Aug. 31st, 2018(S13-E659)Featured GuestsNick Barisheff & Peter GrandichPlease Listen Here Show HighlightsNick Barisheff of Bullion Management Group (BMG) and author of $10,000 Gold: Why Gold's Inevitable Rise Is the Investor's Safe Haven (2013), returns. Venezuela, Argentina, Brazil, Iran, South Africa and Turkey could become the norm throughout the global financial world.Eventually the financial plague will infect the entire $300 trillion in global stocks / bonds markets and impact even North America. Margin debt is 50% higher than just before the 2008 Great Recession that could result in sudden / violent and catastrophic market losses / financial chaos. With only $1.8 trillion of investment grade gold available, a global currency crisis is inevitable. If only 5% of the $300 trillion in paper assets is directed to gold, $15 trillion could flood the tiny $1.8 trillion PMs sector resulting in $10,000+ gold. Several BRICS nations are inoculating their currencies from the systemic financial infection. China and Russia continue to stockpile PMs including silver in Moscow, in preparation for a global currency pandemic. Our guest cites research suggesting peak gold is occurring just when supply is most needed.Even an enormous new find would require decades to positively impact supply levels. Once panic grips the financial markets the 5% gold allocation could exceed 10-20% or higher sending the yellow metal price north of $30,000 per ounce. One candidate for an alternative reserve currency is the Yuan that is convertible to gold, better facilitating crude oil / commerce transactions. BMG has identified a triple bubble in stocks / bonds / residential housing, where current share valuations mirror those of the 1929 peak.The risk of missing further gains in US equities pales in comparison with the potential risk of loss. Nick Barisheff questions how markets will respond amid bear market conditions, given the less than robust activity during the current bull market. The World Gold Council announced that gold production has peaked.Mines can no longer produce enough output to increase the supply, but only add to dwindling stockpiles. Potential gains in the comparably small $1 trillion PMs market could startle even the most ardent gold aficionado as investors, institutions, pension funds, hedge funds and even governments seek safe-haven assets. Peter Grandich of Peter Grandich and Company and Pete Speaks says he's pushed all his investment portfolio chips into the PMs.Our guest views panic related capitulation-selling as an opportunity to procure the metals at fire sale prices. Caution is advisable when overweighting any single investment class as the asset diversification remains the perennial "free lunch" investment strategy. The duo review harsh comments from the current Administration directed at the new Federal Reserve Chairman, Jerome Powell. Officials warn the multi-year rate hike theme could undermine current efforts to boost US exports.A stronger dollar reduces the relative price advantage of US goods shipped off shore. The head of the Central Bank of Russia, Dimity Tullin noted gold is the only guarantee against "legal and political risks." The CBR added the most gold bullion to the national stockpile in a year, front-running potential tariffs / taxes on the precious metal.Top analyst Jim Rickards applauded Vladimir Putin's decision to add discounted gold to the national coffers. Peter Grandich agrees that gold remains a viable investment, "Buy a little gold as insurance and hope it doesn't go up in price," to protect your nest egg from inevitable market volatility.Please Listen Here Dial-Up Real AudioMP3Mp3 FAST DownloadMp3 High Quality DownloadRight click above & "Save Target As..." to download. To learn more about software needed to play the above formats, please visit the FAQ.
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