serves Main Street. >> Yeah. >> Not not not even even 5% of their devoted vested [clears throat] interest is Main Street. [cough] Pardon me. The uh the member banks of of the Federal Reserve, the regional bank, they they all report to the the main headquarters and they serve the Wall Street banks and the big banks of the United States. I would put their their loyalty and devotion at over 95%. Look what they've done in the last just the last four years, five years since uh 0% and QE has been put on. I think QA
began in 2012. [snorts] The big objective openly stated by the Fed and many of its governors out in the field was we need to prevent price inflation from hitting the main economy, main street. And to do that, we have to wall off all the QE bond bailouts and prevent it from leaking into the economy. The word leaking to me conotes an intention to prevent capital formation, business expansion, job hiring, plant and equipment, and all that. Now, we we we have a a few mavericks among the Fed governors. I like Richard Fiser of
Dallas. I don't think he's in his post anymore, but he sure is quoted a lot. [snorts] Uh he he's been saying for the longest time that that QE is insane uh and that we're on the wrong path, that we have no exit strategy. I I follow the Mavericks because the Mavericks prove to me that the Fed and all its regional governors have no concern whatsoever for the tangible economy in Main Street. Zero. >> Yeah. I think what the Federal Reserve what they would try to say and this would be a lie in my opinion. They would
try to say oh look your 401k is up your your housing and real estate prices are up and that's how we helped Main Street. But you know most people on Main Street Jim right now they don't have a lot of savings and they don't own a lot of assets. So most of this asset price inflation that the Federal Reserve has been creating for decades, I think it mostly benefits, you know, hedge fund managers, investment banks, Wall Street, and then also this manipulation of the interest rates that benefits governments
that are able to, you know, borrow even more money at a lower and lower interest rate. So I don't see how that really helps Main Street. I see, you know, Main Street, uh, the people I talk to on Main Street, their lives are getting worse all the time. I think the other argument that the the central bankers would make is if the health and viability and capital structure that underpin the big Wall Street banks, if that all is made healthy and firm, there's an immediate general positive effect throughout the
whole economy in Main Street. the derivatives and their bond carry trades. They they borrow at the zero and invest in the the treasury bonds earn that 2% vig put on leverage and suddenly they they have a better capital structure. It's not from lending. It's not from the credit portfolios. The big banks are scared to death of their credit port. The big banks don't have any devotion to the main economy. They have contempt. How many times have you read a story in the last three or four years that the
big banks don't find many creditw worthy clients to lend money to? We hear it all the time. So what they do is they do the bond carry trade. They borrow at zero and invest on the 2% and put on futures leverage to multiply it by 20 to 30. That's if they get 20fold leverage on a 2% arbitrage, they're making 40%. And that's why you're not seeing the interest rate rise because the Wall Street banks are borrowing at 0%. If you want to wreck their carry trade for bonds, then raise interest rates.
They're not going to do that. And I don't really believe the December action was an interest rate hike. I think it was a a little a little fiddling with the switch gear to make the reverse repos work properly. >> Yeah. I also saw an interesting video from my friend Lewis over at Small Gold. He thinks that the Federal Reserve is threatening to still raise interest rates to protect the dollar index, that they can't really raise interest rates anymore, that they've been just trying
to meddle with the dollar's exchange rate now instead of an interest rate increase going forward. >> Well, absolutely. And and they're losing their credibility by doing it, I think, about 30 consecutive times without raising the rates. And and you really take a close look at what happened in December, and it it's not really a rate hike. So, they're not going to do a real rate hike after a fake rate hike. It's very getting very interesting and very dicey. They cannot defend the dollar
anymore except with jet aircraft, howitzers, and destroyer naval destroyer vessels. That's how we're defending the dollar. >> Yeah. And last year we did an interview, Jim, you and me, and we you talked about how interest rates will never rise. And a lot of the regular Wall Street people that listened to the interview said you were wrong. And you know, over a year later, you've been proven right. all these uh central bankers that were saying that they were going to raise rates, they haven't really done anything
yet. >> Well, those same people would not give us credit, Jason. They would say, "Yeah, yeah, but the interest rate hike is right around the corner." Friends, in the last few years over my position that we will never have a war with Iran, I called it stupid talk. And a friend of mine in Ohio said he he differed in his opinion. And a day later, we said, "How about it if we never talked to each other after about 30 different volleys back and forth?" Okay. Now, when I contact that same person once in a long
while, they said, "Yeah, but the Iran war, it's going to be this year." They never admit they're wrong. It's always going to happen next year. It's kind of like the second half recovery for the economy. >> Yeah. And I think those people still be saying even when the Federal Reserve doesn't raise interest rates, oh, it's coming. It'll come in the next couple months. And, you know, they just don't want to admit they're wrong and they don't want to admit also that the
Federal Reserve should have zero credibility. They still want to believe in the Fed because a lot of them make a lot of money off owning general stocks. >> Well, they make money on following the Fed trend. And they say the trend is your friend and never never buck the Fed. Never go against the Fed. And I think the Fed is in a corner where they're going to be liquidated and and seen in history as a gigantic failure. I mean, they have 4.2 or 4.3 trillion in in in their balance sheet. Is is
anything on their balance sheet worth more than 10 cents on the dollar? I don't think so. >> Yeah. I think all these central bankers are all failures, but they'll they'll never admit that. They'll blame someone else for their problems. The US has been blaming I think China, the the China economy uh for the reasons why they won't increase interest rates and now it's Europe and Brexit. I want to transition now to the next topic and that is uh the ECB, the EU and Brexit.
