URGENT: The Dollar Is Plummeting Right Now…Here's Why
Summary
Dollar Decline: The podcast discusses the significant drop in the dollar, with the DXY index hitting its lowest point of the year, attributed to interest rate differentials rather than a loss of reserve currency status.
Federal Reserve Actions: Speculation surrounds potential Federal Reserve rate cuts, with market predictions indicating a possible 25 basis point cut, influenced by labor market data and economic conditions.
Interest Rate Impact: Interest rate differentials are highlighted as a short-term driver of the dollar's movement, with the potential for U.S. rates to decrease relative to the ECB, creating headwinds for the dollar.
Gold Prices: Gold has reached an all-time high, with the GDXJ index showing significant gains, prompting discussions on investment strategies and potential pullbacks.
Monetary System Mechanics: The podcast explains how the global monetary system and the creation of dollar-denominated debt influence the dollar's value, emphasizing the role of lending and liquidity.
Investment Strategy: The speaker shares personal investment strategies, including switching to GDXJ for better returns and considering adding to positions during market pullbacks.
Gold Storage Solutions: A discussion on gold storage fees introduces Monetary Metals, a company offering interest on stored gold by leasing it to jewelers, providing a potential solution for gold investors.
Transcript
Hello fellow rubble capitals. Hope you're well. So we got big news in the dollar right now. It is plummeting borderline crashing. It is down I think at the lows maybe of the entire year. So the question becomes why is it doing this? I think I've got the answer for you and it involves the Federal Reserve and what they could be doing very very soon. So let's dive into it. And oh, by the way, gold at an all-time high. I want to discuss that as well. So, let's get into what I think is going on. So, let me do the screen share. Boom. There we go. And we're going to shoot over I guess DXY. Let's look at this. I mean, closing at the lows on the day. Got a 96 handle down. I mean, that's a big move in the dollar in one day. Just again, we're using the DXY as a proxy. 96.66. So, let's go back and look at year-to date. And yeah, that's going to be a low. That's going to be a low for the entire year. And look at this. The dollar was almost at 100 at the beginning of August. So call it six weeks and we've gone from a almost 100 down to trading at a 96 handle. That that's significant very significant move in the dollar. So is this a result of the dollar losing reserve currency status? No. Is this a result of foreigners dumping dollars? And there it's a kind of it it depends. It's a result of foreigners dumping dollars due to interest rate differentials, not necessarily because they hate Trump or whatever the the narrative is. And I have to admit, I got this one wrong because I thought when the dollar really crashed back during retardation day or liberation day, I I prefer retardation day, but during retardation day, the dollar went from call 103 all the way down to 98, trading a 98 handle. And I thought we would see a bounce back, which we did. And why did I think that? Because the way the dollar monetary system is set up, these dollars are lent into existence and therefore you have a constant bid. You've got a you've got constant demand for dollars. Even if you hate the dollar, even if you hate Trump, it doesn't matter. There's it's all debt. And that debt has to be paid off. And it's very short-term debt, too. By the way, if the dollar denominated debt that created the dollars outside of the United States was like a 30-year fixed rate mortgage, that would completely change the game. And that would totally change my view on the dollar itself because you're changing the way you're changing the fundamental structure of the monetary system itself. But the way it's set up now, as you guys know, the vast majority of these dollars lent into existence. Very, very short-term debt. That debt comes due. You got to have the dollars. If you don't have the dollars, you got to sell whatever's on your balance sheet. And usually that's XYZ currency, euro, yen, Colombian peso. And that's what creates more demand for dollars, more supply of XYZ currency. Dollar comes right back up. And but the dollar can absolutely go down. I mean, let's look at a long-term chart for those of you who might be a little bit younger or might not remember. We just go back to 2008 and the dollar was in the 70s, low7s. And then I mean as go back to 2014 and it was trading in the '7s 2012 trading in the '7s and again I'm talking about the DXY. So how does this happen? I mean you go from let's say 1986 let's even fast forward to this high right here in 2000 roughly 2001 we're trading at 117. So how do you go from 117 down to 72? Is this a result of foreigners all the demand for dollars going away? No, actually the complete opposite. It was demand for dollars increasing. So, I know a lot of you are probably scratching your head and say, "Whoa, whoa, whoa, George, time out here. That doesn't make sense. How can the dollar go down as a result of more demand for dollars? And if you don't believe me, demand for dollars, just think about what was happening in the world. We had globalization. We had the emerging markets really going up and and really growing. We had China growing just at neck break levels. And all of this growth needs what? Commodities and