GOLD: This Short Squeeze is Historic (Uncut) 02-26-2025

that the risk is not in Gold but it’s actually in credit so if you want to trade this as an investor and my goodness you take your life in your own hands because actually you’re looking at this through the wrong end of the telescope you may get it right you may be clever but um for the vast majority of people the answer is to just keep stacking keep stacking just because you get what you’re doing is he getting out of credit [Music] hello and welcome to sore financially a channel where we discuss the macro to

understand the micro my name is Kai Hoffman I’m thejr mining guy over INX and of course you’re host of this Channel and I’m looking forward to welcoming back an old friend of this channel alist McLoud of McLoud Finance over on substack really looking forward to the discussion it’s going to be very very much gold focused I’m trying to learn more about what is happening on the Comax what’s happening on the lbma and how healthy is the gold price right now that’s going to be the whole topic of discussion various aspects to it

we’re going to touch a little bit on geopolitics like how geopolitical is the gold price but my main question is going to be you know it’s gold overhyped right now like somebody mentioned it under in a comment below one of our other videos like hey Kai seems nervous like maybe a little bit like and we we’ll get to that I’ll ask Alistair as well like what he thinks of the gold price right now I’ve been calling gold meme gold lately I’m I’m getting nervous when it comes to the pride Mo priz moves because I’m seeing

various other factors playing a role Ro look at Bitcoin below 90,000 again as we record this uh fed Bitcoin Reserve I don’t know where that stands right now but it seems like some of that air is being left out of the balloons so we’ll have to see if that same fate uh is is destined for gold before I switch over to my guest hit that like And subscribe button helps us out tremendously we appreciate it and thank you now Alistair I’ve said way too much already I gave a whole conversation away but I really

appreciate you joining us Alis it’s good to see you again that’s my pleasure aliser we we got lots to to talk about and I really want to focus it on gold today and maybe I I’ll start with a an icebreaker and a I don’t know controversial question because I know the comments down below are going to be like K why why are you so negative here but Alister with gold hitting new highs it’s so much hype around what what is going on on the comx lbma Central Bank buying like is it fair to say gold is overhyped overbought and overpriced what

do you think well I mean it depends what measures you you you use and um actually increasingly looking at it um as an investment opportunity is the wrong way to look at it I mean you know when you talk about it being overbought and all rest of it really what you’re looking at is trading it you’re looking at um you know is this too high um should you sell it so you buy it back later it’s all that sort of stuff that’s the wrong way to look at it Kai I mean basically what we’re seeing is um we are seeing the

establishment panicking and by the establishment I mean particularly this is no ible on comx what they did over um sort of second half January first half of February was um they tried to cover their positions and so we had a situation where open interest on comx fell by something like 75,000 contracts while the price Rose over $200 now that is a bare squeeze by any definition and um when you get a bare squeeze like that what happens is that the um paper Market starts um leading the spot price by the nose and of course

it creates an Arbitrage because you’re looking at significant premiums over spot um uh and uh I mean normally you would get a small premium over spot which would reflect something akin to the lease rate of gold this time um you know this went up to 10 12 you know and more percent than silver I think um even higher um and really what this is is is it is if you like The Establishment realizing that on comx they are short and this is dangerous and if you look at the total short position I mean we were approaching something like 80

billion in the swaps category you know that is pretty serious that is extremely serious so what do you do you know you the treasurer in the bank because all the you know the the um bullion Bank dealers they’re all part of larger Banks the treasurer comes along and says look you know what are you doing here um this is a position which is just getting out of control uh you know tell me what are you doing do you see what I mean so there’s pressure on these guys to close off their positions so you end up with a

premium and the premium of course gets um stuff flowing from other centers I mean by stuff I mean bullying from other centers into the Cox warehouses um and that’s exactly what we’ve been seeing um I think I mean all you need do is have a look at the charts and you can see that gold is sort of pretty much in runaway mode now um it’s quite natural in human terms to think oh hold on it’s gone up to it’s getting close to $3,000 and you know surely that’s a big number hurdle and um you know it’s got to maybe

