Huge News! If you Own Gold & Silver, WATCH This Now! Jim Rickards

[0:00]It's going up. It's going up a lot. And let me just back that up a little bit because that's easy to say. I don't say things like that without a lot of analysis. There are three different ways to think about it. One is just um some technical analysis. This is the third great bull market in gold in history. And when I say history, I'm only going back to 1971 because prior to 1971, gold was money. So you didn't have a bull market or a bear market. It was fixed to the dollar. The people who buy the table said, give me a gold standard. I was like, well, be careful what you wish for because in a gold standard, you're not going to make any money on gold because it's fixed, it's pegged to the dollar. You if you want to make money on gold, you would actually be against a gold standard because they keep going up the currency and the gold goes up. But uh but we had a bull market from 1971 to 1980 and gold went up 2,700%. Then we had a bear market from 1980 to 1999 and gold went down from $800 to under $50. So that's uh and do the math. It's 60 or 60 or 70%. Then we had the second great bull market from 1999 to 2011 and gold went up 670%. Then we had a bear market, it's funny how these things go in cycles from 2011 to 2015, but you can call the bottom. It was December 16th, 2015. Gold was $1,050 an ounce. I'm talking U.S. dollars. Um that was the bottom. And I saw it at the time and I I called it at the time based on a conversation I had with Jim Rogers, who's the greatest commodities trader in history. And we were down in the Dominican Republic at Casa de Campo during the bear market. I said, Jim, I think about gold. He goes, well, I own it, um, but I'm not buying more at the moment. I'm waiting. I said, I'm not selling it, but I'm not buying more. I'm waiting. And he said to me something that just hit me right between the eyes. He said, gold is going to the moon, but no commodity goes to the moon without a 50% retracement along the way. There comes a time when it drops 50% and then is like the second lift off and then it goes to the moon. Now, take the bottom, um, in 1999, it was $250 an ounce. The top was $1,900 an ounce in August 2011. So that's uh $1,750. Um, half of that. So 50% retracement would be down a 25. So 1900 minus 825 puts you at 1075. Well, bingo, 1050, that's close enough for government work, as we say. So we had when I saw 1050, I having I talked to Jim Rogers about this earlier. When I said 1050, I said, okay, there's your 50% retracement using 250. You have to have a base, using 250 as your baseline up to 1900. Take that gap down 50%. Boom. 1075. We were 1050. I said, that's a low. Now it's getting close to 1900 again. I mean, actually on an intraday basis, I think you just kind of kissed the all time high. It was like right there. Um, so, so there's the full retracement of the bear market. But this bull market, the third great bull market, started December 2015. We are up almost 90%. You go from 1050 to 1900, that's about 90%, 80, 86, 87%. But bear in mind, the last two bull markets, remember I said 2,700% and 670%. So 80% is 85% is great. But when you get into like 600, 700, 800 or 2,000%, you're talking about $15,000 by 2025. So if if we just if we just did the average of the two prior bull market, I'm not even talking about the higher of the two. Take the two bull markets, average the duration and the gain, and then apply it to December 2015. You get to 15. The exact time is $15,000 by 2025, $15,000 an ounce by 2025. But people go, ah, it's four years away as I like five years away. I said, yeah, but to get it to get to from 2000 to 15,000, you got to go 3000, 4000, 5000, 6000. You can make a ton of money. So that's where it's going. Now, could it go down tomorrow? Sure. I mean, it goes volatile. I don't get too hung up on it because I'm I'm kind of a buy and hold person, you know, I don't I don't get too euphoric when it goes up, but I don't get depressed when it goes down. In fact, when it goes down, I like to see it go up for our our listeners and our readers. But personally, I don't mind when it goes down because you can buy more at a cheaper price. because I know it's going up. I know where it's going. Uh, so the answer is, uh, uh, and just a little again, sixth grade math is usually sufficient. Um, when you get to higher levels, a fixed dollar increase is a smaller percentage increase. So people go, oh, we went from 1800 to 1900, went to 2000, 2100, 20. And that's a big deal and good for good for all of us. Um, but those $100 increments get to be more and more frequent and more and more common because they they start looking like one half of 1%. want to have 1%. Sounds a big, big deal in the market. So you're going to see that on a daily basis. So my advice to people, of course, is buy gold. But I said that at 1,100, 1,200, 1,300, 1,400, 1,500, 1,600, you know, I've said it all along. And people just and people don't buy it. I'm I'm people also accused me. They say, well, Jim, you're just talking your position. You know, you're just trying to sell gold. I'm not a dealer. I don't make any money if you buy gold. But I'm not I'm not in the business. I'm a writer. I'm an analyst, but I'm not a gold dealer. Uh, I'm actually one of the few analysts apart from yourself and two others who are not gold dealers. But I think I think that gives you more credibility because you're not selling gold. You're understanding gold. But for anyone who hasn't bought it yet, because people denial is a powerful thing. We'll say, well, I missed the boat. And now it's up, the side is going to go down. You haven't missed the boat. I mean, again, 80, 80, 90% is a good run, but this is going to go multiples of that. All right, let's dive a bit deeper into what we've covered about gold. So, we've been seeing gold prices going up quite a bit lately, and there are a few factors behind this trend that we can break down. Firstly, when we look back at the history of gold prices since 1971, we can identify three major periods where gold prices surged. These periods are often referred to as bull markets, and they're characterized by sustained increases in the price of gold. The most recent bull market began in 2015 when gold prices were relatively low. Since then, we've witnessed a significant uptrend, with gold prices rising by almost 90%. However, if we compare this current increase to the previous bull markets, it might seem a bit modest. For instance, in the past, we've seen gold prices skyrocket by 2,700% and 670%, making the current surge seem comparatively smaller. Now, looking ahead to the future, some experts are making bold predictions about where gold prices could be headed. There's talk of gold reaching a staggering $15,000 per ounce by 2025. That's a substantial jump from where prices stand today. But of course, we have to consider that the path to that price level may not be smooth sailing. Gold prices can be quite volatile, meaning they can experience significant fluctuations in the short term. Despite this volatility, many investors still view gold as a valuable asset to have in their portfolios. That's because gold has a reputation for holding its value over time, especially when other investments might be struggling. So, if you're thinking about adding gold to your investment mix, it could be worth considering for the long term. In essence, the story of gold is one of resilience and opportunity. While we can't predict exactly where gold prices will go in the future, understanding the historical trends and current market dynamics can provide valuable insights for investors looking to navigate the world of commodities trading.