you know, they're at
the point where, okay, this is it. You know, they're
they're just gonna invade Ukraine completely and take it over
and just basically crush anything that gets in their way.
The problem with that is is that the US is
in the way now where we've sent them planes and
so it's NATO. You know, there are German planes and
US planes over there on the trainers showing those guys
how to fly the planes. And apparently there are US
soldiers embedded with the Ukrainians who are in Russia. Now
they're back in the rush assets. Yeah, we learned from Vietnam,
you know. Johnson, Well, that was a long time ago, Carrie.
It's it's easy to forget in three decades how you
almost ruined your culture. But so we're reaching the point
now where Russians and Americans are going to be killing
each other and blowing up each other's stuff, and boy,
that is so close to, uh, you know, an actual
declared shooting war with the two biggest nuclear powers in
the world, you know. And so that's one thing, and
then meanwhile you got Israel sinking more and more deeply
into a broad Middle Eastern war, in the US bringing
over assets to protect Israel against Iran. And so, you know,
Iran is not a nuclear power, but it's a it's
a major Middle East for power, and who knows it
might at this point be a nuclear power. We don't
know what the state of their nuclear program is, so
but we do know that they've got a lot of
cruise missiles, they've got a lot of people, they've got
a lot of weaponry for that theater. So that's I
don't know if you could call that World War three,
but you could certainly call it a major, broad based
Middle Eastern war that the US is on the verge
of involving itself in. And then of course you got
China over there where We've got China kind of surrounded
by military base, and one little accident with you know,
an aircraft carrier or a fighter jet or something like
that could set things off over there. So we're in
grave danger of a three front war right now, two
fronts of which involved nuclear powers, at least two fronts
of which. So this is a nightmare, and it's all
our fault, you know, We didn't have to surround China
with the military basins. There's a funny meme that I
posted on my substack that is a picture. Well, first
of all, the headline is Iran once a war, and
then you scroll down and it's it's a map of
Iran with all of our military bases and around it,
and the caption is because why else would they have
surrounded all our military bases with our country. So that's
the situation out there. We're picking it everybody, and it
could end well, could end pretty badly for humanity, or
at least very badly for the cultures that are involved
in this WARCE. So you know, here's hoping that we
get to the braink and we pull back. But in
the meantime, until we do pull back, there's no other
story that even comes close to the magnitude and the
importance of World War three.
Speaker 3: So so really the election is the only other story
because one side we know wants to have World War
three and blow up everybody. I guess real and imagined
edem east. It's like that song from the seventies by
Randy Newman. You know, let's drop the big one now
you'll eat us anyhow, So let's drop the big one now,
like somebody grew up with that saw. And then there's Trump, which,
according to Tucker Crlson, Trump's major sin or the military
industrial complex the neocons, is that he didn't want another war.
Speaker 1: So yeah, that's I mean, that's that's the main reason
why he's hated by the establishment, because he's getting in
the way of their gravy train. Because the way the
military industrial complex works now is that politicians go out
there and decide who to invade, or which proxy war
to finance or whatever, and of course they send a
bunch of money. That money flows back to General Dynamics
and raytheon for new weapons, and then they pay their
CEO's massive year end bonuses. But with a little bit
of the money that's left, they funnel it back into
those same politicians election campaigns. So it's a nice closed
system in which everybody gets rich except for the people
that are murdered by the proxy wars and the nuclear
conflagrations that are going to all of our kids if
they if it goes much further. So, yeah, you don't
want a politician getting in the way of that, because
it's billions, hundreds of billions of dollars brillion at stake. Yeah, yeah,
over time it's trillions. Yeah. So, and you know, I don't,
I don't. Trump is too erratic for me to come
out in support of. But you know, we had four
years of him, We had four years of Biden. Trump
years were much more peaceful than the Bible Wars suse.
Biden got into office, he started everything every kind of
war you can imagine out there. And that was because
he is in the pocket of the defense establishment and
the Democrats in Congress and the Republicans too. I mean,
all of the political class is basically in the pocket
of big pharma, big food, the military industrial complex, and
the green energy establishment. So anybody who gets in the
way that is risking their life and we're seeing that
with Trump right now. So I think it escalates from here.