consolidate a bit before it goes through there and all the rest of it yeah it’s all true but actually if you look under you know if you look if you look at it um in the context of money because gold is money and the rest is credit as we’ve discussed before uh then um actually what you’re looking at is the deteriorating value of credit in terms of purchasing power for goods and services and we’re now um beginning to see what they call inflation Rising prices which actually is debasement of the currency or uh falling values for

credit we’re beginning to see that again um you know the the numbers are sort of coming in high Higher and Higher and of course these are all government figures so they’re completely um unrelated to reality I mean the reality is that the cost of living is rising far faster than the government will admit any government will admit so you know where does this leave markets well you know they’re looking at this and increasingly people following the lead of central banks are realizing that the risk is not in Gold

but it’s actually in credit so if you want to trade this as an investor and my goodness you take your life in your own hands because actually you’re looking at this through the wrong end of the telescope you may get it right you may be clever but um for the vast majority of people the answer is to just keep stacking keep stacking just because you get what you’re doing is he getting out of credit that I think is my answer to the whole situation yeah no I really appreciate there lots of follow up on of course and

trying to understand maybe the the technicalities behind it as well um so I’m trying to understand like you know getting out of credit the dollar is credit obviously like we need to talk about maybe gold in the in relation to the Dixie um you know the Dixie touched on 110 bar uh just you know it was touch and go and now we’re at 106 like do do you see that correlation there as well is like because 106 is not a bad like value for for the dollar here in comparison to other like weaker currencies like the

Euro and whatever is in that basket here but um is is that just that function like it seems like there was a lot in that short time frame like what role does the Dollar play in all this year well first of all the Dixie has got nothing to do with gold the Dixie is a relationship between the dollar and other currencies not gold so we’re talking about credit relationships in the case of Dixie now I mean what I would say however is that um there is an awful lot of foreign ownership of dollars Trump’s trade policies means

that the requirement to hold dollars if you like to settle international trade on balance is likely to diminish for foreign for foreigners so they are likely uh I think at the least not to have further demand for dollars so that probably explains why the Dixie has come back from that 110 level to currently 106 change or whatever um as for where the dollar goes from there I mean quite frankly if uh we see a further deterioration in uh the general confidence in credit relative to Gold then I would guess that Dixie would

recover against the other currencies um simply because you know Steve hanky says it’s the least dirty shirt in the laundry um so on that basis um you know I think I think to look at the Dixie is actually the wrong way of looking at it it really is there are bigger things a foot I think in which are likely to undermine the value of credit I mean not least uh Trump’s policy of um isolating America from the rest of the world in trade terms um that has got serious consequences uh it’s got serious consequences for the global economy now

China has actually insulated herself from this but if you look at um you know the European economies in particular uh they do a lot of trade with America and you know tariffs and only yesterday I saw something I don’t know whether it was true something to the to to the effect that Trump said that no he was going to impose 25% tariffs on Canada and Mexico that’s that’s happening he’s he’s you know the sort of thing um this sort of business basically um is very bad for the global economy and certainly for uh Economist

which trade trade with America uh I mean this is a repeat of smooth hall in 1930 which um coupled with the popping of a bubble um which is actually we’ve got the biggest bubble ever now if you only stood back and tried to look at it credit sensibly this is the biggest credit bubble in human history so um combination of of of of of that and uh uh trade tariffs I mean you’ve got 1929 all over again without the gold standard so um this is not good this is not good now you touched on something because I want to talk about

like the stories around the gold deliveries that we’ve been seeing like they’re menold depending on like who you want to listen to It’s either hey maybe we’ll see a 50-year gold backed uh us Bond being issued here soon we got JP Morgan cya meaning you know covering their asses uh we got the for Ford KNX gold stories like oh we got to show some gold here in our in our vaults here in New York and in Kentucky right um it’s an interesting narrative and I just the the point on you touched last on uh as well the tariffs debate as well