Uh do you think the powerful politicians and bureaucrats running the EU will actually allow Brexit to occur? >> I don't know, Jason. I'm going to be honest here. I I think the polls are are working now at about 15 to 20% in favor of exit. Uh, I think the the elites there are scared piss. I mean, I I have a friend I love telling this very brief story. I've got a friend in Philadelphia and for the Bush 2 versus Kerry vote in 2004, he volunteered in Philadelphia to be a a voter moni a vote monitor in
the German town precinct of Philadelphia. and and he and five others got there at a half hour early about 7 in the morning. They inspected it. illegal to challenge the vote. Illegal to challenge the software for Diebold. The United States is exporting their voter rigging technology. I expect that they're going to try to rig it in Britain and at at the very worst they're going to declare the vote null from all the problems as they discover the rig attempts. I don't know but you know the
consequences are are are pretty stark. I was talking with a very smart guy yesterday connected with the US government and he said you know Britain would do well to negotiate all its trade contact contracts one- on-one and not through the EU. The advantages are huge but the disadvantages are are significant too. The the capital flight and and and a lot of other things. I'm actually in a position where I must study this in the next two or three days because I'm I'm coming up with my final
report for June that will cover the Brexit. And I don't I don't say anything ever like, "Oh, well, I know what that is, but I can't say now." No, I don't know what it all is about. I'm reading about it and there was just an article that caught my attention about how the Swedish, is it president? I think it's a president, a woman is is warning Cameron and criticizing Cameron for entertaining the even even the notion of an exit. So there's a lot of pressure from member
states in in the European Union and there's a lot of aspects that that I'm not quite clear on. I'm going to try to read up in the next couple days, but my my answer and my position is so clear, so firm. They're going to rig it because it's easier than doing a campaign, which they've done with a lot of propaganda, lies, and deceit, and and all kinds of craziness on the airwaves. That costs money. Rigging does not cost much of anything. You just block out an entire district. Gosh, in in the Obama
re-election, there are entire districts in Philadelphia that had zero votes for Mitt Romney. This, you know, pro probability dictates that that's almost impossible. So, I expect vote rigging and I don't have a really deep response to this, but I I believe that exiting the European Union would be good for Britain. uh and it would be good in another very large picture sense. It would work to break up the European Union itself. And I think that's what the Dutch have already voted for uh
about people's opinions. That's anti-popular, I think. >> Yeah. And there's a great documentary about the Brexit and it talks about all these uh politicians and bureaucrats at the European Union in Brussels. You know there's tens of thousands thousands of them making six figure salaries which is more than the UK prime minister Cameron is making. And you know here these guys they can't be fired and they make all these extra money. And then there is this also this great story I don't know
if you saw it on Zero Hedge. It's basically they're reporting a propaganda video that the ECB made inside their trading floor showing how good their asset purchase is going of buying up, you know, bank bonds and government bonds and things like that and uh how they're manipulating markets. Did you see that piece? >> No, I didn't. But it's not surprising because all markets are rigged by the Anglo-Americans. There are no fair financial markets. All their leaders are not beholden in any
way at all to the people. They're beholden to the elites. So it's a big club and there are advantages for being in the club for taking advantage of rigged markets. So not surprising at all. It's just one more log on the same fire. This is disgusting what's happening in the progression toward the fascist dictatorship which I steadfastly oppose. >> Yeah, I I completely agree. There's just so much of that in the US and Europe right now. And there's, you know, the status quo makes so much money off
manipulating asset prices up and down, whichever way they choose. Uh, my next question is about Bilderberg since we had the meeting in Dresdston, Germany recently. Do you think the economic and political elites there were meeting at the recent Bilderberg meeting to discuss how to implement fully digital currencies and a cashless society on a global scale? >> Uh, I I I read and I've only read it in one account that a Rothschild was presiding over the Bilderberger meeting. I've got an opinion that I'm going to
share about the Bilderberers before I get more de in depth on their their agenda. Um, I have a a rule of thumb, a rule to operate by that the voice taught me and this was way back in 2009 when we had very frequent conversations getting to know each other. Uh we were asked we were talking in general about how powerful are the narco barons? Have they worked their way into the elite banker crew? How does that work on the politics of of joining a banker syndicate? If you own a lot of money and have a huge
income from narco sources, does that give you a a seat at the table? Uh where do the builder bersers fit in? Where does the the Z group I I I vowed long ago never to mention the four-letter Z word read anything about that group learn anything about that group's agenda then they're not important for the simple reason that they're not in the secrecy in the shadows the fact that you heard anything means that they're not protected they're not high level and they're not secure in
what they're doing in their activities. And it was quite interesting because right about that time there was an event at the Vancouver airport. I I went to speak at uh oh I think that particular one was June in 2007 in Vancouver. It was at the Cambridge House Conference and their circuit. They had two per year in Vancouver and it's a wonderful place to go. I I I met a lot of great people and I really like Vancouver. It was a lot of fun, things to do, great places to walk. Um but mainly to meet people and and
something happened, Jason, at that I I believe it was June 2007 meeting. There was a big hubbub uh in the press because the Vancouver customs at the airport blocked all the Bilderbergers from coming in to have one of their supposedly secret meetings. Must not have been secret. Why didn't they just fly into private airport and tell the the customs officials to go f you? Because they don't have power. and they were embarrassed. If you have great power, you're never embarrassed. You have all these things
pre-arranged. And if anyone gets in the way, you have them shot or you have them demoted and kicked off the force. So why were the Bilterburgers Bilderberers embarrassed in June of 2007? Because they don't have power. So back to the agenda. Um, I don't think the Bilderbergers with, you know, Schmidt of Google and, uh, other corporate representatives, I don't think they have the power to install cashless society, digital currency. I No, that's a central bank function. So, I don't
know what their agenda was except for the same old same old laced viruses to kill people. chemtrails to kill people, GMO foods to force people into sterility, contaminating water systems through fracking, and other agenda 21 items. So that's what I think the builder berger's agenda is. all the implementation execution of Agenda 21 and the global extermination. You're a Okay. Okay. The level in the US society is running in my opinion at 80 to 90%. Yeah, I would agree with that. Have you
seen the Mark Dice videos where he asked people if they want to either have a bar of chocolate or a 100 ounce bar of silver? Or he's asking people on the beach if they know what the capital of the United States is and people can't even name it's Washington DC. I [laughter] I saw the I saw the first one um and I I remember some of the responses in detail from the people who who did not want the the bar of of silver. One said, "No, I I I wouldn't it wouldn't have any value. I wouldn't know
what to do with it. It's not worth anything." they they're not even clear on what it's worth. Uh this is the society that we're dealing with. And you know, when when you talk to to people who had a a real good uh what's the word? Service record for say World War II in a a noble war. Of course, you could argue against that if if you wanted to get into the raw details, but is this the country? And and are these the morons that soldiers died to protect our freedom for? No, not at all. I I did I would not lift
a rifle and join the military in order to protect people who didn't know what capital was, didn't know what inflation was, didn't know what fashion. >> But if you do ask them what the sports [laughter] But but if Yep. But if you do ask them what the sports cor scores are or who Khloe Kardashian is dating now, I bet you they would know every single detail. >> Well, they they'd know a lot of details. I I remember there was a different video to expose the mor level of our
society. And uh what they did was they asked some finance questions like who were the two opponents during the US Civil War? Oh, that's a beautiful question. And most people did not know what it was. But then they went straight to other questions like uh you know who's Snoop Doggy Dog or you know or you know Khloe Kardashian [laughter] AND YOU KNOW QUESTIONS LIKE THAT about the pop culture and it was amazing that they had like over a 90% correct record for the pop culture and they had under a
under a 10% correct record for the important questions of US history. [clears throat] Oh, it's it's it's shameful. I mean, I I'm embarrassed sometimes. I I got into a big hub uh in in I remember it was like yesterday. I think it was uh I think it was oh gosh, October of 2007 in Toronto where I closed off a speech by saying, you know, it's so embarrassing nowadays. It's embarrassing to be an American. It's embarrassing to try to defend the stupidity that's out there, the ignorance that's out there.
