Negative Interest Rates Signal Final Currency War-Andy Hoffman

Andy Hoffman: Gold and Silver Update, Negative Interest Rates and MoreBy Greg Hunter’s USAWatchdog.com

Financial analyst Andy Hoffman says the negative interest rates installed last week by the European Central Bank will eventually mean depositors will pay the banks in Europe to hold their money.  Hoffman explains, “I believe that will happen in time . . . inevitably there are only so many tools in the arsenal of the central bank.  They can print money and lower interest rates . . . all that stuff.  Now, the ECB, like the Bank of Japan, and the Fed are at the bottom of the barrel. . . . What they are trying to get them to do is for the banks to take the money out and lend it. . . . Of course, it’s ridiculous because they are not going to lend anything.  They are insolvent.  That’s why the ECB is also reinstating . . . their Long Term Refinancing Operation to liquefy banks like Deutsche Bank and Portugal’s Espirito Santo because they are in big trouble.  So, will it get down to depositors?  Well, you have two choices.  Either eat those losses, and I just mentioned, they are already drowning in insolvency, or pass them along to depositors.  Yes, I think in the coming months, you will see banks with negative deposit rates. . . . I would take my money out.”

So, where do you put money when bank deposits turn negative?  Hoffman, who has 15 years’ experience as a Wall Street analyst, contends, “Some people say gold is a barbarous relic and you can’t eat gold.  One of their favorite reasons why you shouldn’t own it is that it pays no interest.  Now, paying no interest is paying higher than a bank account is going to be paid.  We say at Miles Franklin that gold and silver is not an investment.  It’s your money.  It’s the way you used to think of money.  You didn’t worry that your bank would be insolvent . . . that the bank would be bailed in or bailed out with your taxpayer money.  Now, people are saying is it really safer to have my money in a bank?  Isn’t it safer to have gold and silver?  I think more and more people around the world . . . are going to realize gold and silver are real money.”

Hoffman also warns, “This is a major alarm bell for everyone and a major inflection point.  Now, the central banks have dared go where even the Bank of Japan has not gone, which is to take rates to a negative level.  You can’t go lower than negative.  You go too negative, and people realize it doesn’t work, and people realize there is nothing left.  Let’s face it, the European economy by all quantitative measures is at its low point since the EU started in 1999.  In our lifetime, we have record unemployment and record debt.  What these countries are trying to do is destroy their currencies in what I call the ‘Final Currency War.’  People are anticipating that all countries, including the Fed, are going to be doing their own QE (money printing) programs.  This ‘Final Currency War’ is being fought with currency against currency.  Where it is being lost by all the central banks is against items of real value, which is why food prices are soaring around the world.”  Hoffman goes on to say, “More importantly, it’s items that we need versus items we want.  The fact that an iPhone is going down in price doesn’t matter because you don’t need it.  You don’t need to own a home; you just need shelter over your head.  In things you need like food, energy, education, health care, insurance, you name it, those things are going up in value.  The more they print, the more they are going to drive up prices of things you need.  This is going to cause a further circle of doom.” 

How will we know when the money printing game is coming to an end?  Hoffman says, “The biggest alarm bell is the Fed.  Forget what they are doing behind closed doors with the fake ‘tapering.’  When Janet Yellen is forced to come out and say we got to stop the taper, or we got to reverse it because of the failing U.S. economy, that will be the final alarm bell.  After that, there will be no way shape or form that the mainstream media, Washington or Wall Street, can pretend that it is anything other than what it is–failed central bank policy.”

Join Greg Hunter as he goes One-on-One with Andy Hoffman, Media Director at Miles Franklin, precious metal specialists.

(There is much more in the video interview.)

After the Interview:
Hoffman is a prolific writer.  Click here for his latest article titled “Whatever it Takes,” and here for his archives.  Hoffman told me “Gold is my savings, not an investment.”

Comments
  1. Ugly

    Greg,
    Good interview. I know you have heard these arguments a million times, but I thought I would throw them out again. I have bought some silver, mostly US Silver Eagles and a few Canadian Maples. Is this as good as silver gets, or is there something more recognized such as 1 ounce or 10 ounce silver bars?

