Capitulation in the Gold Market - Jordan Roy-Byrne #5600

Summary: Volatility is up and energy prices are going crazy—especially in Europe. Are precious metals poised for major advance? Technical analyst Jordan Roy-Byrne comes on the show to discuss what’s happening with precious metals, and points out the cyclical similarities between precious metals today and their behavior back in the early 70s. It seems that peaks in precious metals are followed by recessionary conditions a couple years later, and their behavior is directly linked to the Fed hiking rates. Tune in for more interesting insight. Highlights: -Volatility is up and energy prices are going crazy. European energy prices are at crisis level -Are precious metals poised for a major advance? -There are a lot of cyclical similarities between what’s going on today and what happened between 1969 and 1971 with the recession and metals prices -This was when inflation first became a problem and the Fed had to tighten -Everything in precious metals peaked two years ago, and now we are seeing a recessionary environment and extreme inflation -The best moves in the precious metals were in the 70s and 2000s -We had a technical recession in the first half of this year and we will probably see growth in this quarter -It’s just a matter of time before the stock market moves lower, and the Fed will be done hiking rates -A new precious metals bull market will most likely begin -You’re not in a real bull market when the stock market is still going higher -On a near-term basis, there is a concern that gold could come down a fair bit -The market is going to trend higher over the next 15 years -In the bigger picture, Jordan is not concerned -Sentiment is really negative at the moment -We’re in good shape because we’re nearing the point where the Fed is going to have to stop hiking -Fundamentally, for precious metals, it comes down to when they’re going to stop hiking. This is going to launch [recious metals through a really good rebound -The dollar is impacting what’s going on in the bond market -Foreign central banks/governments are selling their treasury bonds to get dollars (they have dollar dominated debts) -The Fed follows the market; ignore all this talk, and pay attention to what’s happening in the market Useful Links: Financial Survival Network The Daily Gold