as like oh we’re shipping gold back to the US because we’re worried we will get taxed on it afterwards like what story are you betting your horse on is it all of the above like what’s which which one’s the most likely cuz there I I hear a lot of excuses personally here well I yeah exactly I mean um I think it’s unlikely that gold would be uh included in in uh tariffs because it’s a class one asset you get the banking system would turn around and say look no way it’s as simple as that not only that but

um you know most of these stories came from um Trump’s team when he when they were before they assum office um and it’s all very well you know someone like bessent who’s a hedge fund Trader you know saying you know I’m bullish of gold and all the rest of it and when I become treasury secretary I’m going to do this do that and all the rest of it but as soon as he gets into those gilded portals of the US Treasury the permanent officials will take it to one side and say look this is the reality of the

situation the reality of the situation is we do not want to undermine the credibility of the dollar don’t talk about gold it’s off limits quite simple and when it comes to when it and this explains how he’s sort of you know turn around of course I mean this always happens um and uh you know this business of a of a 50 or 100y year gold convertible Bond forget it you know I that’s that’s that’s not going to happen either because um you know what are you dealing with you’re dealing with with dollars that need protecting in Gold I

mean this is not the treasury’s narrative they want to keep our gold out of the whole system completely that you know because gold is the Rival is still the Rival and it looks like it’s um not only the Rival but it’s beating the dollar down into the ground I mean from the treasury’s point of view you do not want to talk about gold no no Jose forget it and when it comes to auditing the FED all the rest of it they will sit on that as hard as they can and they know how to do it I think that whole exercise will come away

with um you know uh people like um musk and Ron Paul and all the rest of it frustrated and the word being spread by the treasury that all this is conspiracy theory you know that’s what they do I’m sure they’ll find for all that it’s got nothing to do with with gold I mean gold gold gold is retaining its value it’s doing what it should do it’s retaining its value and it’s credit going down the swanny that’s what the dollar is no absolutely and I’m sure like when it comes to it I’m sure they’ll find a sympathetic judge to just

granted injunction so they can’t go to Fort Knox or wherever they need to go to inspect the gold right well I don’t think it’d be I don’t think it’d be quite that obvious I mean they got ways of doing this they really have you know they’re very clever these guys you know don’t assume don’t assume they’ve got them in a corner and don’t assume that it’s in in Trump’s interest to have the treasury in a corner either I mean it’s as I say it’s one thing when you’re not in office you can criticize as much as

you like and point out this weakness that weakness accuse people of lying and all the rest of it but once you’re in there and you’ve got responsibility you’re in a completely different position absolutely here um aliser I I mentioned to you I prepared a short clip that I want to show real quick and discuss with you um I’m just going to play it it’s a Bloomberg clip so one thing potentially that could happen and people are questioning it is is maybe remarking gold Elon mus who’s leading Doge was talking about maybe going to

Fort Knox to make sure those gold reserves are there that comes under your purview do you have any plans to visit Kentucky uh I I don’t have any plans I can tell you that that we do an audit every year I can tell tell the American people on on camera right now that the there was a report September 30th 2024 all the gold is there any US senator who wants to come and visit it can arrange a visit through our office gold here let me let me pause it there I’m going to come back to the second part of this

clip here in a second but uh Alistair we’ve been talking about this before and there there reports circulating that Fort Knox hasn’t been audited in like 64 years um and all of a sudden he’s telling us Fort Knox like oh yeah we got a report from September 30th like what’s your problem here you can have it a I couldn’t find it and B I don’t think anybody else has found it yet but uh like was he just blatantly lying to there really a straightforward question here like WTF like what’s what’s going

