Tom Luongo & Vince Lanci: Part One – How a Global Reserve Currency Dies
Tom Bodrovics welcomes Tom Luongo and Vince Lanci to the show to discuss current geopolitical realities. They discuss the current dealings between the U.S. and China and the impacts on the markets. Vince explains that China is a capitalist society and would not dump their U.S. treasury bonds, as it would be cutting their nose to spite their face. Luongo adds that Joe Biden seems to be a puppet for a variety of actors, and his ultimate purpose is to prevent world war three. He also states that across almost every vertical or idiom there are people trying to ignite and control the conflict.
The conversation turns to mercantilism, and how it is a manifestation of the deglobalization that has been accelerated by the complexity collapse of Covid. The guests also discuss how the media rarely talks about it, and how Victoria Nuland and Jake Sullivan have recruited various countries to try and isolate Russia. They theorize the Wagner Rebellion may be used as a method for Putin to essentially “fold in” mercenaries that prove too important to be independent.
They then debate the ultimate outcome of the situation, speculating that the US believes that in the long-term Russia collapses due to their reliance of oil revenue, while Russia believes that in the long-term they succeed despite the United States’ tactics. They also discuss how the Saudis are demonstrating their power by pushing a little oil onto the market, and how the Russians have been preparing for the confrontation for the past decade and are now putting in place the same infrastructures as the Chinese put in place in the mid-1990s.
At the end of the day, all sides are playing a waiting game, and it seems Putin has the upper hand. It could be a long wait until a resolution is reached.
Time Stamp References:
0:00 – Introduction
1:20 – China & Capitalism
6:45 – Biden & Pushback
10:08 – Oil Trade & OPEC
14:34 – Trade & Mercantilism
21:00 – Sanctions & Russia
26:40 – Biden & Sec Gen. NATO
30:43 – Geopolitics & Wagner
34:21 – Belarus & Color Revolts
37:47 – Pakistan & the Saudis
38:53 – U.S. Positioning & Energy
40:24 – Time & Global Pressure
48:48 – Gold Settled Futures
Talking Points From This Episode:
- The US and Europe are relying on mercantilism and a strong currency to hold out against Russia’s tactics.
- Russia has been preparing for confrontation with the US for the past decade, putting in place infrastructures to ensure traders that their investments are safe.
- All sides are playing a waiting game, with Putin currently having the upper hand.
Luongo is an ex-Research Chemist and Anarcho-Libertarian, whose work can be seen on sites like Zerohedge and Newsmax Media. He has been married for 30 years and has a teenage daughter. Professionally, he has seen an industry be created and destroyed by government fiat. He ran for Florida House and later spent 5+ years working on an electroless Nickel-Boron coating. Additionally, he is the publisher of the Gold Goats ‘N Guns Newsletter. He does not believe in the man-made global warming narrative, and his political views lean toward libertarianism. In his free time, he builds, raises goats, plays hockey, drums, and plays board games. Lastly, he owns a few guns.
Vincent Lanci is the Founder and Owner of Echobay Partners LLC., and a regular contributor on the financial news platform Zero Hedge. His achievements include being a part of Market Wizard Larry Benedict’s Opportunistic Trader project as a precious metals and option market expert, and co-authoring Forecasting Oil and Natural Gas Volatility with Professor Robert Biolsi for the University of Connecticut in 2017.
From 2004-2008, Mr. Lanci was the Co-Head of Metals and Energy Trading for CiS Options LLC, Echobay’s predecessor. He ran the long-short and vol-arb portfolios for the parent fund, resulting in a 139% increase in profits which totaled to $103MM.
His professional experience prior to 2004 includes founding and operating Berard Capital LLC in 1993, working as the chief architect for Whentech’s ‘Pit-Trader’ user interface, and being part of Lehman Brothers and Cooper Neff. An active commentator, Vince speaks at conferences such as Mondo Visione, Mines & Money and is a vocal proponent of a fair playing field for investors.