Palisade Radio, Released on 8/27/20

Time Stamp References:
0:50 – Analogy to describe the market.
3:15 – Stocks during hyperinflation.
7:10 – Fed announcement August 27.
12:10 – Historic portfolio weightings in PM’s.
17:25 – Industrial silver supply scenario.
21:25 – Big moves in silver.
25:40 – Fifty dollar support level and psychology.
29:45 – Diversification in a portfolio.
32:10 – Thoughts on Junk Silver.
40:20 – Focus on which juniors.
42:30 – World needs an awakening.

Tom welcomes back David Morgan, who is always an enlightening guest when it comes to the precious metals sector and silver in particular.

David discusses the aviation problem of being “behind the power curve” (aka coffin corner), which occurs when an aircraft is doomed to stall, fall, and certainly crash. This is an excellent analogy for today’s markets, and David says, “all of this money printing will only exacerbate the problem.”

Holding stocks in a currency panic is preferable to being in cash. However, that will only reduce some of the effects of high inflation. Today, interest rates are supposed to factor in risk, but rates are no longer in line with reality.

He hazards a guess that Fed Chair Powell may be considering negative interest rates in an announcement coming this today.

There is a lot of money out there, and when it gets scared, most of that capital will be looking for a safe haven.

The recent large moves in silver price indicate the small size of the market and suggest that investors are waking up. Given inflation, the historic fifty dollar price level for silver is only psychological. Very little silver mining is occurring this year, but physical demand is up dramatically. Some industrial users are unable to acquire silver from the recycling side of the market.

David discusses how today humanity is in a state of disarray, and both the people and the system need redemption.

David Morgan is a world-renown precious metals aficionado. He is the creator of the Silver-Investor.com website and The Morgan Report, a monthly report that covers economic news, overall financial health of the global economy, currency problems and the key reasons for investing in precious metals. A dynamic, much-in-demand speaker all over the globe, David’s educational mission also makes him a prolific author, having penned Get the Skinny on Silver Investing and his latest book, The Silver Manifesto.

  gold, inflation, money printing, silver