You know, they missed with the one assassination attempt and
attempt and they we'll come back with more legal stuff. Yeah, yes,
well yeah, I think so. And who was the guy,
one of the big Democratic politicians just he was on
camera and he said, well, you know, if Trump gets elected,
if he wins the election, then we're going to have
to prevent him from being able to take on with
us using this Yeah, yeah, and was it the twenty Jamie, Right.
I don't remember what the legal mechanism they were going
to use was, but he just flat out said that
they were going to use it. So and we'll confirm them.
Speaker 3: But that would be anarchy because then it would really
be a constitutional crisis because Trump would not ascend to
the presidency if he was elected, right, but the statutory
terms of the Biden or whoever is running things there
and the clutre would be over, so we would literally
have nobody.
Speaker 1: As pressible. We would have a civil war as what
we would have, you know, that might distract us from
World War three, so in the end of the US
civil war might actually kill fewer people. So I don't know,
I don't know. I mean, Washington State, that's the wrong
state to be in for a civil war in the
United States, you know.
Speaker 3: But I'm sucking see not funny, but I can't help
but laughing.
Speaker 1: Why is that? John?
Speaker 3: I mean, hey, you know a series we're talking the
end of the world, the end of the living as
we know it, and I'm finding humor in it.
Speaker 1: Well because it's so stupid, you know, this is just
so improbable and so inexplicable that you kind of have
to laugh. I mean, this is just pat shit crazy
what we're what we're doing right now. And well, I
mean it used to be easier to laugh about financial
crises because they're they are pretty funny. They're they're for
a lot of people to get through. But it's just
stupid Wall Street people taking unnecessary risks and government bailing
them all out. And you know, if you play it right,
you get rich ships. But World War three there's very
there are very few ways to come out of that
better than you went into it, right. I mean, a
few people will, but it's not a broad based thesis
that you can use to just Okay, well I'll implement
this kind of repping and I'll be fine because you can't.
So it's funny, how Yeah, all you can do is
laugh sometimes.
Speaker 3: Yeah, well what else are you going to do? But
you know, it's it really is escalating. I don't know
about China because China is like had some huge issues
with flooding. They had like a thousand year floods that
just washed away whole provinces. Was the most amazing thing
to watch. And it seems like g is fighting to
hold power. You know, it's just making for a very
unstable situation globally. It's making me believe that maybe the
stars are behind it here. I mean, there is a
guy who June first, he's a a utic astrologer, he
does Indian astrology, and he said between July fourth and eleventh,
there would be an assassination, a political assassination. And two
days later they tried to take out Trump and by
all rights, Trump should have been gone. That was like
a shot that you just don't miss. And then he
said a terrorist attack. Well they're saying it wasn't. But
the whole CrowdStrike thing that shut down broke the Internet
throughout the world. I mean John at my gym, the
TVs at the Blue Screen of Death, because they were
all hooked into certain and stuff and they just shut down.
It was the most amazing thing. Like every other TV
was shut down. But that was a big deal. Literally
the Internet broke, and if it had lasted for any
amount of time we would have had it, we would
have a major economic depression. Imagine airlines not being able
to fly for weeks. They couldn't fly for hours and
it cost them billions. It would have cost them tens
of billions because under the law, the airlines got to
make good if there's a computer crash and it's not
an act of God, they got to make good on
all those tickets.
Speaker 1: Yeah, well, it feels like they're testing things, right, because
we did a pandemic. Now we know how that works,
We know how easy it is to sit here convulsion,
and so you know, the cyber attack or the you know,
the major outage is on that list of things they
want to understand before they actually launch it for real.
And so this could have been just a trial run.
You know, hey, hey, what happens if we shut the
internet down for three hours? You know, yeah, let's just
make sure that it's okay for us. And I think
that the people who did that now know a lot
more about what happens when you shut the Internet down
for a while. So yeah, and there's no reason that
these things can't happen all at once, you know, a
declaration of World War three and internet outage and another pandemic.
