[Music] [Music] I'm Charlotte McLoud with investing.com and here today with me is Jeff Clark medalist and whing Analyst at theold advisor.com thank you so much for joining me great to see great to be back with you Charlotte good to see you yeah we're catching up after a little while and where I thought we could start so we're here at the New Orleans investment conference you've already done your presentation but I think sadly I was on the plane when it happened so I know it has a really exciting title and your


presentation last year was actually one of my favorites so if we could if we could start by talking just some highlights I don't want to make you do the whole thing but some highlights well the title was are Junior's dead or are 10 Baggers going to become 20 Baggers and the reason I asked that is because I I think as most investors know juniors are so oversold they're dramatically oversold um you know just as one example there's a company that has infrastructure already on place at their


project and it's worth four to five times more than their current market cap and that excludes their resource all the drilling they've done the growing as so this is the kind of thing that I'm talking about things are so oversold that when gold and silver resume uh an uptrend when siment changes in the junior sector I do expect there to be some big gains made from current levels so um I asked a question which was kind of Daring but is this a 100-year opportunity in mining stocks the only


other time I can find where uh mining stocks were so depressed was the nuclear 90s they were called because gold and silver went nowhere uh mining stocks uh or miners couldn't make a profit at all uh it was very depressing for a period of time there um stocks were very undervalued we know what began to happen in 2001 it was basically an 11-year bull market so um you know I think that you you know for any stock you don't own that you like right now that may be dramatically oversold you know I know people are


tired of hearing the word opportunity but I do think you know things cycle that's another thing I would like to point out not to keep rattling on here but gold stocks and Mining stocks cycle and I have a chart in that presentation when the video comes out you'll see that um you know mining stocks oversell dramatically 50 60 70% and one example was 90% but the next upcycle more than made up for it you know the one that sold off 90% the next upturn was over 500% gain so these things cycle we've been in a


down cycle sentiment is bad but at some point this is going to reverse and we're going to have it upcycle and gold and I think the gains in the miners especially the juniors are going to be frankly spectacular yeah and you know you you anticipated one of my questions I was gonna I was going to ask you exactly that you know looking at sentiment right now I know it's quite negative I it's going to ask you if you could contextualize it into you know the past so the '90s is another time when this


was quite bad you have to go back that far to really find a depressing you know some people will point to 2006 but you know go was basically flat it was down a little bit but but the miners didn't go anywhere you know and they were down some uh but this is much worse than that so you have to go back to the 90s and you know I can point to some spectacular gains that were made coming out of that and there were some that were made even in it because they were around a discovery like Noland gold today you


know that Stock's gone 10x since I recommended it two years ago at this conference that's a good example of of something that can uh still run because they made a genuine large gold Discovery right and you know I think you're you're so right to say that there is there is so much pessimism right now one of the things I wanted to ask for you is how do you in this situation how do you reaffirm that the stocks you have are things you want to hold or decide all right it it really is time to get that's


a great question because unfortunately uh there are some stocks in people's portfolio even in mine that I have to ask myself okay is this stock really going to participate are they prepared to participate in the next run and gold and sometimes that answer is no and so it means you might have to sell a stock that is down dramatically but what I'm looking at is the two C's do they have cash and do they have cataly they have to have cash in this market if they don't if they can't raise or they


can't raise enough that's that's not a good sign and of course they have to have Catos they have to be actively moving their projects forward and I don't mean just reporting on the AGM meeting I I mean actually Drilling and growing a resource or making a discovery they have to be pushing forward if you don't see that you know unfortunately I that may be a stock that may not participate in the next run so um you know you know that would be maybe one you might lighten up on maybe you don't


sell the whole thing that's another option but you lighten up on it or something like that on the other hand there are some that like the stock I pointed out earlier the company that has it's a dramatic undervaluation even to get back to Fair valuation would imply more than a 5x so there are opportunities out there that one can take advantage of if they have cash and you don't want to go overweight you know uh too many mining stocks and don't mortgage the house but if you can there


are still opportunities out there yeah and and one point you made there is something that I keep being reminded of here and I think it's important for investors as you can sell a little bit you don't have to go all or nothing on your stock that's a great Point uh yes I I really try to emphasize that you know recently I recommended that we uh you know that you could take profits on a stock that had gone 700 was up 700% in our portfolio and you know some people did do that but I I really emphasize look we're taking


profits we're not selling out there's a difference you know you're just scraping some off the table and for some that are down and you don't think they're going to be good if you want to hold on to half of it and sell the other half that's an option too um but yes taking profits is very uh great strategy when you get there yeah yeah definitely things for people to think about and okay so if we look over to the market so one statistic we've talked about previously relates to the fat and I'm


going to check my notes here to make sure I get it right so you've told us the last tyen a cycle typically comes about five months after the first cut am I getting that right okay so and we've said before this is not actually very long and we seem to you know that last hike seems to be getting pushed further out but perhaps we're there or maybe we're getting there quickly so you know any thoughts there on when we might get that first cut well it it would occur uh historically on average just 5 months