among other things. And those commodities are dollars. You got to have dollars to get those commodities. So what was happening is the demand for dollars actually going up. But here's the kicker. Supply of dollars going up even faster. because there was all of these loans that were generated because they saw all they the banks saw all this growth opportunity in areas like China. So they're like you want a dollar loan done. You want a dollar loan done. You want a dollar loan done. So you had all of this supply coming online at the same time when velocity is increasing which effectively is additional supply and you see the dollar go down. Now is this the only reason it went down? Probably not. But I think this would be the main driver. And keep in mind with currencies, it's never just one thing. It's all these crossurrens. There's thousands and thousands of variables that go into the buyers, the sellers, and on net who is winning at any given time. So then why did the dollar go up from let's say 72 to where it has been more recently hovering above 100? And I I would say the exact uh opposite where now you have all this dollar denominated debt that was created down here when the dollar was very low and the amount of dollars being produced slows down because what happened to the monetary system in 2008? You guys know very well. It basically broke and so then it kind of gets fixed but it's the car is still running but it's not running on all eight cylinders. I'm talking about the global monetary system. So let's say it's running on six cylinders in here. Well, if it's running on six cylinders, not a lot of dollars that are being produced through the process of lending and but you got a lot of dollar denominated debt. So then they're forced, they don't have the cash flow. They these multinationals outside of the United States, they don't have the cash flow needed, the dollar cash flow, because the economy is slowing down, the monetary system, there's not as much liquidity, etc., etc. So what happens? they sell it's on their balance sheet, dollar goes up. But like I said, there's many, many factors that go into this. I think over the long run, the monetary system is really what determines or the mechanics, I should say, or the monetary system really is what drives the dollar relative to other fiat currencies. It doesn't really drive uh you know, the dollar versus goods and services in the United States. That's not what I'm saying. just against other foreign currencies. Um, and one of those things that temporarily over the short run can impact the DXY to a significant degree. Although longer term, I think the mechanics take over, but in the short term it can be interest rate differentials. Absolutely 100% interest rate differentials. And I think that's why we're seeing this move, especially more recently. Let's go back to the year-to- date chart. Especially more recently, we talked about in the months of uh August going into September where we are today, the last six weeks. I think when you get the deterioration of the labor market, when you get the revisions to the non-farm payrolls, when you get negative negative non-farm payrolls, all of a sudden the probabilities shift way over here. So you might start with the probabilities or the highest the market is predicting let's say 50 basis points of cuts in 2025 and all of a sudden whoa look at the labor market. Holy cow the economy is likely softening to a significant degree which means higher probabilities. No certainties but higher probabilities. The Fed cuts not by 50 but now all of a sudden maybe 75. What happens? That means the market says, "Oh my gosh." So the interest rate differential between the ECB and the United States is well, it's going to decrease because now the US rates are higher. So ECB rates here, US rates here. So if the market is now predicting that the United States rates are going to go here, we're decreasing that interest rate differential and that's going to be a huge huge headwind to the dollar. And I think that's exactly what's happening. Now, going back to the mechanics, if we really were having a liquidity event globally, then you might not see the dollar go down because that's going to be the overriding factor. But as long as banks are willing to lend and create that liquidity so the entities can get the cash flow they need whether through borrowing or selling their goods and services to get the dollars to pay out the dollar denominated debt that created the dollars to begin with then uh you're you're going if as long all as being equal is what I'm trying to say then you're likely going to see the dollar go down there the overriding factor being over the short term this interest rate differential or the odds increasing that that's going to compress class versus the Bank of Japan and the ECB, European Central Bank. So, now we have to ask the question. Let's go over to the CME Group. Let make sure we got the screen share working. Yeah, cool. Josh is back. Now we go over to the CME Group and the Fed rate decision in, drum roll, please, 19 hours. 