This week, Brent Johnson of Santiago Capital Fund is speaking with us about the major macro economic environment at the moment.
Brent's medium term, 1-2 year thesis is worth consideration as he is calling for the US dollar to strengthen versus other major fiat currencies.
What will this all mean for precious metals and other asset classes soon and beyond?
Gold and silver held strong in the face of rising US stock market turbulence this week.
The gold price looks to be closing up about $20 bucks, closing around 1,220 dollars per troy ounce.
The US dollar silver spot price dropped to start the week but fought back throughout to close relatively flat, Silver spot is right around the $14.65 per oz mark.
The week also saw a somewhat steep US stock market sell-off with the S&P 500 losing over 1,000 points.
The S&P is down some 6% from it’s late September all time highs. But the S&P is also up over 40% in value since Candidate Trump called the US stock market a 'big fat ugly bubble' just over two years ago in late 2016.
President Trump when asked about the week’s stock market sell off, described the Federal Reserves somewhat recent rising interest rate policy ‘crazy’. Perhaps clearing room for a scapegoat, if and when the US stock market goes into recession.
This week our guest speaks with us about the major macro economic environment at the moment. His name is Brent Johnson of Santiago Capital Fund.
Specific topics we will be discussing, include:
- the US dollar’s medium and long term values vs other major currencies and what that means for gold in the near, medium, and longer term. - China, Europe, the USA… which will become the next financial crisis epicenter - the US stock market vs the Bond market, what happens with major capital flows, and where might they be headed ahead? - Precious Metals, most we discuss gold, but some silver is touched upon too towards the end of our discussion.
As mentioned, Brent has made many insightful, free presentations on youtube over the years covering his thoughts on the financial markets.
Below, we will embed his latest one which essentially lays out his stronger US dollar thesis with full context.
Do not be fooled by the old rockstar screen-cap, either. In the following video presentation, he uses David Bowie and Freddie Mercury, as analogies for the US dollar and gold.
A bullion buyer years before the 2008 Global Financial Crisis, James Anderson is a grounded precious metals researcher, content creator, and physical investment grade bullion professional. He has authored several Gold & Silver Guides and has been featured on the History Channel, Zero Hedge, Gold-Eagle, Silver Seek, Value Walk and many more. You can pick up Jame's most recent, comprehensive 200+ Page book here at SD Bullion.
Given that repressed commodity values are now near 100-year low level valuations versus large US stocks, James remains convinced investors and savers should buy and maintain a prudent physical bullion position now, before more unfunded promises debase away in the coming decades.