after the last hike so we have to see if there's going to be another hike or not yeah um you know I kind of doubt it but that who cares about my opinion but you know um it you know I think they'll probably pause because of the CPI is coming down you know most of it most parts of it are um so whenever that occurs historically you we major them going back to the 1950s on average the First Cut Is Only 5 months after the last heke so we you know we seen the what we believe is the last heke whether that's already


occurred or it's coming soon um there's going to be probably a cut in 2024 you know maybe they're raising rate so they can cut in the recession cuz the recessions that's pretty clear the recessions coming right so never heard that before though yeah it's a right it's a timing thing though the the negative yield the yield curve being negative for almost two years now um but a lot of you know uh if you look back historically the last seven recessions have been predicted by negative Yi Cur


curve but they've occurred anywhere from like a few months to is up to up to two years later after it's first gone negative and we're about at that point now so you know I think it's going to be pretty clear we have a recession either very soon or in 2024 uh it's probably the most telegraphed recession in the history of mankind so I don't know how bad it really will get you know in the markets when everybody's expecting one um but we'll see you know if it's a hard


Landing that that's a different story you know that affects a lot of things but the good news is gold has risen in all the past eight recessions but two it's risen in six of eight and the two at decline were single digits so we can expect gold to be reasonably strong during a recession and gold Stocks by the way I know I'm going on laun here but gold stocks um I looked at those during a recession they Rose in five of eight of the recessions they actually only fell in three of them so this


Market our Market the gold market may be coming upon a strong point right now because Common Stocks are probably going to fall the economy is going to be depressed but gold and gold stocks have a reasonable chance based on history of doing well do do we know in those cases where golden gold stocks fell in recession what was going on there well you know this is going all the way back to the 60s sorry to make you go into I think early '70s is when we started measuring it um and the gold stocks when


the three times they did off it was significant it was you know 20 30% type of thing uh but uh from 2000 to present I believe they've only solded off once out of the three three recessions we've had but the circumstances were always different you know you know it's hard to you have to go and measure each one but uh but historically there there's an average there that gold typically Rises and gold stocks uh rise more than they fall during your recession that's the kind of the message okay yeah you know


you always want to look for that unifying Factor but it's not always there so so yeah let's look a little bit more at what's going on with the gold price because although we're sitting at these historically high levels I think people are are looking for it to go higher and they want to know what's going to put it there so recession is is one thing that could do that uh other factors that you're watching when it comes to Gold you know what I went back and looked at uh all the crises we've


had in the past 50 years I believe and uh there was some type of Crisis or event negative event roughly every 3 years and I started looking at them and I realized that half of them were black swans they were things that people were not expecting how many people expected the pandemic you know uh some people called for the crash in O8 but most people did not expect it so um it could be anything and it could be something that we're not really prepared for um obviously the US dollar is part of this


uh but you've seen the US dollar go up and gold rise at the same time when the uh Israel was invaded so um you know it depends on circumstances but I do think the uh rate hike cycle ending will be positive for gold so you could have a trifecta there you could have a recession which is good for gold you could have interest rates uh not Rising anymore maybe falling which would be good for gold uh you could have them resume money printing you know during a recession if it's bad enough they'll do


that that's positive for gold so you know there's a trifecta of things there that that could be positive uh if the war in Israel ends or subsides we probably see a little bit of a pullback uh gold always rises in geopolitical conflicts like that um but it tends to soften after it's over or resolves or you know weakens or whatever the case might be being so yeah yeah H there's so much going on right now I feel a little bit bad asking this but you know if you were going to put a price Target or or a


place you think gold is going toward let's not say toward the end of 2023 in 2024 would you would you put a number on where you see gold going oh I I think that's an easy call new alltime high is I can't I can't see the gold price staying here again it'll probably weaken if the Israel calms down it'll it'll get go higher if it gets worse um uh but that's a that's a shortterm issue and the bigger picture there's like you say there's too much going on to to Really


uh you know say that Gold's going to go down there's a lot of catalysts that are in place there and again it could be something that people aren't expecting everybody's expecting a recession everybody's expecting the end of the rate height what if it's something else that comes out of the blue and surprises uh Main Street and Wall Street that that's very impossible based on history and that could be good for gold so it'll make new all-time highs in 2024 I'm I'm have confidence of that you


know um but I'm a person who uh doesn't really want gold to go to $110,000 an ounce because of what it implies you might be rich with your gold but the rest of your life is is falling apart because of what's Happening in the economy so I hope that doesn't happen but you know I I think gold 2500 to 3,000 next year is you know very attain and you know okay so what happens to to Silver in this scenario poor poor silver that is kind I don't I don't want to say it's languishing but you know gold near