19 hours. What's going to happen? I don't know. Okay, let me refresh just to make sure we got the recent. Yeah. Whoa. 96% for a 25 basis point cut. And we're at zero for a pause and 3.9. We've actually seen a decrease in the odds. So, this is really weird. This is really weird. Because I would have thought because of the price action in the dollar, which by the way was confirmed with interest rates, we'll get into that in a moment. Because if it would have just been the dollar and not interest rates, I would have been like, hm, maybe it's not interest rate differentials. But and when I talk about interest rates, I'm talking about the Treasury curve. But look at this. We went from 5% yesterday, probability of a 50 to 3.9 today. [Music] Well, well, well. Maybe the dollar and the Treasury curve is betting against whatever goes into the CME Group's projections. I think they use sofur rates, I think. Don't quote me on that one. So, let's go over and check the calendar to see if it could have been something there. And where are we? the uh 11th. Okay, so got to go up. Let me just refresh here to make sure we're getting the most recent data. Okay, so what did we get today? Retail sales. Oh, okay. That's probably why that's definitely why the probability of the 50 went down. But that doesn't explain rates in the dollar. Maybe the rates in the dollar are calling the bluff here on the retail sales. Maybe they're saying that it's transitory to use that word. Let's go over to rates. and they didn't move a lot, but actually you would have expected with that type of retail sales that they would have gone up, but especially the 2-year went down the mo. Not a lot, not a lot, but it finished at the the lows of the days as far as the yields and down three uh 3.3 basis points. [Music] And look at this. You saw the spike right here. I'm guessing that's when we get the retail. You see, oh, look at this. Exactly what I'm saying most likely played out here or you can see it play out in the charts where we get the retail sales numbers and you get this knee-jerk reaction. Oh my gosh, it's better than expected. The economy's on fire. The economy is heating up. We're not going into recession. The labor market's going to turn around. And you get that for about two seconds. I'm exaggerating. You know, you get that for five minutes or something and then the bond market, I guess, cooler heads prevail, let's say, and they're like, uh, no, this is one number, and we're not putting too much weight on that number. We're calling it a nothing burger. We're calling it fake news and we're going to default back to what we're seeing in the labor market, what the data is telling us about the labor market and we're going to go ahead and say all you guys are off sides. We're going to take advantage of interest rates going up slightly and we're going to buy bye bye bye-bye. And maybe that's what brought it down to 3.52 close to where we ended the day. I that's probably what's happening here. Let's go to the 10-year which we just had up and uh it's kind of now we're in after hours. Let's see fiveday chart uh today. Yeah, kind of uh same thing. Look at this guys. Exact same thing. You had the knee-jerk reaction and then it's like, oh wait a minute. But the labor market, that's the biggest indicator. Let's go ahead and bye-bye bye. Bring those yields back down even lower than they were to start the day. Now, let's go to the 30. Exact same thing. Look at this. Right around 8:00, boom, number comes out. Knee-jerk reaction. And then just bye-bye bye bye bye. Meaning a sell-off because there's an inverse relationship between the price and the yield. And this is showing us the yield, by the way. And then just boom, boom, boom, boom, boom, all the way down almost closing on the lows of the day. Similar to the 10 year and the the and the uh 2-year. So, who's right, guys? I'll let you be the judge. Is it the retail sales? Is it the CME Group? Or or is it interest rates in the dollar? We'll have to see. I would be shocked if the Fed did a 50 just because even if they want to, I don't know they want to disrupt the market to that extent when there's a 96 they're predicting 96%. And especially, you know, Pal doesn't want to bow down to Trump. I I think there's a lot of ego there on both sides and he definitely doesn't want to see be seen as the next Paul Vulkar. So even if I'll bet you what's going to happen tomorrow is they're going to have a dovish 25% and you're going to have disscent. You're going to have two or three of the Fed I don't know what the governors what they call them. Uh I think you're going to have two or three descents which is extremely rare but we saw that the last time. That would be my prediction for tomorrow. Okay, now let's go over some exciting exciting news. Gold, gold, gold, gold. I feel feel like that James Bond movie with Goldfinger. And let's look to see I we're over 3700, guys. 3730. Whoa. Unchartered territory. That is the truth. And today you saw a big selloff in the GDXJ which uh I own personally and as you guys know I own a lot of gold and I sold some of my gold about a month or six weeks something like that because I wanted to play the catch-up trade with gold and that's worked extremely well. We've got a chart of the GDXJ just over the last month. were up almost 22% when gold I'll just use GLD um up 10%. 