Original Channel: As Good As Gold Australia

Daryl Payne, CEO of As Good As Gold Australia, interviews Alastair McLeod, head of research at Gold Money, about the current state of the economy and the impact on precious metal prices. They discuss the manipulation of government statistics and the need for investors to own real money in order to escape the fiat currency system. They also touch on the debt limit in the US and how raising it is hypocritical and fraudulent, and the potential for a collapse of the fiat currency system. Additionally, they discuss the situation in Ukraine and the potential for it to escalate, which could have an impact on the global economy.

There is doubt about Russia’s reform, but the West is keen to finish the situation off, which is bad news for Ukrainians. A former Israeli prime minister, Bennett, had plans to defuse the situation, but NATO and the US did not want Russia to succeed in Ukraine. Germany is also worried about becoming part of the Eurasian Industrial Revolution. Financial markets will change if tensions increase. Sergey Glazier, the designer of a new Eurasian economic union trade currency, has said that any new currency must be based on gold. This means that other currencies must also have gold standards. There is mounting evidence that a part of the world is moving onto a gold standard yet to be defined. As a result, the US government’s deficit is set to increase, and the US economy is slowing. The US is dependent on foreign purchases of US treasuries, which will decrease as more countries move toward a gold standard. As a result, the yields on US treasuries will rise, leading to a collapse of the current fiat currency system. Brazil and Argentina are setting up a new currency to participate in the Shanghai Cooperation Organization, which uses sound currency. This is all pointing towards Asia moving towards gold standards. The acquisition of gold is the global Central Banking community’s expression of changing faith in its own system. As currencies go down the pan, gold prices will rise. The US dollar is at risk and will lead to a crack up boom. At the institutional and government level, there will be a realization that gold is a better alternative.

The acquisition of gold is seen as a sign of the global Central Banking community’s loss of faith in its own system. The gold price rising is not due to the value of gold going up, but rather currencies losing value. As soon as Americans realize this, they will dump the dollar for anything, triggering a crack up boom for the currency. Foreigners and governments are also realizing this and selling currencies for anything, including gold and other commodities. There is an anticipation that being short on paper gold and having to cover that could be very dangerous, which is why gold prices have been hit recently. The physical demand for gold bullion has grown, mainly from retail investors, central banks and physical ETFs have declined. There is little physical liquidity around, and a resurgence in demand from ETFs or a driving up of energy prices due to the Ukrainian conflict could cause the physical market to start driving the price, rather than the paper market. The machinations of the industry and conflicts of interest with custodians like JP Morgan make it difficult to predict exactly when this will happen.

Alistair McLeod advises owning legal money like gold and silver to protect against the collapse of fiat currency and the changing power dynamics in the global economy. He also warns against relying on paper currency and credit. McLeod’s articles can be found on the Gold Money website under the research tab.