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 [Music] I'm Charlotte McLoud with investing news.com and here today with me is Brian London editor of gold newsletter and host of the New Orleans investment conference thank you so much for joining me online great to have you here always a pleasure Charlotte really good to be speaking with you and as I mentioned you are of course the host of the New Orleans investment conference which is coming up from November 1st to the 4th where we're going to begin today is getting an idea of what's going to be

happening at that event so I've attended multiple times in the past I'll be there this year it's always one that I look forward to and I was hoping you could tell us about the themes that you're planning to cover there this year and maybe talk about some highlights in terms of the speakers and panels that you think people should look out for yeah absolutely you know of course that the New Orleans conference is the oldest investment conference going today this is our 49th annual event and uh we're

known over the decades for bringing some of the top thinkers uh and uh uh thought leaders out there and analysts um to the event we always have a a blockbuster speaker roster and this year I think quite frankly it's our best ever we don't have some of the political big names celebrity names um because I've chosen in these really crucial times to focus more on the really valuable insightful thinkers out there we're going through extraordinary times and there have been some extraordinary

people that have risen to explain these times that we're in and we have just about every one of the top ones uh out there coming to New Orleans today um from a political standpoint I have Matt taibe who I think is the the most important journalist of Our Generation who's exposing all the government censorship efforts in a similar vein we have Constantin kizen who is has an incredible following around the world I urge people to Google his name he is the new upand cominging uh uh analyst and

commentator on the political scene out there and so we do that a lot and our event we we cover geopolitics which are very important right now as we're seeing around the world but we also cover economics macroeconomics and how they drive every asset class in that vein we have James Rickards uh Danielle de Martino boo George gamon Rick rule Dominic frisbee Brent Johnson we have Lynn Alden this year in person she rarely appears in person at these events so you'll be uh able to ask her your questions at uh

this year's New Orleans conference we have Dave colum Peter bookbar James stack Peter schi Jim UA Tabby Costa and the list goes on and on and on uh probably all of your favorite newsletter writers will be there uh covering the resource markets and uh their top Mining stock picks and in that on that note uh you know I think this is a really a crucial point in the markets in the mining and metals markets I think it's a generational opportunity I have not seen an opportunity like this since 1999 and

2000 in fact I think it's even better than what we saw back then because the metals prices are already fairly high and uh you know Golds near an all-time high yet the mining stocks don't reflect that so the turnaround uh when it comes and I think it's coming pretty soon is is going to be quite dramatic and and this is the turning point and the timing is perfect for New Orleans this year okay thanks for going over that as I said I'm really looking forward to it and I love how you

bring in familiar names but also every year there's new people there that you might not have heard of but you'll leave and you'll think wow that's somebody that I need to follow so let's let's talk a little bit more about the environment we're in for gold as we're heading toward this event so you're mentioning this is going into kind of a generational opportunity and that's something that we've talked before I looked back to our conversation last year and we're were talking again about

sentiment leading up to the event and one of the comments he made was it was looking about as washed out as it's ever looked and so how are we looking this year one year on where we're still kind of you know people are are not really feeling so hot about God well I don't know if we're still washed out or that we're washed out again we've had some uh some uh rallies in in the meantime and and of course they were cut short but we're back there we're back at what appears to be uh Rock Bottom I'll go

back to you know people uh when I mentioned before people ask me if I've ever seen a market like this and I say yeah the 2000 1999 when gold was selling for $252 an ounce uh the the mining stocks were naturally wiped out at that point in time in a took a couple of years of a an uptrend in the metals before the the junior mining Market really started to wake up uh These Days of Gold within 10% of an all-time high we're only going to need really a couple of weeks of a significant uptrend one

that's based on some kind of a fundamental Factor primarily monetary policy uh but if that happens a couple of weeks of rising Metals prices in this entire juning Junior mining sector will be just on fire uh and the key for investors is to pick up these values while you you can because that's coming for some reason at some point in time that we can't really pinpoint with any accuracy but we know it's coming and and most likely uh not very long from now okay and let's talk a little bit