10 11%. So you made an extra 12% by switching over to the GDXJ and kind of playing the underlying asset through let's just say a derivative of the gold miners or the junior gold miners. And so this has worked really really well. But today you see gold up and you see the GDXJ big sell-off down almost 3%. Now for me and again this is not investing advice at all. So just take this with a grain of salt. I'm just telling you what I'm doing for me. I'm starting to lick the old chops right here because we got a great trend. We got a pullback. And maybe, just maybe, I'm not saying I am, but maybe, just maybe, I might add to the old position here in the GDXJ and use this pullback to my advantage. And I'll go over that in Rebel Capitals Pro if some members are watching right now. So, now this brings me to today's sponsor, and I love talking about gold going higher and higher and higher and higher and higher because I own a lot of it. But there's a problem. There's a problem. If you own a lot of it, you can't really store it in your backyard. And the higher the price goes, the more storage fees you pay because you're paying the storage fees based on the value of the gold instead of the number of ounces you have or the weight of gold you have with the company. So, I was contacted by my good friend Keith Weiner the other day and he has a company called Monetary Metals and they actually have a solution for this. So, he wanted to sponsor the channel and usually, as you guys know, I don't really take sponsors, but I thought this could be a good fit because I know a lot of my audience really likes gold and silver. They do both. And but I said, "Okay, I want to understand the business model because it's kind of weird that you're paying people to store their gold. Like, what's the catch?" And, you know, is this a Ponzi scheme? Is this a scam? Like, like this, this is just kind of weird. And so, he walked me through the business model. I'm like, "Oh, I get it." Okay. So, what you're doing is you're taking the gold and you're leasing it to jewelers. And jewelers have either hedging their inventory or they just don't want to have the out- of-pocket cost to buy the gold. Whatever it is, there's a lot of reasons why a jeweler would want to actually lease gold. So Keith acts as kind of the intermediary there. And uh the entity, the jeweler pays Keith in gold and then he pays you in gold. So you can get maybe a 2 3 4% interest rate paid in gold on your gold that you have in storage as opposed to paying that storage fee. So it's a great solution. I've been using it for about 3 months. I've got um probably close to $50,000. I started with I know 40, but the price has gone up so much it's probably close to 50 now. And they're great people, great customer service. Their website, they've actually changed it since I started working with them. And I think it's much more user friendly. And you can see some examples of the uh gold leases they do. And you can actually choose which ones you want to participate in and which ones you do not want to participate in. And they do this with gold and silver. So give them a call over there. Tell them that George sent you. Or if you want to go directly to their website, check out more, you can go to monetary-metals.comgamin. That's monetaries monetary-metals.comgamin. Josh will put a link in the description below. Give him a call, reach out to him, ask any question you want, and see if this could be a good fit for you because if it is, it's a great solution to a not have to pay the storage fees, but b actually earn an interest rate paid in gold on your gold. So, check them out. Josh will put an explainer video where I go over their business model and a link to their website in the description below. Or if you're old-fashioned like me, you just go to the bottom of their website, give them a call, tell them George sent you. All right, guys. Enjoy the rest of your evening. As always, make sure you're standing up for freedom, liberty, free market capitalisms. We'll see you in the next video.
URGENT: The Dollar Is Plummeting Right Now…Here's Why
Summary
Transcript
Hello fellow rubble capitals. Hope you're well. So we got big news in the dollar right now. It is plummeting borderline crashing. It is down I think at the lows maybe of the entire year. So the question becomes why is it doing this? I think I've got the answer for you and it involves the Federal Reserve and what they could be doing very very soon. So let's dive into it. And oh, by the way, gold at an all-time high. I want to discuss that as well. So, let's get into what I think is going on. So, let me do the screen share. Boom. There we go. And we're going to shoot over I guess DXY. Let's look at this. I mean, closing at the lows on the day. Got a 96 handle down. I mean, that's a big move in the dollar in one day. Just again, we're using the DXY as a proxy. 96.66. So, let's go back and look at year-to date. And yeah, that's going to be a low. That's going to be a low for the entire year. And look at this. The dollar was almost at 100 at the beginning of August. So call it six weeks and we've gone from a almost 100 down to trading at a 96 handle. That that's significant very significant move in the dollar. So is this a result of the dollar losing reserve currency status? No. Is this a result of foreigners dumping dollars? And there it's a kind of it it depends. It's a result of foreigners dumping dollars due to interest rate differentials, not necessarily because they hate Trump or whatever the the narrative is. And I have to admit, I got this one wrong because I thought when the dollar really crashed back during retardation day or liberation day, I I prefer retardation day, but during retardation day, the dollar went from call 103 all the way down to 98, trading a 98 handle. And I thought we would see a bounce back, which we did. And why did I think that? Because the way the dollar monetary system is set up, these dollars are lent into existence and therefore you have a constant bid. You've got a you've got constant demand for dollars. Even if you hate the dollar, even