The Great Mega Debt Bubble Reset: Coming to a Town Near Year

Tom welcomes a fascinating new guest to the show, Francis Hunt "The Market Sniper." Francis discusses how gold is acting as the bellwether for the collapsing global economy. 

Gold and silver will soon be unleashed, not unlike the recent major moves in palladium and rhodium. 

A lot is happening behind the scenes that will affect precious metals, and he looks closely at the macro picture surrounding the markets and bonds. 

Paul Volker was able to bring inflation under control during the early 80s. Since then, yields have steadily stair-stepped down, and we're effectively below zero today. 

Every time they create money, they make additional debt, and now we have a mega-debt bubble. The market will break when investors, pensions, and firms stop wanting to hold bonds. 

Governments live beyond their means, and the only way to manage the debt is to continuously lower interest payments. We are at the end-game for this debt cycle. Recently real yields have had some huge moves in percentage terms. 

Francis explains what to watch for when markets are reaching the end of their cycles. March 2020 was likely the most extensive economic off switch in history and was the final capitulation for many investors. 

It signaled the bottom for precious metals and several other commodities. Inflation appears in assets first, and he shows how the broader equities have been steadily moving upwards. 

Money wants to find a home in assets, and soon inflation will appear in real-world goods and services. 

Technology has been deflationary for the past forty years, but we are now seeing essential commodities rise. 

He is calling for three-digit oil again in the next few years as inflation escalates. 

Francis points to the many commodities that are breaking out or doubled during a depressed locked-down market and asks what will happen when the economy starts to pick up. 

Gold and silver are the ultimate anti-debt and anti-fiat assets. He believes we are nearing another more powerful leg-up in the precious metals. 

He encourages investors to understand the nature of the game and defend yourself and your family.

- Source, Palisade Radio

Golden Rule Radio: Why Buy Gold In 2021? Why Not?

This week we look at the gold outlook for 2021. What's in store for the precious metals in 2021 and gold? We'll look at Gold, Silver, Platinum, The US Dollar index, and how gold is the solution to inflation.

- Source, Golden Rule Radio

Currency Wars? Massive Currency Devaluations Against US Dollar Since January 2020

Professor Steve H. Hanke is a currency expert. 

Unlike an ordinary academic, Hanke was in charge of currency trading at investment banks and hedge funds and he has also been hired by governments as a "currency repair" consultant after their currencies collapse to help fix and stabilize them. 

Recently, Hanke put out an article with some very interesting charts and tables about how much some currencies have devalued against the US Dollar since January 2020.

- Source, Wall St for Main St

Silver Fortune: Inflation is Here, Got Silver?

It's not a matter of when inflation will arrive, it already has...

- Source, Silver Fortune

The Fiat Endgame, $6,000 Gold and $180 Silver

Tom brings us a double-charting dynamic duo edition of Palisades. The Market Weather Forecaster Kevin Wadsworth and Proprietary Capital Manager Patrick Karim bring us the latest low down on the metals markets.

- Source, Palisade Radio

Danielle DiMartino Booth: Will yield surge get out of control? This is the Fed's next move

The U.S. 10-year Treasury yield briefly surged above 1.6% on Thursday. Until the Federal Reserve declares an intervention to bring down the long-end of the curve, equities markets could see continued "nervousness" said Danielle DiMartino Booth, CEO of Quill Intelligence.

- Source, Kitco News

Dave Kranzler: Silver Pumped On Wall Street Bets To Suck In Retail Traders?

Ron Paul: The Social Cultural Authoritarian Bubble Will Pop

The century-old big government obsession in America is getting old and weathered. 

Debts that are never-ending...Wars that are never-ending...

One Federal Reserve economic bubble after another. Social-Cultural manias. All are coming to a head at some point. 

Big Government is always unsustainable, and Americans should once again embrace their roots of individual liberty.