about current events that are happening right now so over the past week or so we've seen War breakout and that does seem to have lent some support to the gold price but I know typically when we see these geopolitical events like that what I often he is that it can lend that support for a short period of time and often that tends to then Peter out as as a continuous so I want to get your opinion on what we have going on now and whether it will play out in that way or perhaps in in a different way yeah you

hear that often from me I know that because I've talked about that for many years I don't recommend that anyone buys gold when we have these little uh flareups around the world even these big flareups around the world because uh people people buy gold in those instances because they think it's going to go up and they'll be able to unload those Holdings onto somebody else at a higher price so it's not really a fundamental driver the real reason to buy gold is when you think that your

currency is going to lose its purchasing power at an accelerated Pace in the near future uh that's the primary driver that creates longstanding and and Powerful consistent bull markets and gold and that doesn't happen from a geopolitical uh flare up in this instance though it it may prove to be an exception because uh geopolitical conflicts and uncertainty and volatility could lead to a change in fed policy and as we know fed policy drives all the markets these days so it could have a more lasting fundamental effect

if it prompts if if if it forces the FED to either pause or pivot and you know I mentioned that we don't know exactly what or when the FED will be forced to Pivot what will cause that uh but we know there's lots of options out there and this may be the one that no one was really expecting that's usually the way it happens usually the the uh precipitating event is something we haven't really been talking about that that much and comes out of left field so this this violence uh in the mid East in

Israel would would fit that disc deson perfectly and it could be what actually uh uh causes The Dominoes to start to fall and and and uh persuades the FED that it has to lay off the markets right now and lay off the interest rate hikes can you can you go into a little bit more detail on why in this particular geopolitical event might prompt the FED to make that decision yeah what has the the risk of spreading you know it it has been planned and not to get too much into G political analysis um if it was not to

have longer term cascading consequences there seems to have been little rationale for so it seems like it's creating an uncertainty instability and perhaps an opening for other groups to pile on uh both in the region and elsewhere and against the Us and other world powers so um it could escalate very easily and I think that the big fear in in that sort of an event then you can bet the FED will not be raising rates going into something like that because you're talking about the the fiscal situation getting even uh more

dire you're talking about even more government spending um and uncertainty in the markets uh ironically the markets will respond very well the US Equity market for example even as this conflict came came in or was developing was actually Rising because of that very rationale that perhaps this will convince the FED to take its boot off the the necks of the markets and uh and the economy um so it everything is looking and waiting for what is the inevitable turning of the cycle which is the the ending of this

tightening cycle and uh and then going into uh a more accommodative monetary cycle which is of course due to a crisis that would be of the feds making can you talk a little bit more about the other factors that the FED is considering as it looks to make that next interest rate decision I know we got the latest CPI data quite recently so any other things that it might be having in mind yeah you know the the FED is looking at the economic data and seeing that the the US economy is much more resilient than

uh perhaps anyone expected but it's been very resilient the jobs Market uh is still very strong and buoyant and and the FED feels like it has to kill that off it's really um uh a sworn allegiance to the Phillips curve idea that you have to kill off the jobs Market to really uh depress inflationary pressures so they want at least a mild recession they want to uh to really get uh in the employment unemployment rate higher um and the the data is not really supporting that just yet if you dig a

little bit deeper into say the uh uh the September jobs number uh which came in double expectations you can see that a lot of that was due to either government jobs or second jobs a lot of people have two jobs or forced to have two jobs to pay their bills and you if you're forced to have two jobs and all of a sudden you have job supports that come in double estimates which is kind of what happened um so the FED is really just going full bar ahead and seemingly determined to keep rates higher for longer and that

reality finally sinking into the markets led to the weakness that we just saw recently especially in Gold um but there are a lot of things that could change and will eventually change the fed's mind and force them to Pivot a lot of op for what that precipitating factor could be you have the banking crisis could reignite at any point because the banks are in a lot of pain with these at these interest rate levels and have a lot of losses on their books that are not being reflected have not been uh forced to