Did you see the resurrected monkey pocks? Yeah, because because
that flopped, they brought it out and it flopped because
the name was too silly. So nobody believed that, but
they brought it back and now it's a new deadly
version of monkey pocks and we all need to be vaccinated.
So got to get Fauci. Where's Fauci when you need
to bring here back? Wealchi, Yeah that's right, he's retired,
but he can come back. But yeah, so okay, you
know you and I are veering off into tinfoil had
here Terry or can you keep all this stuff on YouTube?
Or yeah?
Speaker 3: I think so, like it almost like anything goes now sweets.
We didn't say anything to that, but hey, you know
it's you got to kind of speak and try a
little code or a pig Latin if you're not well.
Speaker 1: Now that we're heading back into an election, it's probably
going to get tighter again because you know, they were there,
were there, people were in charge, so they didn't really
feel that threatened. But you see what's happening in Britain now,
yeah with yeah, there's a guy going to prison. We
were posting memes. Yeah for me, they weren't even know.
They weren't even explicitly they weren't you the violence or anything.
They were just I forget what it was. But something
like this is what happens with open borders or it
was a funny scene of protests or riots or something,
but put him in prison for it. So and then
they were threatening to extradite Americans stuff we did here
in our internet.
Speaker 3: Well did you catch so yesterday? And I should mention
it's August thirteenth. Yesterday Trump sits down with Musk. But
before that happened, like two hours before, some hancho from
the EU sent a Musk a letter saying you can't
do this. You're putting out disinformation. Disinformation's illegal, blah blah blah,
and Musk posted if and the thing went on. And
then again, funny thing happened in denial of service attack.
It tied it up. But they still with all the
reposts and everything else. John, they've gotten over one billion views,
which is a record and is sending the the powers
that be into absolute conniption?
Speaker 1: Fits well, yeah, because they they do not well, obviously,
they don't want Trump to win, and they've got a
list of options there, and you know, shutting him down
on public forums is one of their options. That's that's
not a guarantee of anything, but it makes it harder
for him to do what he does. You know, he
hasn't had any big outside rallies, has he since the
or not very many since the assassination attempt, And it
was because but but he was having him, you know,
one after another, and that's that's his big way of
reaching his people. So I mean, if the lower number
of outside venues is because it's so much more complicated
and dangerous to do them now, then that that assassination
attempt partially succeeded. So I don't know, there's a lot
of a lot of things that can be tried between
now and then. And you know what else is interesting
is this is the first ever election where AI generated
content is is a controversy like those Kamala Harris crowd scenes. Yeah,
but I mean some people are saying, well, they're fake,
and then I've caught a couple of mainstream out that's saying,
oh yeah, and the Republicans tried to say that these
totally legit images were fake. And so I don't know
obviously whether they were fake or not, but it's it's
now a source of uncertainty, right, whatever you see, you
can think, well is this real or is it AI generated?
So it wouldn't be a surprise if we get some
big false flags heading up into the election where they
use AI generated imagery to make some kind of a point,
you know, to discredit somebody or to make somebody look
extra good or whatever, and there isn't enough time left
till the election to completely debunk it, so it stands
as real video or real audio. And this is the
first election where that's ever been a thing, so that
that's a huge deal if it's true.
Speaker 3: So true, it's it's, you know, one of those things,
but you gotta wonder with what you're seeing because they
had one of the Camilla Harris saying stuff that was stupid,
but it wasn't that much more stupid than what she
usually says, So it's almost like believable.
Speaker 1: But wait, you know, with with her and this same
as true as Trump Trump is, I don't need you
don't need to make up fake stuff with them. You
could just go through their their their video background and
pull out all kinds of things that you know, thirty
second commercial are pretty damn then, you know, so we'll
see a lot of that, I mean the next month. Yeah,
she fake fakes as she called it, which you ever
heard of, But they're sei they're not fake, that's whay,
I'm dismissing them. But if it's real video footage, then
then it's a real thing and it's a completely legitimate
thing to post. The thing is, we won't know for
sure whether it's real or fake right away, and we
might not have time to actually do the analysis that
we need to do, or it might never show up.