They don't know what money is. They don't know anything about what's going on in economics. They they couldn't even refute the the price inflation statistics. They they they march off to war. There's no war that they find uh distasteful anymore. And and a oh gosh, I can't think of his name, but some idiot was uh following up with me and and he misqued me. And we got into a real big tiff where I was so angry that I brought in the manager to the Cambridge House entire conference and I
said, "Would you put a leash on this idiot?" And and they did. Uh because he misqued me in front of a crowd. So >> now now Jim, I want to transition now and ask you about Brazil. We have the Olympics coming up, the summer Olympics in Brazil, which is, you know, a I think Brazil is shaping up to be a giant disaster and it's going to be on public TV, public display with the protests and things like that. Uh why do you think all these things are happening at once to Brazil uh where you know the
president is undergoing impeachment, Petro is in problems. We have the Zika virus and now the Olympics is is going on. Do you think then that there's maybe an agenda behind this with the US government or the Chinese looking to go in there and buy up the mining assets or the oil assets of Petra Bros pretty cheap? >> I think it's mostly about the the oil assets, but it it's more than just that. I got to be careful what I say. Um it it happens to be unfortunately coincidental with the Olympics, but two years ago
there was a very strong opposition candidate that the Americans did not like. His name was Eduardo Kempo and he unfortunately died in a small plane crash and in the last 5 minutes was pulled off. This is a telltale telltale signal of murder at high level. Uh so the pro brass contracts are on the table. Until a month ago, I was of the position, of the opinion that they were going to go almost exclusively to China and Russia for development. Now, I think it's much more likely that the Western Seven Sisters will take
control and China and Russia will get maybe nothing. They might get one item in order for the West to claim that China and Russia were not shut out completely. In other words, to throw them a scrap and let them pick it up off the floor. Okay, there's a whole lot more going on than than just petro, although that is very big. The corruption in in in Brazil is so complete, widespread, deep, broad, pervasive. It's all through their police forces. It it's through most of their companies. We get a lot of attention
given to Chavez and the National Oil Company of Venezuela. But the same sorts of things were going on with Petro Brass with sweetheart deals with people without any engineering background in high positions without much of any uh plow back into capital investment maintenance etc. And and what they did was they they gutted the pig and now the pig is for sale. And what the what the foreigners are doing is saying, "Get the pig off the table. We don't want all that mess in the way. We just want these
undeveloped projects in what they call the deep salts under huge layers of of salty structures in the ocean and not at great depths. I'm hearing I'm hearing like 200 mters. We're not talking about a mile and a half deep." So the when it's not real deep, it's not real expensive. But when you got to penetrate the salts, it it adds to some of the cost. It's it's not as bad as going through rock. Okay. There's a lot more going on there. [snorts] There there's
there's there's there's some conflicts over bonds and I don't want to discuss more because I'm still trying to gather some information and I'm wondering how [snorts] much of it is confidential that that cannot be mentioned. But uh just take a look at the central banker there and you find an Israeli born guy. Take a look at Kiev in Ukraine and you see a lot of Israelis in certain posts. And then ask yourself the question, who did it? Yeah, Jim. I I think the Western uh investment banks either in Europe or the
US, they loaded the Petro Bronze balance sheet with lots of debt when the oil price was high. I think they took on over hundred billion dollars worth of debt and they didn't even have that much oil production. So this was all you know drilling on debt for future oil supply that you know the oil production had to come online at a certain price just to pay the debt back. Things got so crazy at one point at the end of 2014 when the oil price had just started to drop that their debt to equity ratio for Petro was
7:1. So 14% drop in their equity and they were totally insolvent then. Uh things were that crazy at one point. Uh, and I've also heard, you know, from, uh, there's videos out there of Brazilians who are being interviewed who are libertarians. By the way, Brazil has a rapidly growing libertarian population. I think that's great that people on the streets in Brazil are starting to wake up to what's really going on. But, uh, it's it's really interesting. One of the U persons who was interviewed uh, in in
Rio in front of the Petror building by Luke Rodomsky, he actually said that Petro is insolvent. Everyone in Brazil knows it. and you know, Wall Street's just trying to keep them alive to figure out how to chop up the >> Well, that that's clearly true. Um, you know, there's an overarching issue here. I I like to start at the top and work down when it comes to the power structure. Brazil is in the American hemisphere. So, Washington and Langley have a very strong vested interest not
to allow Russia and China to gain a tremendous foothold. The fact that the bricks had Brazil as a key element was a grand insult to the once powerful Washington crew. So they killed Campo. They funded the anti-corruption campaign. Langley has spent quite a bit of money and placed quite a few assets, namely people, in the picture in Brazil in order to bring this about. And they've got a success. But it's not over because what remains is an impeachment process. Dilma is not dead and she's not
even dead politically. She's challenged. Remember back in the Watergate days, people used to think again out of deep ignorance that if if Nixon were impeached, he's gone. No, he's challenged. It's like indicted. Impeached means indictment, people. Dilma is not dead. She's being challenged through indictments on the car wash controversy, which is uh turning out to be a lot bigger than many people expected. Uh it it's possible that Dilma will have a counter measure soon, that maybe some
kind of nationalist group will come up and push out foreign elements. There European, British, and American elements in there running the anti-corruption campaign. If they can be isolated and identified, the nationalists in Brazil might have a counter push. I don't know. I don't know. But, you know, just keep in mind like Ecuador and Panama, this is US backyard. They're not going to let it go easily. They're not going to let the Panameanians create a gold currency unless the Americans run it.