- Source, Ron Paul

Jerry Robinson - We Have to Protect Ourselves and Families From the Coming Collapse

​Jerry Robinson, Economist, trend trading coach, author of “Bankruptcy of Our Nation,” and founder of "Follow the Money" returns to Liberty and Finance this first time in 2021 to lay out his view of the poorly understood risks and opportunities with which we find ourselves surrounded in these unusual times.

- Source, Liberty & Finance

The Debt Bomb is Set to Explode, Inflation to Spike in 2021

Gerald Celente discusses the building debt bomb and how it is now being primed and set to explode in 2021. 

Will governments around the world double down and print more, causing hyperinflation, or will they finally let the system collapse?

Our bet is that the money printers are going to be sent into hyperdrive, devaluing peoples savings the world over.

Strap yourselves in, as 2021 has only just begun and is already looking to be a more volatile year than 2020 and that's saying something!

- Video Source, Gerald Celente

GameStop Was A Warning: Elites Are Weaponizing Censorship To Keep Outsiders Out

As the apex predators of capitalism, hedge funds are accustomed to raking in billions by driving companies into the ground and feasting on the carcasses. So there was widespread satisfaction last week when members of an online discussion group called WallStreetBets started beating the Wall Street bully boys at their own game. Ringleaders of the group noticed that hedge funds had taken a short position in the videogame retailer GameStop that far exceeded the number of shares available to trade. 

Motivated as much by revenge as by profit, these influencers in the group encouraged the 2.7 million members (since risen to around 8 million) to purchase the stock in order to drive the price higher and create a massive short squeeze. This quickly became a movement with a cause similar to that of Occupy Wall Street, except much more effective because it hit the intended target where they would feel it the most, in the wallet. “The only way to beat a rigged game,” one WallStreetBets leader said, “is to rig it even harder.”

GameStop stock, which closed at $17.69 a share on Jan. 8, shot up to $347.51 by the close last Wednesday. With combined losses of almost $20 billion, hedge funds were on the ropes and close to bleeding out, selling their longs in an increasingly futile effort to cover their shorts. 

One fund, Melvin Capital, lost over half its value and had to be bailed out by hedge fund sugar daddies Ken Griffin (Citadel) and Steve Cohen (Point 72). Another fund, Citron, was teetering on the brink of collapse. All this outsider army needed to win was the continued ability to communicate with each other online, and their collective ability to keep piling into the “Buy” side of the trade. Within hours, they would be hobbled on the first front and crippled on the second.

The Empire Strikes Back

First, the digital distribution platform Discord banned the WallStreetBets account after the close Wednesday for “hate speech, glorifying violence, and spreading misinformation.” (For a moment, it looked like Reddit had also banned the group, but they resisted pressure to do so.) If the quoted justification sounds familiar, it’s nearly identical to the one given by Google, Apple, and Amazon for deplatforming Parler just three weeks earlier. Echoing Amazon, Discord said it had sent the group repeated warnings about objectionable content before deciding, on that day of all days, to shut them down.

Meanwhile, WallStreetBets investors were locked out of their trading accounts by online brokers such as Robinhood on Thursday morning. Based on new collateral requirements that it says were imposed by an industry consortium, Robinhood forbade its users from buying GameStop and other stocks that WallStreetBets had identified as short squeeze opportunities. Users were allowed only to “close their positions”—in other words, to sell to the shorts desperate to buy. When angry users registered their disapproval by leaving over 100,000 one-star reviews of the Robinhood app in the Google Play Store, Google deleted them.

Normal trading was allowed to resume Friday, but the hedge funds used their 24-hour sole ownership of the battlefield to fortify their positions, covering the most vulnerable shorts. Wall Street then sent in reinforcements, as new short positions were taken at these high price levels, virtually guaranteed to pay out when, inevitably, the air leaks out of the balloon. 

