Gold and silver will get hammered.
You might see another big push down but either case, I don't see these
pushdowns being long and duration, that's the whole point.
And if your plan is, I'm happy buying under $20 silver
Using the old methodology.
Inflation is actually much higher than that.
In fact, by the old methodology, where the CPI was determined, we find
that.
I think it was 17%, don't quote me, Elijah, but the idea is, as well
above the nine point eight, which means it's actually higher than what
it was in 1980, at least to my memory and low living throughout think
13.
Something was the high before.
Crew came in and push the interest rate.
So, high basically crashed the markets, we see the markets crash here.
Last maybe should use crash but sell-off and the interest rates really
have started to come up but nothing compared to what Volker did.
But Volker did was he took the interest rate at the nominal place
where it was basically yielding zero based on inflation.
So if you were getting
Say 10% or something on a bond or mortgage and of inflation rate was
13%.
Obviously you were really losing three percent based on the inflation
of the money supply but he did was he pushed it up to her.
Twenty percent or thereabouts, which gave a real rate of return of,
about seven percent.
So you're actually making money on your money in order for us to do
that, we would need to get the interest rates up to say 10% and then
you would have a zero point two percent real rate of return.
I don't think that's possible to get the interest rates a lot higher
than where they are.
Right now, you wouldn't be able to service the interest on the
national debt.
Where the hell rough spot, and know everyone you interview, basically
says the same thing.
I think the markets are reacting because you don't know what else to
do uncertainty and you know, I'm sure we'll get the precious metals or
I can just take off on that circus.
I will, I mean, the metals are doing very similarly to what it
happened in 2008.
When the 2008 subprime mortgage crisis, came to the fore and these
Banks and mortgage companies start.
That family left and right.
It took down the stock market took down the gold market, silver market
basically took down everything and we're seeing a repeat this time,
what's interesting to me and I think I said it on your program some
time ago that looking in that same idea what I noticed was that the
sell-off of gold and silver at that?
I'm was not a significant percentage wise as it was in the 2008
crisis.
Even though this crisis is far, far far, worse, than what the 2008
crisis is go was, which means that the metals, although, there are
selling off, are anticipating that this situation is the place where
you really want to be in a precious metal.
So I follow that logic about sure you do, but it was
to saying is they're acting stronger than you did in 2008 crisis
because this crisis is going to make the 2008 crisis look like not
that big an event.
Yes, it was a lot of people had to leave their homes.
No one else I get that.
But now they're going to be leaving their homes or not going out of
food to buy, they can't afford the gasoline.
There's a lot of things that are going on this time around and there
isn't going to be a way to print it out this time.
And once the market recognizes that you'll see a big shift between the
equity
And the precious metals, it's hard to make the case that, you know, he
who loses least wins, but that's the case at this juncture and I do
believe, like in 2008, you will see a slingshot rebound where you see
both the metals, take off, and regain some traction.
And then once new buying occurs, then we will see the metal start to
make new highs.
Will that happen by the end of this year?
I don't know.
No, I feel strongly that by 2023.
We will be seeing new highs and gold as a minimum silver, perhaps.
But at the end game, nothing outperform.
Silver will happen this time or not.
We'll see what I do know.
Is that the best study done on it was called Silver.
The Restless metal Professor jastrow.
My mentioned before, I li jie and he did the Golden constant.
You looked at Gold
Commodities and did bested a deflation and he wonder what silver did.
So I looked at it under the same conditions and he determined that
silver does sometimes well a deflation sometimes not so well or
deflation, one more comment on solar, is that on the wholesale side
it's getting pretty tight belt.
Think the metal story is far as over by a long long shot.
I think there's a lot more to the story as I've said many times and
broken record Style.
90% of the move comes the last 10% of the time.
And I think we're going to see something similar this time around, and
I really anticipate that by Twenty twenty four.
So, two years out, maybe, two and a half.
I think we're going to see the record highs in both the metals.
And a lot of people that will be joining the movement, the idea that,
you know, stocks bad gold, good and of course that is not in the
consciousness of most investors at this point in time.
That it will happen in my study View.
And I think when hard to say I think before the end of this year,
you're going to see a lot more and a lot more volume in the gold and
silver markets, and you have now the main thing is to have a plan and
stick to your plan, it's if you have a plan of dollar cost averaging,
for example and I'm going to buy precious metals for the next three
years, and I'm going to buy it at $100 a month.
Next two years stick to your plan.
So when the metals
Get crashed.
You're buying a lot more metal for that hundred dollars than you are.
Mice are high, but in a bull market, it's a good way to dollar cost
average and get a good price over time and takes a lot of stress.
So, that's number one, the other one of course, is what people want to
do, and that is to pick an exact bottom, which is nearly impossible.
And the problem is the psychology that goes into it, when you say
that's the bottom and you buy and then you find out, it's gone even
lower than you're upset with yourself.
Shoulda waited in your hesitant to buy more so strategy.
They're really what I've done and seems to work.
Well as I make certain that the bottom is it.
So let's say for an example, silver bottoms it, 1788 a week from
Tuesday and that's the low.
And then it comes back up to the trades are below 19.
For a matter of weeks, I would look at the chart and I would make
silver prove itself to me, which means I'd say, OK, I draw a
horizontal line.
Why that would say when silver gets above 1880, this is based on, you
know, this is based on the future and I went above when it gets above
1880, it has to stay there for three days in a row.
Must be consecutive days that I must be on higher than average volume.
And if that occurs, then I can go ahead and buy.
So if you want to buy within the, the buying range and you want to
sell the solid range, I would say right now.
Elijah 81.
It's bought at a 28 or whatever, you know, you feeling some pain.
I understand that.
But I think in the longer term you're going to be fine.
But if you're new or you want to average down, I would say anything
under 20, and silver is a bargain.
And again, you know, you have to be two months out, I think two months
out, we will be in a position where the metals prices look better.
My only concern is that two months out.
We might see one more
You know, Big Move by the fed, maybe they're, they're fed up with
themselves and they raise interest rates.
It's a 1% if they did that a market would react as it is now.
Gold and silver will get hammered.
You might see another big push down but either case, I don't see these
pushdowns being long and duration, that's the whole point.
And if your plan is, I'm happy buying under $20, silver, never
perfected, the article, I want to write.
I mean, I've written about it.
You're four times that there's a direct correlation to being honest
money or sound money and freedom and I've expressed that but I've
never got that point where I thought it was an aha moment where I
could help wake up.
You know.
So many more people that they get that that moment that light bulb
goes off above, they're heading, I can't it.
Now now I know why I want, I haven't accomplished that, I'm not sure I
ever will those in our communities small as it is,
Understand it.
But once the system fails or be a lot more people understand it only,
they won't have the opportunity to preserve their wealth from from
what's coming.