Mark to Market um you have the recession that's that every indicator has been pointing toward that could develop at any point in time we've seen corporate bankruptcies in the US Spike to the highest levels in in over 13 years um who knows what it could be a lot of dominoes that could fall when you go from the loosest monetary policy in human history directly to one of the harshest tightening Cycles ever seen you're going to break a few things and we haven't seen anything break yet but

we've seen a lot of weakness um and a lot of things being stretched to the breaking point so really the markets I think in equities bonds obviously uh and gold are looking forward and kind of feeling forward and trying to price in whatever that is and whenever it comes but uh whether it's going to come I I don't think smart investors out there have any doubt that it will yeah you know it's clear as you've laid out there's all these different elements that are stacking up on one

side against the fend there and yet we do have we have Powell still saying you know as soft Landing is in reach we still could maybe have that happen you know I wonder if you can talk a little about that is there any scenario where we can have that where we somehow make it through and and they pull that off yeah I I think it's possible um you know anything is possible I've been in this these markets long enough to realize that uh they could do it but it would really be threading a needle and

and really contrary to everything we know uh the Fed typically overreacts uh when there's one impetus I mean they thought that inflation was transitory till it really got entrenched and and began to spike and then they had to react very harshly uh that is due to their overreaction postco uh would they they did everything they did in the great financial crisis of 2008 uh but they did it much to a multiple and much more quickly uh and that led to of course inflationary spikes and now they are overcompensating

in the other direction and they're going to create another crisis which they're going to have to respond to in a way that is much greater than what they did postco so this is what they do this is what happens and what we're seeing now is that the markets are starting to factor this in uh into their planning and that's why stocks and bonds and and uh the metals and commodities are really looking forward in trying to figure out when the the that next event will happen and preparing for it that's why gold is

down about 10% even though real interest rates have soared over the last year so the gold has has refused to fall to where it really should have in this kind of a tightening environment and that's because smart people don't want to be short gold for sure but they want to own it in this kind of a circumstance I think that that helps to explain a lot of what's going on there and another thing I was watching one of your recent interviews elsewhere and you said something that kind of helped me

understand what's going on with gold and I wondered if we could talk about it a little bit here essentially you had said the market doesn't pay attention to where the price of gold for example is right now it's looking at where it's going so I wondered if you could go into that a little bit more because that helped me kind of contextualize what's going on yeah all all investment markets are predictive mechanisms they're trying to price in the future uh in in particular in the junior Mining share

market that we're so engrossed in uh it is a momentum Market they they it gets it moves very quickly it'll give you whiplash uh when it goes from dead in the water as it is now to racing ahead so you need to be prepared for those kinds of things but no uh investors don't really care the markets don't really care what the level of prices are I mean you look at gold right now and a lot of mining companies can be very profitable but that's not reflected in their share price the the markets care

about where the price is going and right now it's stuck in the water it it's not going up uh it's going down a little bit as I said it it could have gone and and probably should have gone down much more so it it markets and investors are kind of looking that something nebulous is in the future they don't want to get rid of their gold but nobody's jumping into the market in buying yet because the market is not established a an uptrend now in this situation I think because Metals

prices are already high again we won't need much of an uptrend before investors start to jump on board it really depends on what was the the the reason for the uptrend what is the reason for the uptrend if it is a monetary issue if it is that it seems like the FED will imminently change its policy and start loosening again where it has done so then all bets are off and this Market will take off like a banshee to the upside but yeah they don't care where the price is it's just where it's

going and you know in terms of getting positioned I think when we spoke back in March you kind of said in terms of the mining stocks you had your position set you were you were basically all set with what you wanted I wondered if you are still feeling that way have you made adjustments over the last six months or so how is it looking for you yeah not a lot of adjustments because to adjust my portfolio which is fully allocated right now I'd have to create more liquidity by selling something and that's kind of the