Like if you're in either of the big medio media silos,
you will never know if something is whatever, you know
if something is real or fake, because they won't tell
you unless it's in their interest to tell you. So
if you're on Fox or MSNBC, you're only going to
get the stuff that reinforces your preconceptions, and so you're
going to think those videos are real or you're going
to know their false, depending on how it plays in
your silo. So yeah, this is very scary stuff.
Speaker 3: And you can't believe what they say anyway, because they
said Hunter Biden's laptop was fake and that didn't wear
too well, did it?
Speaker 1: No? No, But they're half the country still believes what
CNN and MSNBC was saying back then. It's a trusted
sources of news, right, Yeah, And but you know, I
don't I don't want to, you know, make this any
more partisan than it is. There's a there's another group
of people who watch Fox and they they still think
that the lies that were told on Fox are are
true because nobody's disabused them of that notion. So yeah,
it's you know, it's possible to build your own little
media ecosystem that features people who are trustworthy. And that's
what people, well, people are doing that. You know, they're
migrating over to Tucker Carlson and Joe Rogan and and
realistically a lot of people on the left too, who
honestly believe what they're saying. Okay, it doesn't mean any
of those guys are right on any given issue, but
it means that they're honestly trying to figure out what's
true and honestly trying to take that truth that they
feel like they've discovered and give it to people. And
so you build a media system like that, a media
ecosystem like that, and you have a way healthier view
of the world because you're getting at least what some
people honestly believe is the truth. And that's better than
just a lot out lies because it fits a narrative,
which is what most people get. Right.
Speaker 3: Now, Hey, wasn't it Abraham Lincoln who said you can
gaslight some of the people some of the time, you
can gaslight all of the people some of the time,
but you can't gaslight all of the people all of
the time.
Speaker 1: Was that Lincoln that said that, pind I think it's p. T.
Barnum who is but Piddy Lincoln? No.
Speaker 3: Hey, you know, like when they said the gaslight district
in San Diego, I think the US has become a
gas light district, you know. But yeah, in the meantime,
in other news, well we got producer prices barely rising,
so convenient for an election, John, So, I guess inflation
is over. We don't have to worry about it anymore.
The Fed foot the good fight and they won. And
now you know, prices are higher, but they won't go
much higher.
Speaker 1: Well, we'll have favorable economic numbers going into the election,
because you know, we've had them for the last year.
What they do with, for instance, the jobs number or
whatever is they report a beautiful number, take credit for it,
and then revise it back to its much lower number,
real number. Over you know, the insulling months when nobody's
paying attention. Obviously, the same thing is going to happen
with economic numbers going into the election, so we shouldn't
trust them other than for the fact that they're going
to justify those numbers, will justify cutting interest rates. So
there is going to be a real world impact here
where we'll get lower interest rates, maybe you know, maybe
like three quarters of a point lower on the FED
funds rate by the time the election happens, and that'll
have hand impact, although you know, three quarters of the
point is not going to destroy the world or save
the world, but probably Okay, here's the scenario that probably
works out is that the economy still looks reasonably good
in early November, but after the election, bad numbers are
allowed to come out, and the natural momentum that we have,
which is downward, really gets going and we have a
pretty serious recession in twenty twenty five, which causes the
Fed the panic cut, and then we get back into
where we were three or four years ago, when interest
rates are close to zero and you know, inflation has
been replaced by deflation. As the big fear, we're liable
to be back there this time next year. So the
question is how are we going to invest for that
kind of a sea change, And I'm not really sure
because it's not even necessarily that good for gold and
silver early in that process. You know, cutting interest rates
is good, but deflation fears are bad. So we'll have
to see this is this is going to be a
tricky one to navigate, but it's going to be very different,
which means different things make money for us in early
twenty five from what has made money in the past
three or four years. So fascinating times, but we'll have
a lot to talk about.