if you hate Trump, it doesn't matter. There's it's all debt. And that debt has to be paid off. And it's very short-term debt, too. By the way, if the dollar denominated debt that created the dollars outside of the United States was like a 30-year fixed rate mortgage, that would completely change the game. And that would totally change my view on the dollar itself because you're changing the way you're changing the fundamental structure of the monetary system itself. But the way it's set up now, as you guys know, the vast majority of these dollars lent into existence. Very, very short-term debt. That debt comes due. You got to have the dollars. If you don't have the dollars, you got to sell whatever's on your balance sheet. And usually that's XYZ currency, euro, yen, Colombian peso. And that's what creates more demand for dollars, more supply of XYZ currency. Dollar comes right back up. And but the dollar can absolutely go down. I mean, let's look at a long-term chart for those of you who might be a little bit younger or might not remember. We just go back to 2008 and the dollar was in the 70s, low7s. And then I mean as go back to 2014 and it was trading in the '7s 2012 trading in the '7s and again I'm talking about the DXY. So how does this happen? I mean you go from let's say 1986 let's even fast forward to this high right here in 2000 roughly 2001 we're trading at 117. So how do you go from 117 down to 72? Is this a result of foreigners all the demand for dollars going away? No, actually the complete opposite. It was demand for dollars increasing. So, I know a lot of you are probably scratching your head and say, "Whoa, whoa, whoa, George, time out here. That doesn't make sense. How can the dollar go down as a result of more demand for dollars? And if you don't believe me, demand for dollars, just think about what was happening in the world. We had globalization. We had the emerging markets really going up and and really growing. We had China growing just at neck break levels. And all of this growth needs what? Commodities and among other things. And those commodities are dollars. You got to have dollars to get those commodities. So what was happening is the demand for dollars actually going up. But here's the kicker. Supply of dollars going up even faster. because there was all of these loans that were generated because they saw all they the banks saw all this growth opportunity in areas like China. So they're like you want a dollar loan done. You want a dollar loan done. You want a dollar loan done. So you had all of this supply coming online at the same time when velocity is increasing which effectively is additional supply and you see the dollar go down. Now is this the only reason it went down? Probably not. But I think this would be the main driver. And keep in mind with currencies, it's never just one thing. It's all these crossurrens. There's thousands and thousands of variables that go into the buyers, the sellers, and on net who is winning at any given time. So then why did the dollar go up from let's say 72 to where it has been more recently hovering above 100? And I I would say the exact uh opposite where now you have all this dollar denominated debt that was created down here when the dollar was very low and the amount of dollars being produced slows down because what happened to the monetary system in 2008? You guys know very well. It basically broke and so then it kind of gets fixed but it's the car is still running but it's not running on all eight cylinders. I'm talking about the global monetary system. So let's say it's running on six cylinders in here. Well, if it's running on six cylinders, not a lot of dollars that are being produced through the process of lending and but you got a lot of dollar denominated debt. So then they're forced, they don't have the cash flow. They these multinationals outside of the United States, they don't have the cash flow needed, the dollar cash flow, because the economy is slowing down, the monetary system, there's not as much liquidity, etc., etc. So what happens? they sell it's on their balance sheet, dollar goes up. But like I said, there's many, many factors that go into this. I think over the long run, the monetary system is really what determines or the mechanics, I should say, or the monetary system really is what drives the dollar relative to other fiat currencies. It doesn't really drive uh you know, the dollar versus goods and services in the United States. That's not what I'm saying. just against other foreign currencies. Um, and one of those things that temporarily over the short run can impact the DXY to a significant degree. Although longer term, I think the mechanics take over, but in the short term it can be interest rate differentials. Absolutely 100% interest rate differentials. And I think that's why we're seeing this move, especially more recently. Let's go back to the year-to- date chart. Especially more recently, we talked about in the months of uh August going into September where we are today, the last six weeks. I think when you get the deterioration of the labor market, when you get the revisions to the non-farm payrolls, when you get negative negative non-farm payrolls, all of a sudden the probabilities shift way over here. So you might start with the probabilities or the highest the market is predicting let's say 50 basis points of cuts in 2025 and all of a sudden whoa look at the labor market. Holy cow the economy is likely softening to a significant