Faced with a game that, for once, they couldn’t rig in their favor, it appeared that the insiders tipped the board over and started a new game. As a massively decentralized online group of scrappy outsiders, the only tools at WallStreetBets’ disposal were online trading and social networking. Both were frozen at the crucial moment, and the hedge fund insiders were let off the hook. The weaponization of censorship is a big part of the reason why.

Down the Slippery Slope

Some of us warned of a slippery slope when Parler was taken down and a sitting president was systematically ghosted from every online speech platform. But we could not have foreseen how slippery the slope would be, or how fast we would slide down it. We were told that the curbs on speech of President Trump and his supporters were necessary to prevent further “insurrection” and protect the peaceful transition of power. 

However, much like the troops and barricades that still ring the Capitol, these speech restrictions remain in place well after the transition of power has occurred. The censorship power is always justified in response to a genuine outrage or crisis, but it is rarely relinquished once the threat passes. Rather it gets weaponized to protect powerful, connected insiders, as the GameStop fiasco illustrates.

How do we suppose Discord chose that moment to enforce its “Community Guidelines” against WallStreetBets? Almost certainly, one of the hedge funds whose ox was being gored combed through their message boards looking for anything that might violate the terms of service. 

And surely they found it, as these boards contain the same raunchy language you would hear if you visited any trading floor or boiler room on Wall Street. They presumably reported the content to Discord, which took the group down.

Did Discord warn WallStreetBets of content violations before last Wednesday? I’m sure they did. Amazon sent such a warning letter to Parler as well. Frankly, such a letter could be, and likely is, sent to every large message board on the web. The founder of a user-generated content site described it to me as “the One Percent Problem.” 

Every user-generated content site will have a small percentage of offensive material that gets through, no matter how many content moderators are hired. For example, Facebook, Twitter, and YouTube allowed far more content advocating for and planning the Capitol riot than Parler. But instead of acknowledging this, they were eager to blame the upstart, which had recently taken over the top spot in the social networking category in the app store. Scapegoating Parler served the dual purpose of deflecting blame and squashing a competitor.

Critics of social networks insist that these sites simply need to double down on censorship in order to finally rid us of problematic speech. But that ignores how social media moderation actually works. Algorithms set to recognize keywords capture only a small fraction of problematic posts, leaving millions of posts for humans to review. 

The work is so voluminous that it’s outsourced to far-flung locales where English may not even be the first language. Low-level employees must decipher complicated guidelines while navigating our increasingly Byzantine world of political and cultural hot-buttons. 

Mistakes are inevitable, and the harder a company tightens the standards to get the One Percent Problem down to 0.1 or 0.01 percent, the more undeserving accounts—from Ron Paul to the Socialist Equality Party—will be swept up in the dragnet. With the Town Square now digitized, centralized, and privatized in the hands of a cartel of Big Tech companies, the protections of the First Amendment no longer apply...

- Source, Zerohedge, read the full article here

Surviving a Crash: Break From the Herd With David Smith

​Gold mining analyst and boots-on-the-ground natural resources researcher David Smith of The Morgan Report, returns to Liberty and Finance to offer his seasoned experience on how to break from the herd in times of crisis. 

David shares why preparation is essential to successful execution of a contrarian strategy, enabling us to avoid many pitfalls and reap outsized gains during these unpredictable times.

- Source, Reluctant Preppers

Portnoy Calls for People to be Jailed Over Hedge Fund Scandal in Scathing Interview

Barstool Sports Founder Dave Portnoy joins Tucker Carlson to discuss exactly what is happening between GameStop investors and the popular app Robinhood.

- Source, Fox News

Strategic View: Gold Could see $25,000 in 10 years

The two big rallies in gold occurred over roughly 10-year periods. Both saw dramatic increases in the value of gold. From August 1971 to 1980, gold rallied from $35 per ounce to over $700 per ounce, a twenty-fold increase.

Please note a significant pullback from $200 to $100 per ounce during this time, a 50% drawdown. Even in a bull market, prices often have to correct before finding new footing.