okay we we'll go there we'll go there we've got gold near its alltime high and you're right you know a call for alltime high in Gold next year that sounds pretty attainable meanwhile silver much below its Allon of height so what what's the story with silver so we know also from history that silver tends to lag when gold takes off silver doesn't necessarily take off it tends to lag and be stagnant that's very common that's its DNA if you will um so it could be possible where gold makes a nice move


and silver lags for a while that would not be surprising so it would you know you can't get upset about that like what's happening because history shows that it eventually catches up it it ignites it catches up to gold and passes it on a percentage basis so I don't know if that happens in 2024 because I think the next Bull Run in this cycle is going to be significant it's going to be strong um you know so I I think uh this could be a two to threee bull market easily uh once it makes new alltime high


once it breaks out and silver will come but it it'll have a reaction the fuse there is a little longer than the fuse on gold yeah and you know just another point on on Silver because I know you were just at a entire silver focused conference so we can talk a little bit more about that you know it follows many of the same factors as gold but it's got its own supply and demand drivers and we had the thing deficit last year it looks like we're set for another big one this year I was looking at the the silver


Institute prediction a while ago so that is interesting to me that there's this large deficit and still the price is kind of where it is yeah I have a great chart of supply and demand each year and Supply always uh meets demand or is a little higher than demand and then all of a sudden last year and the year before we had a an annual deficit in other words demand was much higher than silver the projection this year is it'll be high again uh not as high as last year that was like you know headline


news um but this one will be significant if you add up all the 3 years of the annual deficit between supply and demand it's 430 million ounces of silver more in demand than annual Supply is providing 430 million ounces in three years I mean that's almost one years of annual Supply so it's very significant meanwhile you have new uses for silver coming out literally every month every month silver Institute puts out a great monthly newsletter and they outline where all the scientists and chemists


and all that are finding new uses for silver so industrial use is going to grow throw in some type of monetary or financial crisis gold Rising silver is going to go so yeah yeah okay and so I think I'm going to I have some fun questions I've been calling them fun we'll see if they're fun so if if you look out say 5 years into the future and you had to choose one asset that you want to hold from now till these five years in the future what would it doesn't have to be gold or silver it can


be whatever you want uh that's easy gold it has to be gold um I think it's the going to be the asset of the decade I I don't you know silver will be a runner up it may even pass in percentage terms but silver is a safer asset I mean Gold's a safer asset to hold so you know I think it's the asset of the decade that's one of the themes on our site um I I would have to own gold if I had to only own one thing it wouldn't be gold and you know the followup was going to be does it change if we increase it to


10 years but if it's if it's of the decade then there you go you know it depends when pardon me it depends when we have the the the dollar crisis because the you know the debt in the US and and a lot of other countries but we're the you know uh the dollar is the the king of the world right so it's when that goes so if that happens within 10 years uh it would still be gold um you know I I may re-enter the crypto Market at some point I may re-enter the stock market at some point I may want to


buy real estate at some point the timing for those in my opinion is is not now it it it's you need to be centered around a financial asset that can withstand the kind of Fallout that we could have in the economy and the markets with the FED etc etc so when the dollar go that's the answer to that question is when the dollar goes if it goes you know within 10 years I would still have to own gold if it goes within 5 years I might change to something else in that second set of five years so there we go okay okay


that's that's a complex answer okay and my my next final fun question dos and don'ts for investors heading into the end of the year and and perhaps into 2024 uh for uh gold for resource investors in general or or you can interpret it as you like yeah I I mean I think you need to look at companies that have the 2 C's uh that's what I'm doing I have a you know a thing on the site that uh the three legs of the stool that you need to look at to evaluate companies I think the


opportunity is tremendous right now I don't know that the bottom is in for the Mining stock but when sediment turns when sediment turns you're going to see doubles and triples like really quick and and they'll still be under valued you know so clean up your portfolio get rid of the ones that you think just aren't going to do it a fun exercise is what if I told you you had to cut your portfolio in half all the mining stocks you own you have to cut it in half now I'm not saying you have to do that but


I'm saying going through that exercise really helps you crystallize what who are the best in my portfolio the most likely to to participate in the next uptrend uh that that's a healthy exercise to do so uh my message is be prepared prepare yourself and your portfolio for the next running gold and silver that that does sound like a fun exer well a certain definition of fun for sure okay oh this is really good did you have I think does that wrap up your final thoughts anything you would add well I'm happy to


say that uh you know my book just came out on paperback so perer is out in paperback now so you can order that on the website uh there's a link to uh to to that under uh the gold advisor.com uh you can see all the ways you can buy it there digital ebook you know Kindle and that uh no audio book yet uh I have to get through and done with all my surgery before uh I do that but I will do that um but yeah it's available on paperback now perfect okay and we can we can leave a link to that as well in the


video description so people could see it okay thank you so much for sitting down to go through what's going on in gold and silver always really good to talk to you great Charlotte thanks for having me and look forward to the next one of course and once again I'm Charlotte McLoud with investing news.com and this is Jeff Clark with the gold advisor.com 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


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