degree which means higher probabilities. No certainties but higher probabilities. The Fed cuts not by 50 but now all of a sudden maybe 75. What happens? That means the market says, "Oh my gosh." So the interest rate differential between the ECB and the United States is well, it's going to decrease because now the US rates are higher. So ECB rates here, US rates here. So if the market is now predicting that the United States rates are going to go here, we're decreasing that interest rate differential and that's going to be a huge huge headwind to the dollar. And I think that's exactly what's happening. Now, going back to the mechanics, if we really were having a liquidity event globally, then you might not see the dollar go down because that's going to be the overriding factor. But as long as banks are willing to lend and create that liquidity so the entities can get the cash flow they need whether through borrowing or selling their goods and services to get the dollars to pay out the dollar denominated debt that created the dollars to begin with then uh you're you're going if as long all as being equal is what I'm trying to say then you're likely going to see the dollar go down there the overriding factor being over the short term this interest rate differential or the odds increasing that that's going to compress class versus the Bank of Japan and the ECB, European Central Bank. So, now we have to ask the question. Let's go over to the CME Group. Let make sure we got the screen share working. Yeah, cool. Josh is back. Now we go over to the CME Group and the Fed rate decision in, drum roll, please, 19 hours. 19 hours. What's going to happen? I don't know. Okay, let me refresh just to make sure we got the recent. Yeah. Whoa. 96% for a 25 basis point cut. And we're at zero for a pause and 3.9. We've actually seen a decrease in the odds. So, this is really weird. This is really weird. Because I would have thought because of the price action in the dollar, which by the way was confirmed with interest rates, we'll get into that in a moment. Because if it would have just been the dollar and not interest rates, I would have been like, hm, maybe it's not interest rate differentials. But and when I talk about interest rates, I'm talking about the Treasury curve. But look at this. We went from 5% yesterday, probability of a 50 to 3.9 today. [Music] Well, well, well. Maybe the dollar and the Treasury curve is betting against whatever goes into the CME Group's projections. I think they use sofur rates, I think. Don't quote me on that one. So, let's go over and check the calendar to see if it could have been something there. And where are we? the uh 11th. Okay, so got to go up. Let me just refresh here to make sure we're getting the most recent data. Okay, so what did we get today? Retail sales. Oh, okay. That's probably why that's definitely why the probability of the 50 went down. But that doesn't explain rates in the dollar. Maybe the rates in the dollar are calling the bluff here on the retail sales. Maybe they're saying that it's transitory to use that word. Let's go over to rates. and they didn't move a lot, but actually you would have expected with that type of retail sales that they would have gone up, but especially the 2-year went down the mo. Not a lot, not a lot, but it finished at the the lows of the days as far as the yields and down three uh 3.3 basis points. [Music] And look at this. You saw the spike right here. I'm guessing that's when we get the retail. You see, oh, look at this. Exactly what I'm saying most likely played out here or you can see it play out in the charts where we get the retail sales numbers and you get this knee-jerk reaction. Oh my gosh, it's better than expected. The economy's on fire. The economy is heating up. We're not going into recession. The labor market's going to turn around. And you get that for about two seconds. I'm exaggerating. You know, you get that for five minutes or something and then the bond market, I guess, cooler heads prevail, let's say, and they're like, uh, no, this is one number, and we're not putting too much weight on that number. We're calling it a nothing burger. We're calling it fake news and we're going to default back to what we're seeing in the labor market, what the data is telling us about the labor market and we're going to go ahead and say all you guys are off sides. We're going to take advantage of interest rates going up slightly and we're going to buy bye bye bye-bye. And maybe that's what brought it down to 3.52 close to where we ended the day. I that's probably what's happening here. Let's go to the 10-year which we just had up and uh it's kind of now we're in after hours. Let's see fiveday chart uh today. Yeah, kind of uh same thing. Look at this guys. Exact same thing. You had the knee-jerk reaction and then it's like, oh wait a minute. But the labor market, that's the biggest indicator. Let's go ahead and bye-bye bye. Bring those yields back down even lower than they were to start the day. Now, let's go to the 30. Exact same thing. Look at this. Right around 8:00, boom, number comes out. Knee-jerk reaction. And then just bye-bye bye bye bye. Meaning a sell-off because there's an inverse relationship between the price and the yield. And this is showing us the yield, by the way. And then just boom, boom, boom, boom, boom, all the way down almost closing on the lows of the day. Similar to the 10 year and the the and the uh 2-year. So, who's right, guys? I'll let you be the