Submitted by QTR's Fringe Finance
This week, my kind friend George Gammon from Rebel Capitalist took the time to answer a couple of exclusive Fringe Finance questions for me. George is one of my favorite economic commentators and has been a friend of mine, and my podcast, for years. I often describe his podcast as similar to mine, just more well thought out, more educational and more useful with less childish humor.
I thought this week would be a good time to tap into George’s head, given that the last time I spoke to George was well before the current market volatility. George prepared two, twenty minute-long exclusive videos for Fringe Finance to try and tackle a list of questions I had for him.
First, I asked George and his team how they were changing their outlook for investing heading into this volatility this year.
George responded: "All of us are really just trying to pay attention to what the Fed is doing. In order to answer economic questions, you've got to start by answering political questions. I don't really like that because I don't like politicians."
"But unfortunately there's a bigger cross current at play right now - and that's what the Fed is going to do with monetary policy and maybe even what the government is going to do with fiscal policy. All our pros are fixated on what the Fed is going do right now," he continued.
"You look at gold, you look at the dollar, you look at the 10 year, and I think everything revolves around trying to figure out if the Fed is going to go through what they say they're going to do in 2022. Another interesting question is that inflation is kryptonite and a lot of talking heads think that if inflation comes down, it'll buy them time. I don't necessarily know if that's true. Prices aren't going back down to where they were in 2019. They might stop going up. They might go up at a lesser rate, but it doesn't mean they're going back down. The average voter knows this."
I asked George what sectors he likes heading into 2022: "I think gold miners are interesting at these levels. I like things when they're cheap and when they're unloved. I don't know if we're seeing panic yet in the gold miners, but they're definitely unloved. I think the Fed tightening is kind of baked into the price of miners. The market has taken the Fed seriously, therefore, if we see a dovish pivot, then I think miners could have a lot of upside."
"There are some foreign markets I find interesting. For example, the UAE just came out and said they're going to put up a 1,000 room casino. They're not a bastion of freedom and liberty, but I'm looking for countries heading in the right direction. They're looking to liberalize and move in a more free market direction. I think they have more tailwind than the U.S," he said.
"Also I like that area because its a bit of a reprieve until the next crisis the global elite try and take advantage of. I think that's most likely going to be climate change," George continues.
"I'm not here to say whether [climate change] is real or not, but I am here to say the elites don't care about the quality of the air, they don't care about the temperatures rising 2 degrees, the only thing they care about is usurping power and control. They see 2020 and 2021 as a big win in terms of 'Wow, look at what we were able to make people do!' During the next crisis, we can add to the power we obtained from 2020 and 2021."
Countries like Russia, Brazil and the UAE all push back on this agenda due to their dependance on oil. "They'll be less likely to follow Klaus," George says. "I'm putting them on a watchlist and paying close attention to them."
George also talks about:
His take on why lower inflation may not stop the bleeding for markets
Why prices aren’t going back down to where they were in 2019
Why midterm elections bode poorly for the Democrats and why the Biden administration may try to distract the voter with war
Why gold miners and hotels in New York City are his favorite types of investments
Why the Covid pandemic is coming to an end
Why he doesn’t think vaccine passports and mandates will be permanent
Where the U.S. economy is heading compared to places like the U.A.E. or Dubai
That he thinks climate change will be the next crisis that the global elite take advantage of
Why price controls are coming
Finally, he also gives his thoughts on whether or not Powell will hold his nerve this year and taper as expected and his bull and bear case for gold. In the second part of the interview series, which will be released here this coming week, I ask George about YouTube and social media trying to censor him, the commentators and fund managers he reads and listens to and his take on how the government will navigate Covid this coming year.
You can watch George's full video response here.
All content is George Gammon’s opinion. I own physical silver, GLD, GDX, GDXJ, PAAS, PSLV and a number of other metals/miners/gold/silver equities as well as numerous companies with exposure to oil and uranium. Readers should assume George also has positions in all trends/equities/etc. mentioned in this interview - as do I. We will likely stand to benefit if prices of commodities rise and/or our prognostications come true. None of this is a solicitation to buy or sell securities. It is only a look into personal opinions and personal portfolios. Positions can change immediately as soon as I publish this, with or without notice. These are not the opinions of any of my employers, partners, or associates. I get shit wrong a lot. I’m not a financial advisor, I hold no licenses or registrations and am not qualified to give advice on anything, let alone finance or medicine. Talk to your doctor, talk to your financial advisor or your therapist. You are on your own. Do not make decisions based on my blog. I exist on the fringe.