Great Reset

One might say that there was a “great reset” of the financial system in 1971, which moved the world past the Bretton Woods agreement.

Tech Bubble Bursting

In 2001, following the bursting of the tech bubble, the gold price again rallied over 10-years. This instance resulted in a maximum gain of seven to eight times the rally’s beginning point ($250). The tech bubble, followed by the housing bubble of 2007-2008, provided policy support for gold inflation through quantitative easing and other measures.

In 2021, amid a worldwide pandemic and political and societal upheaval, the World Economic Forum and other prominent world organizations call for and/or promote a “Great Reset.” Whether this Great Reset results in a new worldwide monetary paradigm is unclear. However, with government world debt increasing, concurrent with declining economic growth, the timing appears to be good for world leaders to have those discussions.

Regardless of whether we are on the cusp of a new monetary paradigm, the case for increased allocations to gold is compelling. As governments continue to add to their deficit spending, the expectations for inflation are rising. Gold tends to perform well in these inflationary environments.

It is our view that the next big bull market in gold is just getting started. In 2020, gold broke to new highs before recently pulling back to the $1,800 per ounce level. If we look back at the last two big runs higher in gold, it is reasonable to expect that gold could achieve ten-fold or twenty-fold increases over the next 10-years. Such is especially true if the world financial system experiences a “great reset.”

Technical and Tactical View

At the beginning of a bull market, one option for investors would be to increase gold allocations and hang on for the next decade or so. Such investors should prepare to endure meaningful drawdowns along the way.

We are long-only in our gold and precious metals holdings. Since gold follows seasonal and other patterns, we look for areas to accumulate more and take profits. We believe that we are near a decent point to accumulate more gold, miners, and other precious metals.

The $1,800 per ounce area was a significant resistance level in 2012 and 2013, and the breaching of this level in 2020 was a significant event. This resistance level has become a support level, and the $1,800 level was already successfully back-tested in November 2020. Another pull-back to the $1,800 per ounce level could be a good point for accumulation.

Zooming in to a weekly view, we see gold is trading near the 50-week moving average in a triangle formation and/or bull flag above $1,800. Such is undoubtedly a critical technical level, and we could see volatility, both up and/or down, over the next few weeks as gold seeks to find direction for its next move. If it falls below the 50-week moving average, then the next accumulation zone might be along the lower trend support line near $1,650.

Gold Options Sentiment

Each day, we publish signals related to more than twenty different options markets. Our proprietary Options Sentiment index for gold is suggesting that this could be a good accumulation zone. Recently, when Options Sentiment was less than 20% (such as now), it has been an excellent time to accumulate.

Investors will recall the events of March 2020, which saw meaningful draw-downs in stocks, gold, and many other asset classes. If there is another flight to liquidity soon, we could see significant drawdowns in the gold price, as investors seek safe-haven cash to avoid all kinds of volatility.

Final Thoughts

We are very bullish for gold over the next ten years, and we will be looking for good entry points for gold, silver, and gold miners here in 2021. We will not be surprised to see $25,000 per ounce of gold by the year 2030. It will likely be a volatile ride higher, with large drawdowns along the way.

Technical analysis suggests that the $1,800/oz and $1,650/oz levels are good entry points for gold at this time. Options Sentiment also indicates that now is a decent time to accumulate more gold and/or precious metal mining stocks.

- Source, Silver Bear Cafe

Gregory Mannarino: Be Ready, It’s Going to Happen at a Time THEY Choose

Gregory Mannarino, founder of TradersChoice.net and known as “The Robin Hood of Wall Street,”​ returns to Liberty and Finance to answer viewers’ questions on the coming financial reset, the runaway debt and looming bond market crash, the Fed “Buying it ALL,” the rotation into Gold/Silver/Cryptos as Dollar alternatives, and what’s next for our freedom and future in this unrecognizable new world.

- Source, Liberty & Finance