Ann: Exploration Update, page-34

If there is a dip in price, it might be very brief. Beware of being greedy. If there is a global deflationary event then how long before the inflation kicks in? What if there is no crash but instead a gradual decline in equities and t-bonds and fiat value, while inflation just keeps on speeding up - well ahead of bond yield rates? I think this outcome (in progress now) is more likely than a crash. In this case gold miners are going to make massive profits. It seems like any news these days is pro-inflation. QE or QT is doesn't matter. So much QE since 2009 has done the damage and that money is going to eventually start moving - to somewhere of low risk.

If there is a major global deflationary crash, I expect it'll come from a debt default somewhere which causes a chain-reaction. Today every big investment bank is linked - to try protect each other against what happened in 2008. That's not good. For this reason I believe the central banks simply wont allow a major default. QE will never stop. It is their only tool. They will print more fiat and buy any bad debt they think they must to keep their insane creation afloat. It's inflate (gradually) or die. Which is very, very good for gold.

Stocks falling is interesting. US t-bond mass selling is more interesting. Sure the US govt cannot let their bonds fail else millions pensioners cannot feed themselves. To fund the govt spending they cannot raise rates much at all. Instead they must continue QE, inflate and let the USD value drop, as gradually as possible. Powell knows it, they all know it. But cannot tell the public the truth else fear makes the economic situation worse. It wont take long before people work it out.

The big banks have so much invested in US t-bonds. Right now they will be planning ahead. They like to create economic conditions which suit them and avoid reacting to conditions (like us retail chump traders). So we must ask - what are they be doing right now? Surely they need to reduce their risk in t-bonds. Gold solves that problem for them. It would make sense that they manipulate gold down now so they can buy bullion and miner stocks from us, once set they manipulate the gold price up. Just a theory, but if that happens you want to already be onboard the NST rocketship.

Global demand for the yellow metal (mainly outside the US) in this very risky environment will eventually mean capping the gold price becomes unprofitable. They will be preparing for this transition. Also don't get distracted by rising nominal interest rates. Even if they do creep up briefly, the real rates could still drop because of inflation. And even if real rates get a bit higher then gold will still go up because of the risk/fear factor. When stocks, bonds, fiat and property all fall, then gold is looking pretty good.