>> Yeah, I think it's a I think it's a fuster clock, Jim, in Brazil right now. And, you know, there's going to be a lot of protests and riots. I don't know if the TV cameras are going to show them during the Olympics, but we're going to hear like secondhand accounts or Twitter videos. We're going to see on social media that there's going to be a lot of people marching in the streets uh demanding end to corruption thing. I feel bad for the Brazilians, you know, who didn't want any any of this uh stuff
to happen. and you know misallocation of capital with the Olympics with so much corruption and government uh unbidded contracts and stuff that went to the constru corrupt construction companies there. >> Yeah. Well, you know, there's another angle to this. Uh if you're going to mention the Fuster Clucks, then I'm going to mention the cunning linguists. [laughter] Okay, I've got some sick friends who go to Medigene Colombia and who go to Rio de Janeiro and and they're to be sure
rather sick people with with really only one or two dimensions operating in their lives. They told me that a year ago all the brothel in Rio de Janeiro were kicked out and shut down. They were all told, "You must go 20 miles out into the suburbs." And the reason giving given to them was, "We're going to start this process early, a year and a half, in order to clean up the atmosphere for the showcase globally of the summer Olympics." Okay. Now, do you really think they're going to be demonstrations
close to the Olympic activities and competition? No, I don't. Do you think we're going to have a televised event where like say a marathon is going through the streets and we're going to see a bunch of people? Okay, that's my opinion. The Olympics will go on and almost without if there's a hitch in the Olympics, it's going to be from a screw up from construction where a venue is not quite ready. Now Jim, I want to stay in the bricks, but I want to ask you about China. China
is now issuing R&B bonds from either the BRICS Bank or the Asian Infrastructure Investment Bank. In your opinion, what does this mean for the global financial system and the petro dollar? >> Oh golly. Uh it it means a lot. Um first of all, let's define the IMF special drawing rights. Um it's a basket of currencies. It's dominated by the dollar and in second place is the euro and then you have the British pound and the Japanese yen. So the issuance of Chinese R&B bonds is going to use they're going to
use after issuance they're going to use the fact that the IMF has included with an agreement and there was a battle for this. Oh it was really quite entertaining. I think it was May of 2015, the IMF said, "No, you guys in China are not ready yet." So, China went out and sold $250 billion of Treasury bonds, forced the Fed to soak it all up. No effect on the bond yield. Isn't that a miracle? But the Americans heard the message. So right away, I think it was last October or so, the Chinese R&B was
gained admittance into the IMF currency basket called the SDR. Okay, that I think is is the big event that is the main event on the global financial stage as it comes as it relates to the R&B because grants are given from IMF funds according to the weights and and percentages of the IMF SDR basket. So the banks, the major banks of the world that do business and and and uh carry out the executed plans for the IMF, they're going to have to hold some Chinese R&B bonds. And and what are they going to get rid of in
order to make room for the R&B bond? They're going to get rid of dollars. Uh I I haven't I I did I did see the actual percentages and I noticed that the biggest decline the biggest drop from before and after was with the dollar. Uh others had a drop. The yen change was the smallest. So don't expect them to drop Japanese government bonds in favor of Chinese R&B bond. Expect them to drop treasuries and euro bonds, mostly treasuries. So that's a ticket in the door for China. Now add to that the
other very significant development for China and its R&B internationalization project and that's the the R&B centers, the R&B hubs as they're called. [snorts] And right now there are a number of different uh hub trading centers, but they're really only two giant R&B hubs. and that's Frankfurt, Germany and London, England. And a hub is defined as a center where there's extensive currency trading in R&B and extensive R&B based bond trading. In other words,
take for instance uh Italy. Uh they haven't done this yet, but I think they're going to do it and it's going to be a decent splash. I think Spain already has some R&B denominated debt for the Spanish government debt. That's quite unique. Italy is going soon to say in London issue a big swath of say 10 billion dollars worth of of euro bonds except they're going to be denominated in Chinese R&B. Now what's what's so special about that? Well, Italian and European investors
could buy into and invest in these Italian government debt bonds and not have any currency risk except to the Chinese R&B. And if the Chinese R&B goes up, their investment goes up. So for two sides, European investors will like the Italian R&B bonds. They will like the fact that if the euro goes down, which I expect that it will, they're not going to be at risk. They also like the fact that if if China makes some positive gestures toward a gold currency or even just has a rebound from some of the the
recent problems and the R&B goes up, they're going to be benefiting on their bond issue bond purchase investments. So, I think we're we're seeing a lot of other things, Jason, that that are opening the doors for the R&B. Uh, one is accounting standards that were made more firm and and the Chinese conformed with some international standards because after the May 2015 rejection of the R&B with the IMF basket, China said, "What do you need? What do you require?" And they were told well you need the
standards conformity and you also need more capital accounts just for instance. So the Colombian peso can be converted directly to the Chinese R&B without an intermediate step like the dollar. Okay. So, China in those four months from May to September, they fulfilled the obligations and forced the issue by the quarter of a trillion dollars worth of Treasury bonds that they dumped. So, we're seeing a lot of steps by China and now the most recent steps have been the Shanghai gold steps for the the gold
futures contract and the the gold price fix. So, I think we're going to see uh a lot of movement and and the main disappointment that I've had with the R&B in the last year or so is is that it's not really making very big increased strides in two areas. It's not making big strides upward in the percentage of trade payments being settled in R&B and it's not making big strides in the increase of global banking reserves that are R&B based. And one reason for the latter is that the
Chinese don't have a lot of international debt floating around. The United States has a huge advantage by being $18 trillion bankrupt. H it's so it's so paradoxical, Jason. One of the big problems for Germany right now is THEY JUST DON'T HAVE ENOUGH DEBT, so their interest rates are falling. THEY DON'T HAVE ADEQUATE SUPPLY OF TOILET paper debt, so their bond yields are going down. Wow. It's upside down. Everything is upside down in the global financial structure. The weakest nations
are in control [snorts] and the weaken weakest nations in their currency controls are dominant because they have the most debt out there. Wow. >> Yeah. It's it's really dystopian because we had a point where the dollar index was very strong and the strong dollar was hurting the emerging markets because the commodities prices had fallen and they owed so much dollar denominated debt. So, if the dollar had stayed strong and the commodity prices hadn't rebounded, we were going to see a
massive amount of defaults very clo uh very soon. So, we were very close to that. I think that's why we've kind of had a financial engineering here of some of these commodity price rally. I think the Wall Street banks knew the defaults were coming unless there was a rally in commodities. >> They're going to be defaults anyway. It's too much debt and you you can't have a 10% rebound after a 50% decline and call that a recovery. That that's that's crazy. It's like a baseball game.