judge. Is it the retail sales? Is it the CME Group? Or or is it interest rates in the dollar? We'll have to see. I would be shocked if the Fed did a 50 just because even if they want to, I don't know they want to disrupt the market to that extent when there's a 96 they're predicting 96%. And especially, you know, Pal doesn't want to bow down to Trump. I I think there's a lot of ego there on both sides and he definitely doesn't want to see be seen as the next Paul Vulkar. So even if I'll bet you what's going to happen tomorrow is they're going to have a dovish 25% and you're going to have disscent. You're going to have two or three of the Fed I don't know what the governors what they call them. Uh I think you're going to have two or three descents which is extremely rare but we saw that the last time. That would be my prediction for tomorrow. Okay, now let's go over some exciting exciting news. Gold, gold, gold, gold. I feel feel like that James Bond movie with Goldfinger. And let's look to see I we're over 3700, guys. 3730. Whoa. Unchartered territory. That is the truth. And today you saw a big selloff in the GDXJ which uh I own personally and as you guys know I own a lot of gold and I sold some of my gold about a month or six weeks something like that because I wanted to play the catch-up trade with gold and that's worked extremely well. We've got a chart of the GDXJ just over the last month. were up almost 22% when gold I'll just use GLD um up 10%. 10 11%. So you made an extra 12% by switching over to the GDXJ and kind of playing the underlying asset through let's just say a derivative of the gold miners or the junior gold miners. And so this has worked really really well. But today you see gold up and you see the GDXJ big sell-off down almost 3%. Now for me and again this is not investing advice at all. So just take this with a grain of salt. I'm just telling you what I'm doing for me. I'm starting to lick the old chops right here because we got a great trend. We got a pullback. And maybe, just maybe, I'm not saying I am, but maybe, just maybe, I might add to the old position here in the GDXJ and use this pullback to my advantage. And I'll go over that in Rebel Capitals Pro if some members are watching right now. So, now this brings me to today's sponsor, and I love talking about gold going higher and higher and higher and higher and higher because I own a lot of it. But there's a problem. There's a problem. If you own a lot of it, you can't really store it in your backyard. And the higher the price goes, the more storage fees you pay because you're paying the storage fees based on the value of the gold instead of the number of ounces you have or the weight of gold you have with the company. So, I was contacted by my good friend Keith Weiner the other day and he has a company called Monetary Metals and they actually have a solution for this. So, he wanted to sponsor the channel and usually, as you guys know, I don't really take sponsors, but I thought this could be a good fit because I know a lot of my audience really likes gold and silver. They do both. And but I said, "Okay, I want to understand the business model because it's kind of weird that you're paying people to store their gold. Like, what's the catch?" And, you know, is this a Ponzi scheme? Is this a scam? Like, like this, this is just kind of weird. And so, he walked me through the business model. I'm like, "Oh, I get it." Okay. So, what you're doing is you're taking the gold and you're leasing it to jewelers. And jewelers have either hedging their inventory or they just don't want to have the out- of-pocket cost to buy the gold. Whatever it is, there's a lot of reasons why a jeweler would want to actually lease gold. So Keith acts as kind of the intermediary there. And uh the entity, the jeweler pays Keith in gold and then he pays you in gold. So you can get maybe a 2 3 4% interest rate paid in gold on your gold that you have in storage as opposed to paying that storage fee. So it's a great solution. I've been using it for about 3 months. I've got um probably close to $50,000. I started with I know 40, but the price has gone up so much it's probably close to 50 now. And they're great people, great customer service. Their website, they've actually changed it since I started working with them. And I think it's much more user friendly. And you can see some examples of the uh gold leases they do. And you can actually choose which ones you want to participate in and which ones you do not want to participate in. And they do this with gold and silver. So give them a call over there. Tell them that George sent you. Or if you want to go directly to their website, check out more, you can go to monetary-metals.comgamin. That's monetaries monetary-metals.comgamin. Josh will put a link in the description below. Give him a call, reach out to him, ask any question you want, and see if this could be a good fit for you because if it is, it's a great solution to a not have to pay the storage fees, but b actually earn an interest rate paid in gold on your gold. So, check them out. Josh will put an explainer video where I go over their business model and a link to their website in the description below. Or if you're old-fashioned like me, you just go to the bottom of their website, give them a call, tell them George sent you. All right, guys. Enjoy the rest of your evening. As always, make sure you're standing up for freedom, liberty, free market capitalisms. We'll see you in the next video.