-US has been out of the ability to borrow since March. The $317 billion means we’ve now borrowed enough money to pay back all the debts incurred since March. With a probable argument for debt ceiling raise in December due to extraordinary circumstances, politicians are in a good position for the mid-term primary elections.
-Trump administration is full-on for a tax deal. Mnuchin says he’s hopeful for January. But we haven’t even done a health care deal yet. Gold down, dollar up now.
-Tax reform could increase revenues and decrease the need for so much borrowing. Integral to get corporate tax reform as soon as possible. But lots of breaks in the Congressional calendars. Congress is in recess for 6 weeks between now and December 31, so running out of time for a 2017 tax reform bill.
-Jack thinks its hilarious that Jamie Dimon calls Bitcoin a fraud, when JPMorgan & Chase had a $13 million fine for stinky dealings.
-George said US money is recognized as money because it’s issued by the government and good for tax payment. Why, when precious metals were removed from money, did money still function as money and precious metals did not?
-Glenn says the conflict in Afghanistan is over opium, but they also have the largest supply of lithium deposits in the world, needed for a growing world demand for batteries for electric cars.
-China wants to electrify everything and put in electric vehicles. Will create lots of demand for batteries. Congressional policy can alter the playing field for manufacturing. US electric vehicles now get a subsidy. If no subsidy, and no tariffs, China could come into the US and take over the electric vehicle market.
-Only US shoe manufacturer left is SAS – San Antonio Shoemakers.
-Eric asks if banking laws written in the 1930s make it illegal to question the national debt. You can’t say we don’t owe that. We must honor previous spending.
-Is it true climate change deniers are breaking the law? It would be hate speech. Andy would rather have free speech and no suppressing of thoughts.** Man-made climate change is a religion.
-The vast majority of doctorate economists are employed by the Fed or have contracts with them, silencing any dissent from official Fed policy. The same thing happened in the weather field.
-Stevie Wonder having a big concert for Hurricane victims. **
-What does Andy think of the documentary “The Chinese Hustle”, shown at the Toronto Film Festival yesterday. US short-sellers found out how crooked Chinese companies were. Considered to be a sequel to “The Big Short”. China’s financial system is poorly regulated. Another financial movie just out is “The Tulip”.
Even Jeff Berwick, the Dollar Vigilante, admits he has gold and silver holdings. 2 schools of thought on investing, either diversify or put all your eggs in one basket and watch the basket grow.
-New scheme for digital, spendable gold. Someone else holds your gold – Andy is out.
-Ellen asks for an explanation of the debt ceiling crisis and what would be even a short term effect of a default. Debt ceiling suspended until Dec 15. Even a short term default means people would lose confidence and act on it.
-Nancy asks about long Bitcoin being the most crowded trade on Wall Street. That’s because Bitcoin is going up.
-Hillary says the book “1984” means we should all trust the government a bit more. To her, government is always benevolent. Even if it’s a conspiracy, it’s a conspiracy for your own good.
-Bullion or numismatic coins, which ones to buy? What protection does it provide? Numismatic coins are a means of storing wealth for the long term.
-Change coming up in a few months on the Fed board. Potential candidate Gary Cohen showed he wasn’t truly loyal to President Trump and will lose out.