gold news

You look at the gold silver ratio, right? Continuing to measure one asset in terms of another. That's about 100 right now, which is sort of unbelievable. I mean, this has only happened a couple times in the history of humanity. Uh, so ordinarily that ratio is around 15 or 16 and right now it's 100. So that suggests that silver is undervalued relative to gold by a factor of six. [Music] Woods. for some of the latest trends in the metals market. Let's welcome in Alan Hibbert, precious metals alternative

money specialist at goldsilver.com. Alan, thanks so much for joining the show. Yeah, thank you so much for having me. All right, so I want to talk about gold first. Gold is uh trading pretty close to the highs, only about 3% off the highs. Has a much more impressive chart, or at least it did have a much more impressive chart than of course stocks uh so far this year. Although today changed things a little bit um for those people who had FOMO about gold and wish they got in on the rally. Is it too

late? Good question. Yeah, it's easy to get caught up in the day-to-day noise. Um but if you zoom out and look at the bigger picture, gold has been outperforming stocks not just for a few days, not just year-to date, but for 25 years, 25 years gold has been outperforming the stock market. if you compare it to the S&P, the NASDAQ, the Dow, gold has outperformed all of them by a factor of three in the last 25 years. So, this is nothing new. Um, and so, no, you didn't miss the bull run.

There's still plenty more to go, probably a few more years in my opinion. And one of the best ways to measure it is not in the nominal price of gold or in stocks for that matter, but in comparing the two asset classes to each other. So if you look at the Dow gold ratio or the S&P gold ratio or the NASDAQ gold ratio, despite all the outperformance that gold has had over the last 25 years, it is still undervalued compared to these stocks. So in the next few years, I'm expecting that stocks will continue to fall and

gold will continue to rise on a relative basis. We are not done yet. So when you think about stocks, you say stocks will continue to fall. Are you talking about because of uh the noise that we're, you know, dealing with right now in terms of tariffs and potential for a recession and such? Possibly, but not necessarily. So, when I say that stocks will continue to fall, I don't necessarily even mean on a nominal basis. Stocks could completely recover and set new all-time highs, that's definitely possible, but that

doesn't mean that they're actually becoming more valuable. If they're not rising as quickly as gold or other assets, then they're falling behind. So even though you might nominally have an increase in the stock portion of your portfolio, you could still be losing. So when I say stocks will continue to fall, I do mean relative to gold. So that's going to happen. And I do I do think we are in a recession, but that's sort of besides the point when you zoom out and look at a 25-y year period, whether or

not we're in a recession is is almost irrelevant. Okay. And how does gold typically perform in recessionary times? Pretty well. Gold does well in recessionary times. It does well in negative real interest rate environments. And I think that's mostly what we've been in since the year 2000. And it's probably what we're going to continue to be in because all of these policies from the Trump administration are super inflationary in the short term. Tariffs obviously, um, federal layoffs are super inflationary with

these large severance packages. Um, you know, everything they're doing, uh, deporting migrants, it's inflationary. So, it's going to bring the cost of everything up. and we have huge budget deficits, um obviously huge um debt. And so the only way out of this is to inflate the currency. And when you cause inflation, two things happen. People rush to something like gold to protect their purchasing power. That's number one. And number two, the Federal Reserve raises interest rates to try to get

ahead of inflation. And when they raise interest rates like they did in the 1970s, um it's it's not enough. Let's put it that way. It's not enough. They try to get ahead of it and they don't. Inflation runs away. And so for 10 years we had rising interest rates and yet gold still continued to outperform. So I'm expecting that that's going to happen recession or not. Um we're going to get negative real interest rates and gold is going to continue on a massive bull run. So if I'm an investor and I

say okay Allan made the case I want to buy some gold. Are you saying that they should stock up on some gold bars? Sure. Bars, coins, it should be physical. Whatever you pick, make sure you get it from a reputable dealer. Don't buy any uh you know scam stuff. Don't buy collectibles. And I wouldn't buy paper products either. I wouldn't buy um ETFs. I wouldn't buy derivatives, futures, none of that stuff. I would get physical. And personally, I would take delivery. And if you can diversify it

geographically among multiple houses, that's probably better. And if you don't feel comfortable storing it at home, then make sure you get a third party custodian that can vault it for you. Um you know, and of course, our company does that. We we hire thirdparty storage. So you can get it at golds.com. Okay. All right. Uh does your bullishness extend to silver and copper as well? Uh silver for sure. Yeah. So silver is like the the little brother to gold. It just takes longer for silver to

pick up. So silver could remain suppressed. And if you look at the gold silver ratio, right, continuing to measure one asset in terms of another, that's about 100 right now, which is sort of unbelievable. I mean, this has only happened a couple times in the history of humanity. Uh so ordinarily that ratio is around 15 or 16 and right now it's 100. So that suggests that silver is undervalued relative to gold by a factor of six. So if you believe that gold is super bullish, silver should be roughly six times as bullish

as gold. You just have to be really really patient and really willing to endure a lot of volatility on the way. So yes, my bullishness definitely transfers to silver as