FOR THE WIN

Why you should go all in on silver.

1 - Because gold is going to explode and silver will outperform gold by 2.5x

A fall in gold to silver ratio from 70 to 20 equals a fall of 70% and read fall as gain.

silver to gold ratio today is 26/1800 = .014

in the future if silver to gold goes to 500/10000 = .05

2.5x is required to rise from .014 to .05 (a 20:1 ratio)

Gold goes to 10000 from 2000 is 4x gains

Silver goes to 500 from 30 is 15x gains

One of you smart apes have to calculate that for me you get the idea tho

2 - The (hyper) inflation already exists. It is stored in all other asset classes at the moment. In the future this inflation will flow out of risk on assets and into commodities and monetary metals. And that's a lot of dollars.

3 - The top 25 banks in America have 250 Trillion in derivatives against about 20 trillion of assets. If they melt themselves down your physical assets will survive.

3b - 100 trillion of that is in interest rate swaps. The Fed can never raise interest rates. It would obliterate all banks on the spot.

4 - If the Fed does not want to send us back to the stone age they will continue to inflate. Inflation is a tax. The more the masses are taxed the less purchasing power they have. The less they consume (ex necessities) the less profitable companies become. This causes stocks to be sold and this money is looking for a safe place to hide. Some will find a home in gold and silver. Hundreds of billions. Maybe trillions.

5 - If the Fed tries to stimulate a stock market stagflation crash this will visibly hurt the dollar market. (High frequency) Computer programs will tick for tick sell dollars and buy gold and silver and maybe treasuries too.

5b - If the dollar is falling then treasuries should be falling because the only thing more useless than devalued dollars today are IOU devalued dollars 1 to 30 years in the future. If treasury yields are falling as the dollar is falling that means the Fed is printing dollars to absorb the mass dumping of treasuries. Proceeds will go into, you guessed it bitcoin. Just kidding it's going to gold and silver maybe real-estate and large cap blue chip stocks like Proctor and Gamble.

6 - If hedge funds have not front run them they will pile in on the trade.

7 - The risk is asymmetric. When this starts to come apart it's going to happen quick. Silver will be up 5% week one, 10% week two, 20% week three etc etc. You need to be loaded up before the move. People who don't own silver will not buy because the move is going to be so big so fast (like H1 2016) they'll wait for a pull back. There will be no pull back. There will be another run higher still. Then people will buy for fear of missing out. Then we might get a pull back.

8 - Price controls will create shortages and long lines. You can cut back room deals with vendors to avoid these lines and get better prices with silver barter.

That about covers it for tonight. This is the inflation scenario. Fed stimulating a recession caused by inflation. How the treasury market responds and what programs the congress rams through the treasury is icing on the cake so to speak.

Although as Peter Schiff says and I paraphrase "when the financial crisis is the dollar the Fed can not print more dollars because the excess dollars past and present are themselves the problem." This is why I said in my previous post that when inflation is causing banks, supermarkets and gas stations to be wrecked, looted and burned to the ground in major metropolitan areas the money printing will come to an end and the congress is not going to spending a single cent on green new deal initiatives at the same time the last thing on Americans minds is buying consumer electronics and EVs because they are trying to come up with enough for food, energy, property taxes, rent. If Asia is booming in 1:1 inverse sure global industrial demand will be unaffected -good luck with that. Maybe but not in real time.

Even if the Fed and congress fight the dollar inflation with more dollars that will collapse the western world. Lots of foreign central banks hold dollars as reserves - idiots, hence the CB gold stacking competitions.

If they are forced to contract there are still too many dollars in existence from previous administrations such that gold is going to hit at least 10,000, minimum, with a silver gold ratio of pick a number.

The sequence of events no one can predict but we're going into a stagflationary depression. The choices are hyperinflation or contraction resulting in the greatest inflationary depression the world has ever seen. One that is going to take at least several generations to come out of. The seized engine is going to have to be removed, disassembled, rebuilt and reinstalled, without a line of credit.

250 trillion from the banks 30 trillion outstanding govt debt 200 trillion unfunded liabilities How many missing trillions from Dr Skidmore I heard triple digits at last count

We are 500 trillion in the hole. Some of that will go to money heaven the rest goes down Exeter's pyramid.

Massive deflation in everything that is not gold & silver, food & energy and maybe housing.

The trap behind all this is interest rates. If you raise interstate rates to prevent hyperinflation you destroy all commercial banks and pension funds and insurance companies. If they raise rates they would have to restructure and write off just about all liabilities present and future. The interest carry on 30 trillion at 10% is all tax revenue and then some. The banks will close and any money that was inside evaporated. Raising rates causes the banks to take losses on their long bond positions and interest rate derivatives positions. Instant death.