5 Minutes Ago: Alasdair Macleod Shared a Horrible News

Ajouté : 2026-06-01

[00:00:00]There will come a point I believe where in a general currency collapse um real asset values will detach themselves from um the declining value of money. In other words, you know, property you'll see property prices stabilize at some stage and then rise. they will fall very heavily in gold terms because under those circumstances real money will be only available at huge huge premiums um because there's not a lot of it compared with all the currency that is being destroyed. So I think Daryl, the answer to your question is yes, I do see further substantial falls in stock markets because not only are we not done with the rise in government bond yields around the world, but they are going to rise considerably further and that's going to cons uh create even more difficulties for governments whose budget deficits are going to increase very substantially uh as a result of the contraction of bank credit which I think we've discussed before. Bank credit is uh what all GDP transactions are settled in.

[00:01:08]Therefore, when you see changes in GDP, it's not necessarily reflecting, you know, improvements in the economy or or or recession, deterioration in the economic outlook, whatever it might be.

[00:01:21]No, what it's actually reflecting is the amount of credit deployed in the economy. And if the banks contract the amount of bank credit, bingo, you find that GDP collapses. And this is what we now face because as we've said many times before, the um commercial banks are very highly leveraged. They now see the economic outlook is deteriorating quite rapidly. They cannot afford uh not to really uh rein in um their loans to the private sector. And this is particularly small and medium-sized businesses. You'll find that liquidity is just completely dries up. So what happens then is you find that businesses start going bust or mass and it's not necessarily the big you know the big businesses who can rely on government contracts or whatever or um you find the central bank turns around and says to the commercial banks you know for goodness sake you cannot foreclose on I don't know name any big business you like from mining to to manufacturing in in in in your country um they will be lent on to keep the big businesses going. Okay. So, if that's the case, I got to close in close down everybody else because I'm over leveraged my balance sheet. I've got to look after my shareholders. You know, to hell with a regulator, I've got to look after my shareholders. And that's the position the bankers are rapidly getting themselves into. So we can see that with credit withdrawn from the economy, this is commercial bank credit being withdrawn from the economy, we face not only sharply rising prices as a result of the falling purchasing power of our currencies but a falling GDP as well.

[00:03:09]Now this is a lethal combination as far as the authorities are concerned because this is reflected in rapidly increasing budget deficits which have to be financed. Oh, but we've got a problem, Houston, because it's all very well saying that, you know, we're going to need to borrow another trillion dollars or two trillion or 3 trillion or four, whatever the figure is. But this is on rising bond yields. The market is not going to let us have this uh you know, finance this um at the levels to which we have become accustomed. So this is a situation which could begin to very rapidly deteriorate and under those circumstances I would not hold any equities nor would I hold any fixed interest bonds. There is only one thing to do and that is to try and get as much as you can out of the fiat currency paradigm and hold real money which is metallic gold and silver. When it comes to the $50,000, I I'd rather look at it um uh differently uh from from John in that respect. Um I think that has to be a guess on his part. You know, it's sort of penciling in a number. But um we know that the Americans are anti- gold and pro dollar and you know, good reasons why they should be because um they've promoted it to be the world's reserve currency. Everything is traded in dollars. But the reason they will have to on is really very very simple. With the dollar collapsing um under what you know what is sort of commonly termed hyperinflation but I think a better description is just complete loss of credibility and purchasing power. Under those circumstances, the only way they can stabilize it would be to go back to to accept that really is gold and they need to anchor the dollar to gold.

[00:05:06]>> I think it's quite possible that you might see the dollar go down to the point where they're considerably more than 50,000 to an ounce of gold. I don't I really don't know. I mean, that is ahead of us. But they're going to be extreme difficulties I think for uh the western fiat money establishment, fiat currency establishment, extreme difficulties for them to accept the reality of the situation. And it's going to be different for different countries.

[00:05:35]I mean, you know, Canada has sold all its um all its gold, got none at all.

[00:05:40]Britain under Gordon Brown sold 2/3 of its gold, which wasn't very clever. And so far as I'm aware, the Treasury has made absolutely no attempt to recover um any of the gold that it lost at under $300 an ounce. By the way, >> I mean, some countries bizarrely um seem to have quite a lot of gold. I mean, places like Turkey whose currency is collapsing. Um and interestingly the I mean going back to the if you like the Russia China axis I mean if you look at the who's actually been buying gold in the central banks it's been predominantly you know Shanghai Cooperation Organization members also other members of the uh Eurasian Economic Union. If you take all those together, they I mean accumulated uh far larger amounts of gold than any of what I would call the sort of either western aligned or non-aligned uh nations central banks. Um I think we're looking at something like over 4,000 tons is against 800 tons. This is quite um an important signal I think that um there's going to be a more ready um acknowledgement and acceptance that currencies should be linked to gold in Asia than is likely in the West. But really as to John's point about $50,000, I think that can only be um you know sort of a a pencil in figure. Um I don't know whether he looked say at the quantity of money supply uh relative to gold ounces held by the US government. I mean people do that sort of thing but I mean you can't you because for a start um the US government reserves haven't been audited and B um really what you're looking at is a situation which is going to deteriorate from now. You can't really think in terms of you can't really say if the situation stopped now then they would need to have so many uh you know the price of gold would have to be whatever because that's not happening. This is you know we we're getting a rapidly deteriorating an accelerated accelerating deteriorating condition for fiat currencies. So we cannot guess what the outcome will be in that sense. But what I can tell you is that they will have to go back to accepting that gold is money and all the rest is credit. And the only way to stop the collapse in the value of that credit is to anchor it to gold. How long that will take, what we will have to go through to get to that point, I have no idea. All I just know is it's going to be very very difficult for us because we don't, you know, our economic establishment just don't understand Money.