Stefan Gleason Speaks about Precious Metals Buying “Dos and Don’ts” (Podcast)
Stefan Gleason Speaks about Precious Metals Buying “Dos and Don’ts” Podcast – Money Metals
Coming up we’ll hear a fascinating and informative interview Money Metals president Stefan Gleason gave recently for the Sustainable Money podcast. Stefan shares some of the history behind sound money, when and where the wheels came off our monetary system, some disturbing developments in the war on cash movement and also goes through some dos and don’ts when it comes to purchasing gold and silver. You will not want to miss this revealing interview, coming up after this week’s market update.
Precious metals markets pulled back this week, but not enough to do any major technical damage to the larger uptrend in place.
Gold confirmed a bullish trend change by breaking out above the $1,300 level late last month. Prices currently come in at $1,322 an ounce after this week’s $25 or 1.9% decline. Silver is down 36 cents or 2.0% for the week to bring spot prices to $17.66 per ounce. The platinum group metals got hit harder, with platinum down 4.2% to $970 an ounce and palladium down 1.3% now to $926 as of this Friday morning recording.
Metals markets were overshadowed by yet another new record high in the Dow Jones Industrials. It seems that nothing can kill the bull market in stocks – not the failure of Congress to get any reform legislation passed, not the prospect of a debt crisis, and not even the force of two massive hurricanes leaving a path of destruction through Texas and Florida.
We live in a Brave New World where bad news seems to be good news for stocks. And for that, you can thank the Federal Reserve. Under our monetary system, the economic damage caused by disasters is covered up with new debt that expands the currency supply. It gives the illusion that economic destruction is just another source of growth.
Of course, anyone who understands the “broken window fallacy” knows better. As the nineteenth century French economist Frederic Bastiat showed, the apparent economic stimulus that comes from replacing a broken window doesn’t create any new value. There was a window before it was broken, and there is a window after resources go into replacing it. No net gain.
Sure, the window maker gains by getting paid. That’s what’s seen. But what’s unseen is the value that would have been added to the economy if resources had been freed from replacing the window to creating something new.
When the government borrows billions of dollars into existence to replace broken windows, it benefits some segments of the economy at the expense of others. Debt spending comes ultimately at the expense of everyone who holds dollars. But the hit to the value of dollar-denominated wages and savings is not even perceptible to most voters. So they won’t bother writing letters to their representatives objecting to a few billion here or there in new debt spending.
The U.S. Dollar Index did show a small uptick this week. That may have helped drag precious metals prices down. However, the dollar’s major downtrend this year is still intact. And President Donald Trump wants to keep it that way. A strengthening dollar could hurt the stock market, make the debt more painful to bear, and ruin the illusion of prosperity.
On Thursday, Trump hinted that he might re-appoint Janet Yellen to head the Federal Reserve Board, saying “I like her and I respect her.” It’s another flip-flop versus his campaign rhetoric. Trump’s recent flip on DACA and his courting of Democrat leaders Nancy Pelosi and Chuck Schumer have his supporters concerned that he is veering to the left.
He wants to get deals done, and that often requires compromises and strange bedfellows. But lately he’s been offering Democrats a lot of compromises without getting much of anything in return from them on behalf of Trump voters.
We’ll see whether Congress and the White House can come together for some kind of modest, revenue-neutral tax reform package before the end of the year. If it’s too weak and watered down to provide any real stimulus to the economy, then Trump may have to look to the Fed for stimulus.
It would be far better for the economy to streamline the tax code and save billions of wasted dollars and man hours that go to filing IRS paperwork. The labyrinth of unnecessarily complex tax rules is like a “make work” program for accountants and tax lawyers. It’s no different in principle from a government program that ordered windows broken in order to keep window makers busy.
Basic economic fallacies that are punished in the market are perpetuated by the political system. Basic economic fallacies that any high school student should be able to understand are driving the country toward a debt and currency crisis.
Well now, without further delay, let’s get right to this week’s interview Money Metals president Stefan Gleason did with Alan James on Sustainable Money.
Alan James: Hello everyone and welcome to another edition of Sustainable Community Summit. The title of our program today is Gold and Silver Buying Made Easy. Stefan Gleason is president of Money Metals Exchange. That’s a national precious metals investment company and news service with over a million readers, seventy-five thousand paid subscribers and one hundred, twenty million in annual sales.
Previously, Gleason served as vice president of the National Right to Work Legal Defense Foundation in Springfield, Virginia. As the first strategic litigation organization in the individual rights and free enterprise movement, the foundation has led the national legal battle to block to expansion of union special privileges. Gleason has frequently appeared on national television shows and networks such as Fox News channel’s O’Reilly Factor and Special Report with Brit Hume. CNBC’s Closing Bell, Christian Broadcasting Network, CNN and CSPAN’s Washington Journal. Gleason’s commentary has appeared in Wall Street Journal, Newsweek, TheStreet.com, Seeking Alpha and National Review among thousands of other national state and local newspapers, wire services and internet sites.
He’s a seasoned business leader, investor, political strategist and grassroots activist. That’s quite a resume there Mr. Gleason. Stefan Gleason, welcome to the program.
Stefan Gleason: Thank you, thank you, well you know the key theme there is that I love freedom and I’m very concerned about big government and so my entire career has been spent in the work of trying to you know loosen the shackles of big government and also help people take steps to protect themselves from it and that’s why what I’m doing today in the last seven years since we founded Money Metals Exchange of helping people diversify their money outside of the financial system and get some real wealth in the form of gold and silver. And that’s why that’s been such satisfying work because it is a big part of individual liberty and freedom.
Alan James: It would be fair to say I think that we’re talking about insurance today aren’t we?