on here Alistair he’s being told what to say is a short answer and um you know I mean uh you know it’s not a proper audit I mean if you have a proper Metals audit every bar is checked it’s checked for his presence checked serial numbers and all the rest of it checked against records the whole thing um what they have as I understand it in Fort Knox and elsewhere is they’ve got sealed Chambers basically if the seal hasn’t been tampered with then everything there is all right that’s the audit you can believe what you

want I you know I mean look the fact of the matter is that I mean well well we switch to um the New York fed for a moment New York fed stores ear Mark gold for foreign central banks um Germany wanted 300 tons back I think originally 600 that was negotiated down to 300 S years they said it would take to get it back now and not only that but um I understand that the bundes bank’s records of bar numbers and all the rest of it didn’t tally with what was eventually returned so it’s quite clear that there’s some very very you know

skull duggery going on there now the other thing as far as the US Treasury is concerned they have been suppressing the gold price by Propaganda and also Market dealers through the exchange stabiliz Iz ation fund and so on and so forth for the last 50 years now a lot of the gold which has gone out in lease would have gone out from US Treasury coffers so um you know that’s all you need to know I mean you know a lot of the gold simply is not there how much we don’t know but I mean the point is that you know you’re

not going to get a proper audence they’re going to sit on this story they don’t want to tell us what they’ve actually got because certainly there is you know the huge great gaps if you like in the whole of the treasury story they’re going to try and sit on it yeah no absolutely like why would they send out the gold like they need it to back whatever they have left uh as well like it’s just yeah but that’s not the official story the official story is gold is no is is a pet rock it’s no longer part of the system you know

they’re trying to kid us against common law that the dollar is money no it isn’t it is credit yeah tier one assets what is it gold and what else isn’t that what do the bis say gold is one of the very few tier asset tier one assets yeah I mean I you know the rest of what the bis says is actually BLS if you like um forget the The Regulators distort markets um which is a whole new topic but um basically yeah it’s a number one it you know it’s a it’s a it’s it’s um a tier one asset and therefore um I think the banking

system uh you know when it comes to this idea of tariffs and all the rest of it would turn around and tell and also the treasury would tell Trump forget it this is not this is just not on yeah like and then you want your bosel 3 requirements to work but you’re taxing us on that like you’re you’re adding a tariff to what we need like no exactly so but the other thing about Trump is that he’s likely to be sympathetic to that argument um simply because go and look at Trump Towers look at Trump this Trump

that it’s all gold everywhere yeah absolutely um I think it’s deep in his psyche I tell you what Kai I mean the answer is they’ll just try and stop you know they’ll try and stop all talk about it I mean that’s the whole thing shut it down I think the idea of you know of of a gold convertible revaluing gold forget it absolutely forget it I was going to get to that like that’s part two of the clip here I’m I’m going to keep playing that here CU Scott Bess is going to be asked about that here now as well and

what I want to get your take on that was your biggest holding when you were a hedge fund manager before you divested to become the treasury secretary so you know the value of where gold is right now versus where it’s marked on its balance sheet just north of $40 an ounce it’s close to 3,000 is it under consideration for this Administration to revalue Gold uh I think that somehow when we were talking about the Sovereign wealth fund and I said monetize the balance sheet I can promise you that’s not what I had in mind

that’s not what he had in mind okay so so what else like what are the other options so like my my point is like I’m trying to burst the hype bubbles a little bit here Alistair with you as well um as I said earlier like I am concerned that gold is being hyped quite a bit like retail hasn’t really picked up but the institutional investors sure have because some someone is buying up the gold as we’ve seen on the comac so revaluing gold just a hoax that’s just a hoax I mean honestly this is not something in the US

treasury’s gift it is actually in the Market’s gift that is what’s going to happen the market will do it and um you know as as I said earlier um I think with Trump’s tariff policies coming on the top of a bubble I mean we’ seen this bubble is bursting I mean I know it hasn’t really shown yet in um you know sort of tech STS and all the rest of it but you know they seem to be losing momentum not only that but um you know the momentum seems to be declining in that other asset which all the tech boys