Speaker 3: Yeah, well, hey, the gaslight Associates, they're now in charge
of all the economic statistics, so we know we'll get
the real story from them. But you know, we've been
in a recession for years already. It just it used
to be two consecutive orders of negative GDP growth, right,
which we had, and then they said no, no, not
a recession.
Speaker 1: Right. And remember that's real GDP growth using the government's
inflation numbers to adjust, which are wrong GDP. Yeah, So
I think if we took actual inflation, which is probably
three or four percentage points hired in the government's number,
then had we had negative growth for a year and
a half there because twenty twenty two we had almost
nine percent official inflation, so twenty twenty two had to
be a down year in real terms no matter what, right,
And if you're adjusting nominal GDP for nine percent inflation,
you got to end up with the negative nominal or
real GDP number, but we didn't, so yeah, So I
don't know.
Speaker 3: My mother always used to tell me that thetistics lie
and liars use statistics.
Speaker 1: And then was it.
Speaker 3: Winston Churchill who said there's lies, damn lies, and then
there's statistics. So yeah, I bet there are official statistics.
That's the important thing, because the official ones are the
ones who are so grossly manipulated. In today's world, the
only number you really can trust is the stock market,
because it might be fake, bakery, whatever, But at least
when the stock market goes up, John, you know it
went up, right.
Speaker 1: Well, that's true. You know that the number is the
number in the stock right, But why it goes up
is a lot more complex. I'm interesting, because you know
our governments behind the scenes buying equities or or when
they keep them interest rates at artificially low levels, and
that raises the price of financial assets like stocks. Is
that real? You know? And I think it's not. I
think financial sets have been artificially elevated for thirty or
forty years now. So when the the revaluation to actual
intrinsic value happens, it's going to be pretty brutal. Yeah,
we need to be short. That leeds to an extent
somewhere somehow. I'm gradually buying Nasdaq good options and deeply
but it's slightly out of the money, but to minimize
the premium to an extent at least. And all of
them are underwater right now except for the most recent one.
That's the only one that's up. And that's the way
I how that that works. When when you kind of
throw very into a short position, Yeah, the recent one
makes you all the money, and that offsets the older
ones that have lost so much that you can't get
back to even on them.
Speaker 3: But that's what's his name to lobbies, a theory of
black swan because you keep buying these out of the
money puts like you keep buying them and they keep
expiring worthless until one day.
Speaker 1: They're worth a ton of money, or like Beiederman. Do
you remember Beiederman?
Speaker 3: He was a metals guy like fifteen years ago kind
of when I got started in this, and he said,
silver is the worst asset in the world.
Speaker 1: It's horrible.
Speaker 3: No one in their right mind would buy it, except
that one day you will wake up and silver will
become the best performing asset in the world and you'll
be glad you had it, which is still waiting, but
it looks like that day is getting closer.
Speaker 1: Right. Oh, absolutely, When the Fed starts panic cutting and
interest rates get back down towards zero, then silver will
outperform gold dramatically.
Speaker 3: So yeah, you got it on silver. Okay, So we
had a little mini crash. I don't really consider this
a crash. I think it was hedge fund induced trying
to screw with the election. Just what happened in eighth
nine when the hedge fund trains out hundreds of billions
of dollars from the money market funds, they collapse cascading collapse,
and then we had the Great financial collapse. But there's
a theory that the collapsing yen carry trade may have
caused it. First explained for me and for those of
you listening, what is the carry trade?
Speaker 1: John? Yeah, And I think it's the culprit this time around.
So basically the carry trade is a few years ago,
Japan had incredibly low interest rates, like zero point five
percent you could borrow, yeah, a half a percentage point.