You're you're 10 runs behind. You pick up a couple runs in the seventh inning and you say, "Well, we're in good shape now." No, you're down 10 to2. It's too little too late. This is this is one of the big surprises of for me in the last year is that we haven't had a single emerging market nation with a default on their debt. So, I think what's happening, Jason, is we're seeing the Federal Reserve and the Euro Central Bank come in there with bridge loans to
pay their interest payments and prevent the defaults just like they're doing with some of the energy companies. >> Yeah, I think that's a very plausible scenario. I would also add to this commodities price rally. I don't think it's on the global economy getting any better. So, I think it's mostly this commodities price rally either on financial engineering or in devalued currencies factoring in then higher commodity prices. So when the currencies uh you know fall, the dollar index falls
and these other currencies fall, the commodity prices are going to have to go higher whether the global economy is doing well or not. Well, maybe. But some of the this the price supports for these commodity rallies have been propaganda reports about well there's just there's not as much gas supply and oil supply as we thought. But what they're not doing is counting the uh 600 tankers floating around Singapore loaded with oil. Yeah. >> Okay. You mean you you can always come up with lie if you control the press.
You can always come up with lies >> and will support the syndicate position. >> And there are a lot of good creative writers involved in that. I have a friend who was who uh two years ago he he loves to tell the story. He was doing a zipline canopy tour, which is like a a cable line at at uh you know 30 40 feet off the ground where you zip from one tree to another and you you land on a platform and then you take a rest and 10 people arrive and then then you go to the next platform and you do 15 or 20 of
them. You call it a day. It's a tremendous thrill. One of the guy on his zipline tours was a German fellow and he asked the German guy, "What what do you what do you do for work back in German?" He said, "Well, I'm a propaganda writer." So my friend said my [laughter] friend said, "Right, >> what the hell is that?" And he said, "Well, we write propaganda like like against Russia and and in favor of Ukraine and and and we just write whatever we're told by Langley." Oh,
okay. That's interesting, you little [clears throat] I I remember another journalist coming out and saying that too in Europe. Uh I don't know if it was the same guy you're referring to, but I remember uh there was a big deal like a month or so ago about this on Zero Hedge. Some guy actually like went on a rant. >> Well, that wasn't that wasn't my story. My story is over a year old and and uh my my friend did not go public with it. He I did uh and and without any details
or names or office function or whatever in Germany. No, it Germany is in the process of flipping east, Jason, and it's going to be an extraordinary challenge because all the security agencies are run by Langley and and the chancellor's office is run by Washington and Germany is essentially a slave state. Uh they don't like it. They're a proud people and they're coming to realize how much Washington has put in their hooks in in their own necks and their backs and their backsides.
So, interesting times. Now, Jim, I want to ask you also about uh a Bloomberg story I saw last month. They actually reported this in the mainstream press. I was surprised. Uh there was an article in Bloomberg like I said that China wants to have more control over how all commodities are priced since China is the largest buyer of many commodities. Do you think uh China is doing a step-by-step process to uh castrate the LBMA in the comX? >> Well, sure. But again, it's a very long process and if you want to control
something that has say five arenas and three layers and 100 players going to take a long time. I mean, you you can't say, "Well, the US dollar system is going to be disrupted, and China is just going to install the R&B system." They got 40 years. They got five, seven platforms. They got some funk, the World Bank. They They've ripped the guts out of the IMF. The IMF, what do they do anymore except, you know, arrange for slush funds for uh the Greek debt and the Ukraine debt? And
then we learn later that the funds were all stolen. What the hell does the IMF do anymore? They issue reports. I heard Christopher Lagarde was arrested a few weeks ago for for grand lararseny and fraud. And I know I know he likes to go by the name of Christine, but I pref I prefer the name Christopher because that, you know, is consistent with his childhood. Um so you know there there's a lot going on and and it's going to take a long long time but the Chinese have made a lot of progress. They have the new
development bank uh which I believe is going to be a gold central bank for converting western primarily treasury bond debt paper into gold bullion. I think the new development bank is going to be the central bank for gold that is the the the backbone for gold trade notes. The Chinese have set up the Asian infrastructure bank uh which serves pretty much the World Bank and IMF function. It's being funded now. I think it has a hundred billion and and they they're announcing all kinds of infrastructure projects. Why isn't the
United States, why isn't England, why isn't Western Europe involved in construction projects, in bridge, railroad, port facilities? Instead, all we hear about is military contracts. All we ever hear is about, you know, signing up another player for a war. All we hear is a new war in Mali to steal their gold to replenish the German repatriation theft. Why doesn't the west engage in capitalism? Because the new development bank, they now have a very important piece, Jason, called the Chinese interbank payment
system, which will rival the Swift. So, if China wants to make a payment with Iran, they don't need to deal with the Swift blockage and the sanctions. We're going to have a new generation here of blowback from the 20 years of abused sanctions that the United States has done and all the repercussions and all the resentment and all the victim nations are going to get together and they're going to isolate the United States. That is the big risk in the next couple of years for the United States. isolation,
declaration of rogue nation, accusations of war crimes, accusations of of financial hegman and financial fraud at a billion and trillion dollar level and the US is going to get quarantined while they're forced to create the year, the creation of its own domestic currency. And then the rubber hits the road with the $40 billion monthly trade deficit which comes to about $500 billion a year. Half a trillion dollar trade deficit. That coupled with an [snorts] independent domestic currency, Jason, is
going to bring about colonization of the United States and a loss of its own sovereignty. Because you cannot run a half a trillion dollar trade deficit in a fair currency environment without losing half a trillion dollars of assets every year to its investor base, which is going to be predominantly not American. We got some difficult times coming. >> Yep. I I think the world's going to be completely different the next couple decades than it is right now. Uh we've seen news stories come out that Chinese
large Chinese gold miners are going to go on a buying spree soon and start buying up assets because we know they've been just hoovering up the physical gold that they've been importing, you know, from Swiss gold refiners and from Hong uh etc. >> Well, yeah. Add add in the uh the Rand refinery. Here's a little paradox question for you. If the South African mines are down 60 to 70% in output in just the last 10 to 15 years , how come the Rand refinery has tripled its output? [laughter]
>> US has been exporting gold, Europe has been exporting gold to them. No, it's it's it's well maybe some uh the Swiss and the British might have sent some for recasting, but most of the recasting is done in the several gigantic refineries of Switzerland. They don't need external help in Switzerland. They've got all kind of of refineries. They have some on the Italian border that caught a lot of interest 20 years ago. Um, I think the Swiss have three or four giant refineries, but the South African
refinery, the Rand refinery, it specializes in smuggled African gold. Just think that the the distress region of Congo, uh, Zimbabwe, Zire, they're all producing gold. It all goes to South Africa, Union of South Africa, the Rand Ref refinery. Just for people to understand a little bit more about the size of these countries involved with with smuggling and production of oil uh of of of gold ore. Um, Congo has roughly equal the land mass of all of Western Europe. That's a staggering statistic.