uh buy and correlate so nicely with NASDAQ and that is Bitcoin I mean you know that that bubble looks like it’s bursting too I mean you know Bitcoin is not um actually a hedge against credit forget it it’s it’s a nothing Burger it’s it’s a speculative counter uh full of full of very very dodgy people I mean it really is um but that you know the values have been driven by exactly the same factors that have driven the tech bubble you know um that’s so we’re seeing we’re seeing that beginning to burst and when you get

the credit bubble bursting do you stay in credit no you get the hell out of it and that is the whole point about gold so you know you could try and trade gold um and if you’re very very clever and you really know what you’re doing and you’re you know an Elliot wav or something like that you know good luck to you but for the vast majority of us it’s actually quite simple stay out of credit that’s where the danger lies absolutely like Alis I need to follow up quickly because you you mentioned at the beginning of your

answer to the last question the market will will revalue gold I think we’re in the process of we’re $33,000 an ounce like the revaluation is in full process but I think the revaluation on the balance sheet is up to the US government and I think there’s two distinct things like when hear the discussion about revaluing gold when I think we had any sheckman on like the us would have to revalue Gold to $142,000 for example like just to quote from our interview um would and then like we have the audience members ask

like but what does that mean for market price gold like theoretically it shouldn’t have a direct impact it’s just really what you value gold on the balance sheet with like in whatever your a Tax Advisor or your U accountant sort of approves and I guess is willing to underwrite in terms of valuation right because in the end running a balance sheet or like almost like a corporation um there are two distinct things like will the US eventually re up their gold price on the balance sheet like regardless of what

the number is like we’ve seen it maybe at the the mining companies as as an example I’m trying to draw some bridges here and make it really like tangible the mining companies have started revaluing their gold reserves higher meaning now they’re looking at $1,900 gold or so instead of 1,200 before like do you see that happening like will the US government maybe say okay let’s let’s just put it at $1,500 gold or so doesn’t really make a difference because it’s little so I’m curious what your thoughts

are no I mean it it’s the whole thing is a nonsense the first thing to understand is that uh the relationship between gold and the dollar is that the dollar um’s value was determined in a weight of gold you know I mean you know the reason we say that they’re currently 42 the exchange rate is 42 .22 is for convenience sake it’s far easier than saying it’s you know it’s it’s X fractions of a gram or grains or or whatever um but the reality is that under a gold standard a dollar buys you a certain weight of gold that’s the

whole point now if you’re going to revalue it then um you know this is just going to draw attention to something which um uh is very much in the past um has no relevance to today and basically draws attention to the debasement of the of of the currency um I cannot see that the there is any intention for the dollar to get back onto a gold standard I mean that would that would be the point of doing it you know if you’re going back on a gold standard then uh we will revalue it and we will say that um

you know the uh a dollar we might consolidate the dollars into let’s say you know $1 $1,000 doll becomes one and $1 dollar buys let us say um you know 0.25 of a gram of gold or whatever whatever whatever the relationship is um one day something like that might might happen but it will be the last resort as far as uh the um fed the fed well fed is the fed’s dollar and the US Treasury concerned they do not want to talk about gold that subject is dead forget it I mean it’s not going to happen I mean eventually the whole

system credit system will fall apart the bubble will burst uh and then we’re in a completely new territory we’re probably in a completely new political system I mean I really don’t know but all we know for now is where the risk is and the risk is in credit get out of credit how do you get out of credit you get into something real tangible not an ETF but physical ETF in and outflows for January a whole different discussion I just looking at the Gold report here I can tell you I can tell you what happened

there I mean yes I had a look at it last night too actually coincidentally and it was noticeable how uh the big um I shares I was I shares trust um there was an outflow big outflow there well obviously what’s happened is that the authorized participants in other words the bank who can cash in or you know deliver gold into the ETF or cash gold out of the ETF by um submitting shares I think they’ve gone in shorted shorted it taking delivery of the shares to cover their short and then um cash them in