trick box you get into In This Very very a liquid uh generally a liquid uh junior Mining share market and extremely a liquid at Market bottoms like we're at right now you know the old adage uh you're going to sell but to who uh you need somebody on the other side of that trade and there's no buying it's just there's nothing going to happen that's why some uh junior mining companies will release news and good news and their share price will go down because there's trading volume and it's an opening for

some people to get out um so I have not made that much or or any of an alteration in my uh allocations right now and it's frustrating because there are so many Bargains in this market right now companies with proven assets proven value real real value that offers you know four to five bagger Potential from these levels if the market just normalizes we not talking about anything that's you know a hair and Fire metals and Mining Market if it just gets to normal valuation levels these companies

will be trading four to five times their current uh market value so with that kind of an opportunity it's it's really a a buyer's market and uh uh you know you can you can almost take a shotgun approach but I advise people to really uh take a more selective approach find those companies that that have real assets and um and great management team and just accumulate them I've done all my accumulation personally and I'm waiting for the market to start rewarding me and it has been frustrating

uh but uh I think I think the the change is coming the the the turn upward is coming all right so as we've been talking about gold we can see that that's the sector where our move is coming but into the future I know you're also bullish on copper but again that's probably an even more long-term story so just as we finish up I wondered if there's any kind of happening right now is sectors that you would tell investors to take a look at yeah you know uranium is has come a long way uh the the junior

companies involved in in the uranium com uh Market have moved quite a bit uh but there's a lot behind that move and what we've seen uh are really two primary factors I mean the the demand story is the same but from a supply standpoint we've seen the uh emergence of the Sprat fiscal uranium trust and its buying on the market but also we've seen the removal of Russia from the market and not just as much in supplies but also in processing and and uh uh and that's created some bottlenecks in the market

as well and the utilities now are becoming a bit more motivated I don't think it's a sense of urgency or panic yet from the utilities to start stocking and uh and entering into contracts for supplies but they uh they're they're more active right now and I think that is going to grow as uh as these Supply pressures increase over the coming months and they will get increasingly more enthusiastic about buying in both the spot market and in contract levels and uh the supply uh supplies to meet

that demand just aren't there so they will have to be uh rectified the market will have to be balanced by significantly higher prices prices that will incentivise some of these projects to actually get into production uh so I think that's a market that's particularly exciting right now and still exciting okay I'm GNA leave it there for now because I'm sure we're going to talk again in about a month less than a month at the conference but I'll put it back to you and just let us know if there are

any more details we should know about the event where we can find more information yeah you can go to New Orleans conference.com you may have a special link as well uh where people can get the lowest possible price to attend if they register now they can save up to $400 from the registration fee uh really just as important our room block at the uh The Host Hotel the Hilton sitting right next to the river in New Orleans great location um that Ro block is a about to close so I urge anyone coming to reserve their rooms through our room

block uh immediately and get it while you can because it's extremely uh uh helpful and convenient to be in The Host Hotel and I think it's very important that you attend this event uh any serious investor uh to my mind can't afford not to be there uh and if you look at our our speaker roster if you go to our website uh New Orleans conference.com look at our speaker roster and Google some of the names you may not be familiar with you'll see why I why I'm so excited to have them there

it really is a a everything coming together a incredible speaker roster and a crucial time in the markets and uh I hope to see you there in New Orleans certainly I'm looking forward to it as I said it'll be a great event and I'll leave the details in the video description for people who would like to learn more and hopefully register so thank thank you very much to for coming to tell us about it and and what's going on in the markets right now this is really great thank you Charlotte a great

uh great to talk with you as always of course and once again I'm Charlotte McLoud with investing.com and this is Brian London with gold newsletter thank you for watching if you like this video make sure you subscribe to our Channel we'd also love to hear your thoughts so leave us a comment below we'll see you next time [Music]