Don Durrett: Fed has Lost control of the Economy and Inflation
Tom welcomes back Don Durrett Author, Investor & Owner of GoldStockData.com to the show.
Don believes that the financial media and government tend to release bullish information which is inaccurate and misleading. He believes the real threat is the economy not coming back to life, since the Fed rarely gets anything right. A new liquidity crisis or “Lehmann moment” is coming. The Fed will have to react to the economy instead of steering it.
Don is bullish on gold and silver and thinks that commodities such as energy, copper and most others will rise this decade. He believes we will also have a rally in the dollar as a fear trade.
Don predicts that gold will have a pullback to the $1740 region once Wall Street realizes there won’t be a soft landing. He believes silver will eventually reach $100. This will be preceded by a growing supply deficit which will manifest in a shortage of 1000 ounce bars.
Time Stamp References:
0:00 – Introduction
0:35 – Don’s Substack
2:04 – Fed & Flawed Metrics
9:25 – A Reactive Fed
13:10 – Equity Market Outlook
18:18 – No More Cheap Goods
23:46 – Energy & Inputs
29:04 – The Dollar & Rates
37:05 – 2023 Gold Strength
42:35 – Silver Supply
51:50 – Optionality & Miners
1:01:30 – Wrap Up
Talking Points From This Episode
- Expect the Fed to react to the economy with lower rates and more printing.
- Commodities rising this decade and the gold silver ratio eventually reach thirty.
- Wall Street must accept the economy won’t have a soft landing for gold to break $1950.
- Don gives us this thoughts on optionality in the miners.
Blog Posts: https://seekingalpha.com/author/don-durrett#regular_articles
Don Durrett received an MBA from California State University Bakersfield in 1990. He has worked in IT-related positions for 20+ years. He has been a gold investor since 1991, with a focus on Junior Mining stocks since 2004. Realizing the value of investing in gold and silver and noticing the lack of available material for first-time investors, Don set out to provide information. First, he wrote a book, How to Invest in Gold & Silver: A Complete Guide with a Focus on Mining Stocks. He followed up the book with a website (www.goldstockdata.com) to provide data, tools, and analysis for gold and silver stock investors. His gold and silver mining stock newsletter is widely regarded as one of the best. He is a frequent guest on financial podcasts and a contributor to SeekingAlpha.com.