because they need the gold you know this sort of thing actually should R ring alarm bells to anyone who thinks that buying an ETF you know a gold backed ETF is actually a good idea you know it’s a means if you like whereby The Establishment plays games with your bullion I mean well it’s not your bulling it’s the etf’s bulling and you just got a piece of paper saying peace in our time or something you in it is credit I mean you if you own shares in in a gold backed ETF youve got credit that’s all it is yeah no

exactly I’m not a big fan of in general and Kai worse than that uh you know that the piece of paper you’ve got isn’t even a bloody certificate you know you don’t actually have a direct relationship with the ETF unless you have actually turned around and said I want certificated delivery um in other words not uh if you like a um a ledger entry in Euro clear or whatever it might be so you know this this is this world of credit is far bigger than anybody thinks oh it absolutely is Lis I think we we

don’t need to I don’t think we disagree on that one here um before we like I want to touch on one more Topic in a second here but uh the the Arbitrage between London and the US like like how much longer do you think that will be going on like I need a bit of like an understanding like how how how how far towards the end or how far have we progressed along that bare squeeze like is it is it done with like what are you seeing right now in terms of deliveries there’s still rumors floating around of

commercial airliners flying two to four tons of gold over to the US on every commercial flight like what are you seeing well I think that’s I think that’s pretty much done I mean if you want to track that just just look at the relationship between spot and um you know the the premium on comx I mean the premiums pretty much disappeared um I mean there are you know there are there is I’m sure bullion still being shipped because I mean the queue to take it out of the bank of England goes to the end of March uh so

um you know there’s still stuff to be delivered as it were um but I mean the fact is that now that the premium have gone that story is is over for the moment I mean it may well come back I mean if there’s another wave if you like of B squeeze um on comx then you will see it start again um but there is another aspect to this Kai just I mean you know if you’re a bullan bank dealing in comx um what is actually frightening you um I’ll tell you there’s one thing and that is that the rate of uh stand

for deliveries on comx has been increasing very very sharply this was never meant to happen stand for deliveries were never meant to happen really I mean it was just a sort of facility to tie the value of a contract to the spot price at expiry um you know nobody was really sort of this is a credit Market nobody was really expected to um actually sort of uh get the credit Market to hit the you know the rubber in the credit Market to hit the the solid Road Road of of of gold um but that’s what’s been happening I can tell you that

between uh uh 2021 and 20124 uh those stands for delivery uh have amounted to over 2,000 tons I mean that is a very significant amount uh now not only that but uh since Trump got in and particularly since he took office at the beginning of this year the rate of stands for delivery have increased least fourfold we are now looking if the current rate of stands for delivery continues over the rest of this year over 2,000 tons in this year alone will be stood for delivery now the way in which stands for

delivery work is you don’t actually when you stand for delivery you don’t actually get delivery um what happens is that uh you know you’ll probably get a certificate from the counterparty if you like the the Futures counterparty saying we’ve got your gold don’t worry we’re looking after it and here’s a piece of paper that says you know we’re looking after it um and uh you know if you really want to stand for delivery if you really want to get delivery I mean you got a badger and Badger and Badger and

um I mean fascinatingly uh there was an article by um guy who used to work for sprot who stood for delivery for some silver for for sprot and he recounted how a five day settlement took nine months to achieve nine months now who are the stands for delivery I mean basically we don’t know but I think it’s a reasonable suggestion to say that they are the dealers through the Globex fac facility which basically is um if you like um comx overseas if you like so it could be Elations it could be anything um could be even central banks

minor central banks you know how do we get hold of our we go along to a refiner and we say you know can you let us have some gold and they say well join the queue excuse me just getting over cold so so um you can see that um you know if you’re a bullan bank uh dealing in comx and you can see these demands for delivery piling up and people saying come on we want this stuff we want our gold and silver by the way uh you can see that you know this is the is running into a real problem for you and not only