Now, Jim, do you think there's going to be uh supply problems uh for physical silver in large orders? Now, I'm not talking about, you know, small little orders of American silver eagles. I'm talking tonnage. If we have a lot of these uh copper miners that produce silver as a byproduct, if these guys start going bankrupt, do you think we're that's going to cause an enormous problem in silver supply then? >> Oh, wait. I think it already is. Uh the silver, if you want to if you want to
know what's going on with copper, just follow the Chile uh economy and and they're hurting. So, when I heard the Chile economy was hurting, my my first thought was, well, Latin America is hurting. But my second thought was what about all that byproduct silver? So it it's it's a very big issue, the the byproduct silver. But uh you know there there's a a phenomenon that's been the case now for two years. I I'm not going to be able to quote actual figures. I don't have them in front of my face. Um,
if you take a look at just the demand for American Eagle silver coins and Canadian maple silver coins, the demand is bigger than all the US and Canadian silver mine output. There's a deficit just from coins. Now add on all the other applications that we know of. Photography, medicine, um, electronics, pressuretreated lumber is one of the new ones that I find interesting. Antiseptics. Okay. There's a tremendous amount of demand for silver outside of investment demand for for bars and coins. Now, when you look at the demand
for just the coins from Canada and the United States, you're not including the bars, thousand ounce bars, 1 kilogram bars, okay? Just from the coins, there's a deficit. We're going to see an explosion in the silver price. If we don't see I can't put time statements on this time limits but in the next several months or two years if we don't see something close to 70 to $80 silver I'd be absolutely shocked. So when people tell me Jim which mining stocks do you like? I say I don't know.
I'm not interested in mining stocks. Do you know how many projects they're going to have with a 20% stock share dilution? Do you know what their options are for executives? But I do know this. You're likely to see a five-fold gain in the silver price the next couple of years. Does that interest you or would you rather have it a stock? Do you only feel good with the conquest of examining a bunch of alternatives and coming up with the winning stocks like you do a horse at Pimico and and then they go, "Wow, you make a
good point, but you know, Jim, buying a silver bar is kind of boring." Okay, there's your problem, Mr. Investor. You're looking for juice. You're looking for a big challenge. Instead, go with silver. weight them out. Whatever gains they have for gold, expect double or triple perhaps the gain to be for silver. Look for the gold silver ratio to drop down to 25 or 30 to1. And if certain negotiations take place, it's going to happen with some success. It's going to happen maybe a lot sooner
than I thought. So there's a lot going on here, a lot of moving parts, Jason. And one of the problems in today's um uh financial investment scenario, you know, observation and challenges in all the arenas and the pro, one of the big problems is that we really don't know where the important conferences and negotiations are taking place. We don't know who the parties are. We don't know what their roles are. We don't know who they represent. We don't know whether popular representation like say uh
Senate leaders, Senate Finance Committee leaders, although they pretty much work for Wall Street. Uh the DoddFrank federal uh what financial regulatory bill proved that they work for Goldman Sachs, JP [clears throat] Morgan, and Cityroup. No ifs, ands, or buts about that question. Dear listeners, I was able to upload a portion of this interview which lasted approximately 2 hours and 6 minutes due to YouTube rules. You can watch it in its entirety from the link in the description. Now, some brief
information about Jim Willie will be given. Dr. Jim Willie is an analyst recognized in international finance and economic circles for his distinctive viewpoints. Commonly known simply as Dr. Jim Willie. He is often said to hold a doctorate in an economics related field, though precise details about his academic record are not widely documented. He is best known for his work shared through his website Golden Jackass, as well as various online interviews and podcasts. His main areas of focus include fluctuations in the
financial markets, central bank policies, currency trends, and particularly the future of gold and silver. A defining trait of Dr. for Willy's commentary is his emphasis on precious metals, gold and silver, as critical pillars of the global monetary system. He argues that modern fiat currencies, especially the US dollar, suffer from structural problems stemming from central bank policies and the complex nature of international finance. As a result, he foresees a scenario in which the dollar weakens while gold and
silver strengthen. Dr. Willie is considered by many to be an unconventional financial commentator. His analyses often diverge from mainstream economic narratives, occasionally integrating views that some label as conspiracy theories. Yet, this alternative perspective has resonated with a community of followers who value his exploration of issues they believe are overlooked by mainstream media and big financial institutions. Two, the golden jackass platform and content structure. Dr. Willie disseminates most
of his research and opinions via his personal website, Golden Jackass. The unusual name is meant to highlight his unfiltered approach. He describes himself as presenting blunt truths without fear of reprisal. Many of the articles and reports he publishes on this site revolve around major geopolitical and macroeconomic developments. Typical topics on golden jackass include gold and silver market analyses. Willie is known for predicting significant spikes in gold and silver prices. He argues that continuous
monetary expansion by central banks will ultimately raise the value of precious metals while eroding confidence in fiat currencies. Critiques of the global dollar system. Willie believes the US dollar status as the dominant reserve currency will eventually weaken. He often cites the efforts of countries like China and Russia in developing alternative payment systems and goldbacked arrangements. Warnings of financial crisis. Willie frequently points to risks that he says mainstream economists ignore, such as the
overextension of credit, large-scale derivatives, and the excessive liquidity central banks have provided since past economic downturns. Geopolitical events and their economic effects. His analysis goes beyond pure economics to examine how geopolitics impacts commodity prices, trade flows, and especially the dollar standing in international markets. Some content on Golden Jackass is available only to subscribers. This paid model supports his independent research, which he claims allows him to investigate topics not widely covered by
mainstream financial analysts. Three, economic analysis philosophy and methods. Dr. Jim Willy's approach to economic commentary blends macroeconomic data with monetary and geopolitical factors, resulting in what many consider a heterodox style. Key aspects of his method include historical cycle analysis. He frequently references major financial crises such as the 1929 Great Depression and the 1971 end of the gold standard to draw parallels with current policy missteps. He views economic cycles as influenced by political and
social factors, not just by raw data, debt, and credit examination. Modern finance, according to Willie, is excessively reliant on debt. He emphasizes growing global debt levels and warns that they are unsustainable. Central bank balance sheets and leverage banking practices are frequent targets of his critiques. Comparative currency analysis. Willie tracks how key currencies, the US dollar, the euro, the Chinese yuan, and the Russian ruble compete against each other. He underscores the role of gold reserves
