Michael Oliver: Silver Will Crush Gold
Tom welcomes Michael Oliver back to the show. Michael discusses his book on Anarcho-Capitalism, which focuses on educating readers in Libertarianism and limited government principles. He discusses their analysis techniques and how they keep emotion out of trading decisions. They successfully utilize their custom momentum indicators to determine future market direction.
"We have a crisis coming based upon the distortions that have been built into political and economic systems over the decades... We've created a huge debt bubble... and if that ever comes unwound, then those errors will be exposed like a giant wound being opened."
In March, the market crash came with a fictional story, but that does not reflect the underlying problem with markets and economies. This rally will likely falter in September and go back in the sewer, and this time we will enter a slow, excruciating bear market.
Michael discusses the broader commodity markets and how they are similar to the late 1970s. During that time, stocks moved sideways for several years, and now commodities are the low-risk, good return place to be as Central Banks will continue printing.
Michael discusses how the Fed has limited control over the longer-term end of the Treasury market. He discusses where he thinks treasuries and the stock market are going over the next year.
The coming chaos will cause fundamental changes in monetary policy, and central banks are going away. There will be a reversion back to market forces and away from centralized banking structures.
He discusses how silver will likely outperform gold over the next couple of years.
Time Stamp References: 0:45 - His book, philosophy, and early career. 6:20 - Debt and outlook for the US markets. 13:00 - Anticipating market corrections. 18:30 - Commodity performance. 23:15 - Treasury bill expectations yield and rates. 26:15 - Finding the buy signal. 29:20 - Coming dramatic move for gold and silver. 31:50 - Silvers top of the list potential. 35:30 - Performance of miners and juniors.