Summary: Feb. 3, 2017 Featured GuestsJim Rogers and Charles Hughes Smith http://radio.goldseek.com/shows/2017/02.03.2017/GSR-02.03.17-c.mp3Please Listen Here: Show Highlights Jim Rogers rejoins the show from his Singapore office with his latest market commentary. The crude oil market appears to be building a bottom - he expects the low to emerge this year representing a buying opportunity. Jim Rogers finds value opportunities in the base metals and other commodities sectors. While the US equities markets rally is impressive, our guest points to financial history, noting that 3 rate hikes spells trouble for equities. Given investor's distaste for US Treasuries in recent months, the go-to asset class could be come cash, Greenbacks, US dollars. The US dollar registered a convincing technical bottom in the weekly chart last week, suggesting that the uptrend could resume in the dollar bull ETF (UUP). Jim Rogers is concerned by comments from the new Administration suggesting the potential for trade wars, typically ending with few winners. The discussion includes the pressing issue of financial safe havens.The PMs gold / silver backed cryptocurrencies such as SilverBit / GoldBit offer some of the benefits of both currencies in one instrument. Charles Hughes Smith from the Of Two Minds blog returns with commentary on the US economy / financial markets. US corporate buybacks data indicates that near zero interest rates has enabled thousands of firms to issue debt at low rates used to support share prices. The financial slight of hand is based on the concept of rising corporate earnings. According to work by David Stockman, debt is the primary means of economic growth. Currently the national debt stands at the Dow advance and US debt (Figure 1.1). National income and corporate earnings trends are static, for the most part, suggesting a decreasing return on each dollar of debt accumulated. Debt growth has eclipsed the rate of GDP expansion, presenting yet another red flag, further degrading the nation credit score. History teaches that as currencies are devalued, bad money drives out good, i.e. Gresham's Law, which may explain much of the push to abolish cash. Charles Hughes Smith notes that all the bad debt will eventually be written off - he advocates sound money investments such as arable land and PMs.Show HostChris Waltzek Ph.D. About ChrisContact Hostgsradio@frontier.com