and potential gold backing as crucial in these contests. Geopolitical context. Willie treats diplomacy, strategic alliances, and military advantages as integral to economic outcomes. He sees global finance and politics as intertwined, asserting that a policy shift in one arena reverberates throughout the other. Reliance on alternative information sources. Willie occasionally cites unverified or non- mainstream information, claiming that official data and media may conceal the full story. Critics argue that this
tendency can lead to the spread of unsubstantiated conspiracy theories. Four, main core perspective, transformation of the monetary system. One of Dr. Willy's central thesis is that the global monetary system is undergoing a profound realignment. He believes that the post Bretonwood's world order in which the US dollar has enjoyed near hegemonic status, is coming to an end or is on the brink of doing so. As central banks keep expanding their monetary bases, he expects rising inflation to push individuals and
institutions toward tangible assets like precious metals. At the heart of this view is the idea of the coming end of the dollar or the demise of the petro dollar system. According to Willie, the following trends are evidence of this shift. Countries increasing gold reserves. Emerging markets including China, Russia, and Turkey have been accumulating gold, potentially to establish alternative payment frameworks involving gold. Petroleum trade in currencies other than the dollar. Willie cites China's moves to pay for oil in
yuan as a direct challenge to the dollar's monopoly in global energy markets. Alternative payment systems, new networks to replace or supplement Swift, such as China CIP, could undermine the dollar's role in global trade and lessen its power as a vehicle of economic sanctions. Willie portrays these developments as gradual with many going under reportported. The eventual result, in his view, would be a breakdown of the dollarcentric system that would profoundly disrupt financial institutions and national economies
while boosting the position of gold, silver, and other real assets. Five, the role of precious metals, gold, and silver forecasts. Dr. Willie is particularly noted for his commentary on gold and silver. He argues that these metals have served as money throughout history and assume the role of safe havens in times of crisis. While central banks can expand the money supply almost limitlessly, physical supplies of gold and silver remain finite, favoring these metals in the long run. He often alleges
that gold and silver prices are manipulated or suppressed. According to this viewpoint, major banks use large volumes of paper gold futures contracts derivatives to depress spot prices as letting gold prices rise organically would highlight fiat currency's weaknesses. Willie also applies this argument to silver, contending that silver is likewise undervalued but manipulated. Nevertheless, Willie believes that such price manipulation cannot persist indefinitely. A surge in physical demand, he argues, will sooner
or later expose discrepancies in the paper market, leading to a dramatic revaluation of both gold and silver. In such a scenario, gold could rise well into the thousands of dollars per ounce, while silver might break into tripledigit territory, an outcome that could shake the entire global financial system. Six, the US economy and Federal Reserve criticisms. Given that Dr. Jim Willie is primarily based in the United States. He frequently critiques the Federal Reserve Fed. He contends that the Fed's policies of quantitative
easing and prolonged low interest rates have masked deeper problems while magnifying systemic risks. In his view, these policies only offer temporary fixes without addressing underlying debt and leverage issues. His key points of contention include unback money creation. Willie argues that the Fed's expansionary practices are disconnected from real economic productivity. Over time, such policies lead to higher inflation, even if official statistics do not fully capture it. Banking system vulnerabilities. According to Willie,
large US banks are more fragile than they appear due to their exposure to highly leveraged derivative products. Wealth disparity. He contends that Federal Reserve policies inflate asset markets, stocks, real estate, mainly benefiting the wealthy. While rising costs of living erode the purchasing power of lower and middle inome groups, external debt and trade imbalances. Willie points to America's escalating national debt and trade deficits, predicting they will reduce trust in US Treasury bonds over time and threaten
the dollar's reserve status. Willy's criticisms draw from independent research and alternative media sources, which he sees as less prone to presenting sanitized official narratives. While his supporters view him as exposing under reportported truths, critics accuse him of selective data usage or undue alarmism. Seven, geopolitical analyses, East West economic rivalry. Dr. Jim Willie incorporates a geopolitical lens into much of his economic commentary. He posits that the world's financial and
political power is shifting from Western nations, particularly the United States and the European Union toward eastern powers like China and Russia. This shift in Willy's view involves energy resources, major trade corridors, and the struggle for technological advantage. Key points he often raises include the belt and road initiative. Willie believes China's massive infrastructure project will reshape global trade routes, reduce reliance on the dollar, and accelerate Eurasian economic growth. Goldbacked currency
deals. He speculates about the possibility of China and Russia jointly introducing a goldbacked digital currency or forming a trade block that circumvents the dollar. Energy wars. Willie states that which currencies are used to settle oil and natural gas contracts is vital. if Russia shifts to selling energy in rubles or yuan or in exchange for gold. He sees this as a direct threat to the petro dollar system, diplomatic and military tensions. He asserts that international tensions and conflicts can hasten
financial decoupling leading to regional economic blocks and alternative payment networks that erode the dollar's reach. Willie often cites Russian, Chinese, or other non-western media sources to bolster his arguments, which tend to frame developments as part of a broader east-west struggle. While mainstream sources may find these views too stark or speculative, Willie supporters regard them as a clearer portrayal of how global power balances are evolving. Eight supporters and critics in the
realm of economics and finance. Dr. Jim Willie is considered an alternative analyst rather than part of the mainstream. This status has earned him a committed following while also drawing criticism from established economists. Supporters belief in expose of hidden realities. They see Willy's commentary as a revelation of financial manipulations overlooked by mainstream channels. Precious metals enthusiasts, investors bullish on gold and silver tend to resonate with Willy's stance on the eventual surge in precious metal
values. Those interested in conspiracy theories. Willy's emphasis on secret deals and under the radar developments appeals to people who suspect official narratives are incomplete. Critics accusations of excessive speculation. Critics argue that many of Willy's forecasts have either failed to materialize or lack solid backing. Disconnected from market realities. Some economists see Willy's views as too extreme, diverging significantly from conventional market indicators. Promotion of conspiracy theories.