that but you know with with your liabilities on the short side uh with open interest say when it was approaching 600,000 contracts you know I tell you this is scary stuff so what do you do you try and close the position down I mean it’s no longer a case of look we can just chuck more contracts at the market and um bash the market take out the stops and and um you know play the old game over and over again and we will make a fortune doing it as we always do no those days are gone that’s the whole

thing and I think this that’s what this um episode is really telling us it’s very similar to the scare at the time of um the covid do you remember there was a covid uh delivery problem then um it’s very very similar it’s it’s basically the shorts getting scared out of their wits about what’s going on H AB absolutely like I’m just bringing up like basy letter was sharing some statistics here on on X and uh it’s really the gold historical deliveries for for minor months and it Absolut deed exploded JY alone so 19 plus thousand

contracts delivered and that’s exactly what you’re mentioning um what you’re referring to Alistair is just the you know graphical what what do you call it evidence to to support your case here right absolutely and then I think maybe one other thing you mentioned see if I can find it real quick is this here um is the comx big three vaults um are back to 2020 levels y yes absolutely and yeah that’s absolutely right um uh yeah there are there’s a chart of vaults statistics I can’t remember who does it um which clearly shows that and

the Steep rise and you see the other thing is bear in mind that following that steep rise on comx sorry on on you know vault gold on comx it then declined why did it decline people stand for delivery and they want delivery um and so it sort of runs out if you like that way and that’s what’s going to happen again but where is it going to go does it go back into the markets which provided the liquidity you know I mean they all you talk to the lbma oh there’s plenty of liquidity you know it’s just moving from one sent to

another that’s rubbish it’s disappearing out of the hands of the bullan establishment that’s the whole point to it and so this is basically um you know the next leg of the bear squeeze is going to happen on the back of that now interesting like I’m maybe coming back to the whole thesis of our interview real quick like is gold overhyped overbought maybe overpriced just Just One Last topic um is really geop the geopolitical factor in Gold um it seems like Russia and the US are seemingly making up here um over over

the Ukraine crisis we we’ll see where it ends like not everybody seems to be happy about what is going on in regard to the peace talks but let’s assume peace breaks out in the middle like in the Middle East in the Ukraine tomorrow like what what does that do to the gold price like what do you think like maybe Ukraine is the most likely case here in the near future but what do you expect like how much or how geopolitical is the gold price still I don’t think it re I don’t think the geopolitics matters in

this at all I really don’t um the whole thing is centering on the largest credit bubble in history that will burst it’s quite simple it’ll take down the stock market it will take down Bank collateral values which was the big problem in the 1930s and which is why I don’t know five six, banks went bust we’ve got the same thing happening again and this time is not just um you know the fed from uh sort of 1920s sort of mid 1920s sort of you know fueling the system with credit and all the rest of it uh and trying to get a

new bill Market going which basically was hidden form of of credit expansion as far as the statistics were concerned it’s not just that this we’re talking about um a series of bubbles which have never been allowed to pop I mean just I’ll just refer to the last one uh what they call the great financial crisis which I think is missed it’ll be renamed after this next one I’m can assure you um you know in the great financial crisis what did the FED do it took had its checkbook and it wrote an open check

and it said here you are you have as much money as you like just don’t go buz did it for the banks did it for the insurance companies etc etc and I mean this was obviously for uh um uh us entities um and the ECB had to do exactly the same thing for for uh Europe I mean it lets it let some go bust like like U uh Cyprus which was a huge huge mess I mean it really was you know we’re going to get the Russians who are hiding money there and all the rest of it and what happened the Russians actually took

their money out in London before you know before um uh the banks in Cypress had a chance to close and um you know it was just the ordinary ordinary holders in Banks who who got who who got killed by this I mean you know that was just appalling the whole thing uh and then of course you had Greece and all you know so so um this was a problem that went on and on and on but the way in which it was resolved was quite simple here is an open check don’t go bust this time if they try that they will destroy

