Lobo Tiggre: The Fed Led Monetary Tightening and Will Lead Easing
Tom welcomes back Lobo Tiggre founder and CEO of Louis James LLC. He is the principal analyst and editor of IndependentSpeculator.com and his speciality is in evaluating resource companies.
Lobo starts out by explaining the dangers of believing theories that fit one’s worldview, but cannot be proven. Tiggre’s article “Rationalism versus Empiricism in Securities Analysis” warns against buying into theories peddled by salespeople. He uses the example of central banks buying gold to show how theories can be wrong and hurt investors. He then discusses the example of supply side deficits, and cautions against believing theories of scarcity. He explains why the cost of production does not always act as a floor for commodities, such as copper, during a recession. He cautions against succumbing to theories that sound too good to be true.
Lobo discusses the IMF’s prediction of a third of the world’s economies entering recession in the upcoming year. He voices that there are more negatives associated with the recession than positives in the form of China reopening. The world economy is fragile and there is potential for something to break and cause a new Lehman moment. He also mentions that gold and silver are a good form of insurance during this time of uncertainty and that the ECB may be more hawkish than the Fed in the near future, which could lead to a bearish dollar and bullish gold and silver.
Lobo is also bullish on uranium and is of the opinion that the nuclear renaissance is inevitable and that the green agenda cannot be achieved without it. He warns gold bugs to not be discouraged by the lack of performance in 2022 and encourages them to pay attention to inflation rates and the DXY.
Time Stamp References:
0:00 – Introduction
0:32 – Untestable Theories
4:54 – C.B. Gold Buying & Price
8:26 – Supply Side Deficits
11:52 – Deficient Markets
15:27 – Recession Implications
20:54 – ECB Hawkishness & Fed
28:03 – DXY & Gold Benchmarks
31:46 – Magic Wands & Fairy Dust
33:33 – Politics & Power
37:36 – Energy, Gold, & 2023
44:00 – 2022 Thoughts & Wrap Up
Talking Points From This Episode:
- Investors should be wary of theories peddled by salespeople and make sure they can be proven before investing.
- Gold and silver are a good form of insurance during this time of economic uncertainty.
- The nuclear renaissance is inevitable and the green agenda cannot be achieved without it.
Lobo Tiggre, aka Louis James, is the founder and CEO of Louis James LLC, and the principal analyst and editor of IndependentSpeculator.com. He researched and recommended speculative opportunities in Casey Research publications from 2004 to 2018, writing under the name “Louis James.” While with Casey Research, he learned the ins and outs of resource speculation from the legendary speculator Doug Casey.
Although frequently mistaken for one, Mr. Tiggre is not a professional geologist. However, his long tutelage under world-class geologists, writers, and investors resulted in an exceptional track record.
A fully transparent, documented, and verifiable track record is a central feature of the IndependentSpeculator. Mr. Tiggre will put his own money into the speculations he writes about, so his readers will always know he has “skin in the game” with them.