Off The Cuff: Defending Against Fiat Currency’s Demise

In this week’s Off The Cuff I sit down with John Rubino to discuss:

• Why the #silversqueeze still matters
• The massive remaining upside for precious metals
• Why the ‘Everything Bubble’ is our most complicated crisis ever
• Steps investors can take to defend against the demise of fiat currencies

Despite #silversqueeze being little more than a flash in the pan media-wise, it’s lasting implications are proving quite substantial.

Retail silver inventory remains exceptionally tight, and premiums remain very high. While the Reddit-sources buyers came and went quickly, the hoopla brought the topic of sound money to many new ears, and precious metals dealers are still seeing a sustained influx of first-time purchases from new buyers who have decided that adding a little gold and silver to their portfolios is a wise move.

This shift in market sentiment towards bullion, especially silver, is helping set the stage for a potentially serious supply shortage ahead should another buying blitz occur.

Of course, the arguments for owning bullion are driven by the dynamics of the Everything Bubble the world now finds itself in, where global fiat currencies are being rapidly devalued in a futile attempt to keep the system from collapsing.

So the endgame looks clearly like a currency crisis — meaning you want to be positioned in assets that will survive inflation. Of course, should the markets correct substantially on the path there (as venerated experts like Jeremy Grantham are warning could happen within the next few months), cash would be a safe place to be when that happens.