the currency it’s actually as simple as that so geopolitics might affect the timing of this um but you know nothing is certain in in geopolitics I mean you’ve got you know Trump and getting together Trump reckon he sort this mess out in no time at all um yeah but you’ve already got macron who’s gone over and he’s soft soaping Trump I mean brilliantly you’ve got to hand it to him this is not going to be quite as simple as it has been put by the Trump Administration let’s put it that way so you know I think we we

reserve our opinion on what will happen over Ukraine for the moment um I welcome the signs of peace I do not see those signs of Peace uh coming anywhere near the Middle East that is still huge problem and the Israeli Lobby in in Washington is just so powerful it is the most powerful Lobby in America and I just don’t see I don’t see uh um the White House under Trump being immune to that lobby at all if anything I think it’s you know the lobby is even stronger in there through um you know the son-in-law kushy and all the rest of it

I mean yeah geopolitics will affect the timing but really what we’re talking about is we’re talking about the risk in credit which is escalating and escalating and escalating it’s all about get out of credit get into safety and that’s why it’s a big mistake to look at gold as a tradeing counter it is not a trading counter it is money legal money in every ‘s common law whatever the US Treasury says no no I appreciate that Alistair and I think it was a perfect closing note here as well like to my fous questions here um you

know so you know was just trying like I’m trying to make a bear case for gold I’m bullish gold I get it like everything points upwards like I’m just trying to P I mean when you say you’re bullish gold you see you’re talking like an investor now I know that’s the audience but we got to try and wean the audience off this this uh mistake it is not an investment that’s the it’s it is safety it’s as simple as that now if you think there’s no problem with credit good luck to you don’t bother with gold or trade it if you think it’s going

but really if you actually do have just the slightest inkling of what gold is about then the answer is that you hoard it you do not trade it and so you cannot think like an investor or a Speculator I know the world thinks like that but if you stop thinking like a Speculator you’re going to be ahead of the curve and you will have protection from the the collapse of credit absolutely no aliser very wise words and thank you for you know grounding me here as well I do appreciate that all good all good it’s

like sometimes it’s good to get some perspective around things and uh like but but maybe I’ve been using the wrong term but I I fully agree I understand what gold is for I’m German it’s in my DNA we’ve experienced all of that before yeah so we we know where this might be headed rather sooner than later so Alistar thank you so much for your time really really appreciate it where can we send our followers well that very much my pleasure um I run a substack called McLoud Finance or the address is Alis

McLoud dos substack do.com um everybody’s welcome uh it’s I try and educate people about um money credit economics the economics that is relevant to that um and also um I look at the geopolitical scene uh not in huge great detail but the sort of overview which I hope um helps put things into context if you like in a monetary sense are you still offering your discount yeah it’s until the end of this month yes okay the end go for it it’s the end of this week 28th of February and then 1 of March it’s off so it’s 20%

discount so $80 equivalent um or eight I mean8 is what you know couple of cups of coffee in a Starbucks isn’t it depends on what your flavor profile is here Alistair if you’re more of a vanilla chai kind of kind of guy it might be just one expensive stuff Alistair tremendously appreciate time really valuable insights here thanks for clarifying A few things really educational and to everybody else thank you so much for tuning in I hope you enjoyed this conversation with Alis McLoud it’s very Timely to catch up on

what what’s been up with gold here lately trading around 2950 as we speak absolutely insane move really happy to see it personally that gold is being recognized as a store of value we’ll see where it goes um as Alistair said it really depends on how you look at gold are you investor are you Speculator are you just understand like the true value of gold and really don’t care about price then uh then uh I think we’ve delivered some valuable input and insights here for you if you thought this was useful please hit that like And

subscribe button it helps us out tremendously reach a wider audience and we thank you so much for it thank you so much for tuning in we’ll be back with lots more here on S financially thank you