But the rest of the world had really low interest
rates too. But then the US and Europe started raising
their interest rates and that created this this really juicy
spread where you can buy in for point five percent
because Japan did not raise their rates, and then you
invest that money in US Treasury bonds for four point
five percent, and you make a four percent spread for
basically just a couple of mouse clicks. Risk free. Yeah yeah,
well people thought it was risk free. But then Japan,
by keeping their interest rates so low for so long,
started to affect the value of the end and it
started to plunge. You know, everybody else had high interest rates,
Japan had low interest rates. It made the end less
attractive for certain groups to own, and so the end
started to fall in a disorderly way. Japan had to
step in and prop up the end, and that made
first of all, made the end go up versus the dollar,
and it made Japanese interest rates go up, so it
blew up the carry trade. All of a sudden, you're
not paying that loan back in depreciated y end. You're
paying it back in appreciated yen. In other words, that
loan that you thought you were going to make four
or five percent unch, it's going to cost you fifteen
or twenty percent. And you did it with size. You know,
you did one hundred million dollars or whatever if you're
a hedge fund. Well, in the aggregate, it was a
trillion or so dollars. Some analysts think, so you've got
a trillion or so dollars worth of carry trades blowing
up out there, and that means that you know, people
are having to sell their stocks to come up with
the margin calls on these things, and that affected all
the financial assets out there, and that's what blew up
the stock market just lately here because you know, you
saw the Japanese stock market tank first, and for a
few days it was fallen by like nine percent of day,
you know, trading decks, and then the NATASDAK and the
US collapse, and that pulled the rest of the US
stock market dent. So it would not I think it's
a safe bet that it was the end carry trade
blowing up that caused this problem. But the important thing
is there is no fix. If you're Japan, yes you
you can bring your your currency back up, but to
do that you have to sell all your dollars to
buy in, and then your porgn ex change reserves are
drain and your government is still borrowing insane amounts of money.
So then you have you have inflation, or you have
a crashing currency, or you have a bankrupt government. You know,
you can't get out of this without a gigantic existential crisis.
And that's what people are realizing right now because yeah, okay,
maybe we stop the carnage in the stock market, we
actually didn't fix any of the underlying problems ever do
the financial system. Yeah, so that's the crackup boom that
we've got ahead of us at some point in the
not too distant future. And this was like a little
mini version of that. But it's going to be much
bigger when it happens, because a trillion dollars will be
a rounding error when the actual crackup boom happens, So
it'll be it'll be tens or you know, more than
that of trillions of dollars of financial assets all blowing
up at once. And that's that's if we avoid World
War three, right, I remember that World War All these
three almost financial predictions are only if we survived in
order to see them happen.
Speaker 3: I think there's a stealth carry trade that we don't
know anything about, and I think it involves options, and
it involves buying Japanese government debt, bringing that over here,
collateralizing it to buy US debt, and then you never
have to go through the currency translations. You've got a
secured asset. You know, you probably could. I don't know
that the FED will take it, but any bank will
take it and basically give you a US treasuries and
then you know, you never had to go changing money
or anything, you know. I think there's a lot of
ways that's been played that nobody knows about. And when
it blew up, it blew up not so much what
we could see, but what we didn't see. And that's
why you know, Japanese but somehow it just writed itself
in three days, John, and then well we can do now.
Speaker 1: Yeah, it's amazing what we can do in the short run.
And we shouldn't forget their derivatives out there are going
on a quadrillion dollars space value of derivatives, some of
which are interest rate sensitives, some of which are currency sensitive.
So yeah, the ramifications of the stuff we can see
are dwarfed by what happens to the stuff that we
can't see until, you know, until there's an announcement that
JP Morgan Chase is going under because of their derivatives
book and the government is stepping in to bail them out.
Then oh yeah, derivatives, that's right, I remember that from
two thousand and eight.
Speaker 3: Yeah, it doesn't mean anything until it means something. In
the meantime, silver is trading at twenty seven bucks the
ounce a.
Speaker 1: Little bit more.
Speaker 3: Twenty eight gold, you know, broke the twenty five hundred market.
I think I'm looking at the right app and hey,
we got merger activity now. Last last subject, miners Neumont
had blowout first quarter earnings. I almost bought some options
on it, like three weeks ago, but of course I
didn't kick myself to trading at forty nine bucks. It
was a forty two bucks three weeks ago. And then
Anglo Gold just bought a Cisco mining sixty five percent premium,
and everybody's a buzz about it. You know, just talked
to a junior mining company, one of the real quality
issues out there, and they're like ecstatic because they just
had a huge find. And now all of a sudden,
the majors are waking up from their stupor saying we
need to start buying juniors because we don't have enough
you know, production for the future. We're going to be
going under or dramatically contracting.
