Gold's Record Setting Run

" gold another. Day another record price for gold right now it's trading a 1015940. We made another new record today -- the question is why are investors flocking to the precious metals and what does that mean for the economy let's ask. The so many reasons why gold might be going up some people say inflation I say -- forget inflation there's no there's no place some people say the dollar yet. Maybe my two cents says. People are flocking to gold because of the massive debt that we're taking on as an economy as an administration would use."

" Absolutely that's exactly right people are losing confidence in paper money because of this debt remember you with Fiat money. Debt is the raw material from which money is created. If you don't have a gold back system or commodity -- system. Freely choosing to use gold as a medium of exchange for example so now you've moved away from the gold backing our dollar so therefore -- what what happened as so we can have a limited unlimited numbers of dollars -- which means that each dollar is worth less every time you increase the supply of something the price goes down. So what is happening it's not that gold is going up so much in value. Is that the paper money is losing its value because we're creating endless amounts of the to bail out the world essentially. Today. I get get this -- goal for a long time and and get email just about every single night maybe 45 and saying hey yeah but a 1060 bucks that's too much right. What do you think no not at all if you look at the inflation adjusted gold prices is not anywhere near where was in 1980. Moreover nobody knows how much more money is going to be treated because as they just said it's. There's no limit to the amount of money can be created when Nixon took us off the gold standard the international gold standard in 1971. He paved the way for endless amounts of of our problems inflation or deflation either one could happen could result in my view. From the from the enormous amount of money in -- as you put it. That's been created especially since 1971 if you go back and look at the chart you'll see an explosion of M three all the measurements of money."

" Too much that waves -- back let's talk about eleven point 811 point nine trillion dollars. In debt we're in debt as a country keep borrowing money from China and Middle Eastern sovereign wealth funds etc. etc. Is this part of why goal is making allies almost every day."

" Absolutely because that debt is not being paid for by savings that debt is in China saying we've had enough of your money we have we've had enough your -- So -- is a savings going to come from this monetization of debt the printing of money to buy the debt the Federal Reserve has has said they're doing it."

" I'm pointing. 811 point nine trillion that's per person per American right to 39000 dollars. And that doesn't include. Unfunded things like Medicare. Commitments so it's a lot more there it is eleven point nine trillion dollars of an approach you know twelve trillion dollars as -- country -- are other people are investors saying. We're worried about your monetary and fiscal policy so you better get your house in order what happens if nothing changes."

" nothing changes we're going to have a breakdown in the system I think what gold is telling us now as it's rising every day to new highs is that there's a lack of competence of the system the system is going to break down because it's insolvent. You say united -- you're not worried about inflation I would agree with you I think we have a deflationary potential deflationary collapse here implosion if you will. Something similar to what we saw last fall. But worse than that possibly because if you look at debt is growing exponentially you mentioned twelve trillion if you look at the total amount of debt in the United States. Private sector local governments and all that it's like 43 trillion. -- let me cut you off here we're going to run -- time I want to talk to the people who are watching right now I have one might not be able afford to buy. You know a big gold mining stock what's the best way for a small investor to get involved angle picture I think taken they can certainly go into CES is one of my favorite investments as a gold and silver investment you can buy just like a stock review by mutual funds. That by gold through the mining company's site you know mining companies is is the area that I cover in my newsletter and that's where I think you make an awful lot of -- gold coin that'd. Well that's that's going to go up. Versus paper I can guarantee that and I have crew Rangers closer and by the -- is an ounce of gold -- out of whatever may -- a couple of bucks over the spot price of gold traded. 1059. Dollars announced. You can also buy quarter ounce yes you can buy out of -- even attend an announcer can get did very very small points. -- Hard money advisers you'll also that's the news lady also the company named well they can reach me at mining stocks are common learn more about my -- ecology pure as gold energy and tech stocks INJ Taylor thank you very much thank."