Central to their critique is that Willie relies heavily on data or rumors that mainstream economics deem unverified. Dr. Jim Willie often counters these critiques by stating that time will prove him right. His followers tend to regard short-term inaccuracies as less important than the larger long-term trends he highlights. Nine major themes in publications and interviews. Dr. Jim Willie appears regularly on podcasts, in online interviews, and through articles in which he reasserts or refineses his
views about global finance. Recurring themes include monetary policies and the prospect of inevitable collapse. Willie often labels the ongoing wave of central bank easing as unsustainable and believes it will lead to an unprecedented debt bubble, global trade and the dollar standing. He focuses on the likelihood of the dollar losing its primacy in oil transactions. In his view, geopolitical powerhouses like China and Russia are accelerating this shift. Manipulation in metal markets. According to Willie, the only reason
gold and silver are not trading at much higher levels is price suppression, which he believes will eventually fail. Investment suggestions. While stopping short of giving direct investment advice, Willie regularly emphasizes the value of holding physical gold and silver. He sometimes comments on real estate, cryptocurrencies, or other commodities, but his primary stance remains consistent. Tangible assets are a hedge against potential financial turmoil. 10. Dr. Jim Willy's forecasts and their accuracy. Like many financial
commentators, Dr. Jim Willie has made various predictions over the years. While some have aligned partially with real outcomes, others have not materialized according to his expected timelines. Critics highlight inaccurate or postponed forecasts, especially concerning the swift collapse of the dollar or hyperinflation that did not occur as predicted. Willie and his followers attribute such delays to factors like ongoing market manipulation or new geopolitical agreements that slow down the anticipated shifts. They also
stress that his analyses revolve more around long-term structural issues than short-term market timing and that certain economic events might simply be unfolding later than initially expected. At the same time, supporters note that Willie accurately pointed out the continued expansion of central bank balance sheets and the trend of countries accumulating gold reserves. Whether these represent unique insights or broader trends also recognized by mainstream analysts is open to debate. 11. Conspiracy theories and critiques of
mainstream economics. Dr. Jim Willie sometimes embraces viewpoints described as conspiracy theories, such as allegations of covert arrangements among global banking elites or claims that certain financial institutions deliberately engineer crisis. These comments often lack direct support in official reports or academic literature, undermining their acceptance by mainstream experts. Nevertheless, Willy's core audience contends that the very absence of this information in major news outlets is evidence of
systematic cover-ups. This tension results in a polarized reception. While some commend him for tackling subjects that major economists avoid, others dismiss his arguments as relying on rumor or anecdotal evidence. 12. Building an audience and media strategy. Dr. Jim Willy's influence stems in large part from digital media. Rather than appearing frequently on television networks or in major newspapers, he has cultivated a following through. His website Golden Jackass. The subscription-based model allows him to
finance his research and post in-depth analyses without relying on traditional editorial norms. Podcasts and interviews. Alternative finance channels invite him to discuss his views, giving him a platform free from mainstream editorial constraints. Social media. Willie uses social media platforms to share shorter commentaries and link to his more extensive articles or interviews. This approach targets a niche yet dedicated audience, particularly those skeptical of mainstream financial narratives. Willy's
unconventional or controversial theories find an environment of fewer restrictions online, aligning with audiences seeking alternative takes on global economics. 13. Dr. Jim Willy's place in the financial world in mainstream banking circles or academia. Dr. Jim Willie is not widely cited. Instead, he operates as an independent commentator, an outsider who both intrigues and polarizes observers. Critics consider his warnings overly dire and his reliance on unofficial data problematic, but the financial turmoil
of previous crises has also made many investors more open to unconventional perspectives. Those who value his work stress how events like the 2008 financial crisis validated skepticism toward institutional analyses. Willy's arguments about the unsustainability of constant monetary easing and the precarious nature of the global debt burden echo broader concerns, though he often frames them more bluntly. Overall, Dr. Jim Willie sits at the intersection of alternative finance commentary and mainstream critique. While he has a
loyal core following, he is also subject to ongoing scrutiny by economists and analysts who question his methods and conclusions. 14. Conclusion and assessment. Dr. Jim Willie stands out in alternative finance circles through his strong critiques of central banks, fervent support for gold and silver, and emphasis on significant geopolitical realignments. His central premise is that the current global financial order, especially the dollar-based system, is unsustainable. According to Willie, everinccreasing debt and persistent
market manipulation will eventually trigger a major monetary crisis, one in which holders of real assets, particularly precious metals, will thrive. Yet, questions remain as to whether his most dramatic predictions will unfold precisely as he envisions and on what timeline. His track record has been mixed and skepticism about certain forecasts lingers. Supporters respond by emphasizing that Willy's perspective is best understood as a warning about underlying fragilities. Fragilityities that may require more
time to materialize or that might manifest in ways not easily predicted. Regardless of these debates, Dr. Jim Willie has established a definite niche. His analyses, whether embraced or doubted, compel audiences to consider alternative possibilities and deeper layers of the global financial system. For that reason, those who engage with Willy's writings often do so with a blend of caution and curiosity, recognizing that while his approach can veer into unconventional territory, it may also provide a valuable counterpoint
to mainstream narratives. If your priority right now is not chasing returns, but protecting what took decades to build, I've put together a private road map linked below. If your priority right now is not chasing returns, but protecting what took decades to build, I've put together a private road map linked below.
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