Speaker 1: Yeah, but well that's what you get when the thing
you sell goes up in price, right, And that's what
happened with gold. And the price of gold in the
second quarter of this year was about seventeen percent higher
than it was in the second quarter of twenty twenty three,
so that gave the big gold miners a nice pop
in revenues. A lot of that fell down to the
bottom line, so it was either a free cash flow
or net earnings that were both one way up. And
what happens then, you know, when big miners are seeing
rising free cash flow, they initially help out their shareholders
immediately with the you know, dividend increases or share buybacks. Yeah,
but then that cash flow is still coming and so
they started looking around and thinking, wow, I could build
an empire, you know, I could be bigger than this
guy who smaller than him. Now, but let me make
just a couple of acquisitions, and I'll be the one
not taking his calls, you know. And and so I start.
They started empire building and and like you said, legitimately
rebuilding their resource basis. And they do that by buying out,
buying up the really good quality explorers and junior producers
who were big enough to move the needle for a
big company. H And Osisco that, as you mentioned, was
brought out by Anglo Gold for a really nice premium,
sixty some percent one day to the next in that stock.
And it's just a really good quality resource that Osisco
has delineated. And that's not a company maker for somebody
like Anglo, but it's a really good They called it
a bolt on acquisition. You know. You just add that
to your other reserves and everything looks great. You don't
miss a beat, you know. And so there's a lot
of small miners and explorers who aren't producing yet, but
who found a lot of gold in the ground. Who
are you know, in the conversation of who's next after
a Cisco? You know, when once people saw that kind
of a premium, then they want to know who hasn't
gone up yet, but who is capable of being bought
out for that? And there's a bunch, So let a
couple more deals like that happen and the junior mining
space will be a very exciting place to be. So again,
here's hoping that would be very cool because I owned
a lot of beating up junior miners. You know that
it would be nice to see them just to get
back to or I paid for them. But you know,
another sixty or one hundred percent or whatever on top
of that would still feel good in the short run.
Speaker 3: And we shall also mention that Neumont up their dividend.
You know, between Numont and Barrack and Ignika, they're all
giving a two percent yield. Now. So when a company
like has already haing a dividend and they start getting
all this excess cash flow, you know that they can't
reinvest because there's only so many decent juniors out there,
and they don't want to go so far out in
the junior space that they're just basically speculating with the public, right,
So they all go for sure things they're going to
be up in their dividend, and if gold goes up
twenty five hundred three thousand bucks, a lot of that
cash flow is going to find its way into dividends.
You'll see them, you know, yielding huge dividends. Again, Yeah,
that makes them good byes.
Speaker 1: But you know what, you can get those big stocks
in one of the ETFs that own the big stocks,
and in that space, you know there's rot has one
and then GDX is another one. You just buy that
and then you get Agnico Eagle and yeah, it's true.
Who do I want to say, who's the gold right? Oh, Berrick,
you get Peric, Yeah, you get those guys. So incident,
you don't really have to analyze the big gold miners because,
first of all, it's really hard to do because they've
got ten different world class minds spread out all over
the world. Oh, Reggae in person can make sense of that.
But so you just buy those stocks via a large
gold miner ETF and you're instantly exposed to them.
Speaker 3: Yeah, that has a lot of advantages buying ETFs. We
won't get into that now in any event. That is
it for today. Hopefully we'll catch up before I get well,
we definitely will, but make sure you go over to
John's Substackorbido dot substack dot com our site, Financial Survival
Network dot com subscribe and John. If you got any
questions for John or myself, shoot me an email kl
at Carrie Let's dot com.
Speaker 1: John, We'll catch up to you in a few weeks. Great, Krey,
talk to you soon.
Speaker 2: Thanks for listening to Carrie Lets'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,