    On gold? I just don’t trust what I see. When I look at a gold coin there is just something I don’t trust about it. I don’t know why, but my gut instinct tells me not to buy one. I wish they would sell gold nuggets in its pure form. Just weigh the nugget(s) and say what it costs. Am I paranoid?

    Lastly. I have bought silver for a storage hedge only. How does one pay bills on a daily, weekly, or monthly basis without some form of currency? A person could have quite a bit of silver but also no cash and debt. For PMs to work there would almost need to be a depository where you take PMs and they cash in and give you a card where you have credits that are recognized for purchase such as food and gas.

    I can definitely see the Biblical ‘…a quart of wheat for a days work’ coming our way soon. If currencies crash, then our work will be for water, energy, and food. That is about it….

    • Terra Tear

      I have asked this question for a long time, how are you going to use gold/silver after a financial collapse? I have never received an answer. Somewhere like Africa might be good for street barter due to their mining of it, of course they would know the value and in Zimbabwe they do trade in gold [nuggets]. But this is not Africa or India…Barter is illegal here, by LAW. Even a black market would not deal in precious metal unless it was a piece of jewelry. Even then it can be fake and would be seen as suspicious. And most americans are of an entitlement mentality so any talk of ‘protecting yourself ‘with precious metals is just preaching to the choir…

      • Galaxy 500

        So you.wrote,”Even a black market would not deal in precious metal unless it was a piece of jewelry.”
        Its hard.to gauge.what will be a.medium of exchange in the.black market.in the future. My LE contacts.tell.me drugs.are.routinely.traded for.guns. I believe that when.this economic Tsunami hits.that.paper money will.work.really good up.until the time people realize its.worthless which may.be.a.week.or six. But at some point, inflation will.be.devouring it so fast.that it will be shunned for pms. There have been gold bar fakes but.there is no recorded.case ever of a gold eagle fake (yes, some real double eagles.have been modified with different mint marks but it was already a real double eagle). I personally think you should have.both silver and gold. If you had to run for your life, you.could carry 200-400 oz of gold as opposed to.the 1,200-2,400 oz of silver but for day to day transactions silver.would likely be the medium.
        As far.as barter being illegal, if things get tough and I trade.a.dozen.eggs or a.chicken.for a gallon or.two.of gas , I really dont think thats.going to be.a.problem.

    • A. HALL

      Ugly: Al here in S.C. I was warned about eight years ago to get into silver and gold, and out of to be worthless paper currencies. My friend was in the coin shop business. I trust him and if he sells me gold I know it’s good, he would have screened out fakes. He has found fakes before and when people bring these in he keeps them to get them off the market. So. buy from some one you trust.
      Also, I was told to first buy old silver dimes(90% silver) then the same in quarters. Why?
      Because if you think ahead when silver is $100-200/oz. and you only have silver 1 oz coins- how will anyone be able to make you change. At these silver values a dime will be worth $20+. Barter will be the thing!! Also, a friend told me to be sure I have enough silver or gold to pay my taxes for at least 5 years. When the system collapses and you can’t pay our taxes they will take you house. They want it one way or the other.
      My guy has just put out the buy signal for gold and silver again after 3+ years –

      BUY, BUY, BUY he said!! do it! He once said- “Paper money is only worth the paper it’s printed on” this includes stocks, bonds, life insurance, etc It’s all paper.

      • Hi Ho Silver

        Easy solution to your question. Just take your silver to the nearest local PM bullion dealer and sell it there. Then take currency to grocery store.

    • allen ols

      ugly,
      check out saul alinsky s 8 steps to …..
      Born: Saul David Alinsky, January 30, 1909, Chicago , Illinois
      Died: June 12, 1972, Carmel-by-the-Sea, California
      Education: University of Chicago , Ph.B. 1930, University of Chicago Graduate School, criminology, 19301932.
      Occupation: Community organizer, writer, political activist
      Notable works: Reveille for Radicals (1946); Rules for Radicals (1971) Dedicated to Lucifer
      Awards: Pacem in Terris Award, 1969
      Saul David Alinsky(January 30, 1909 June 12, 1972) was an American community organizer and writer. He is generally considered to be the founder of modern community organizing. He is often noted for his book Rules for Radicals. From that book here are Saul’s thoughts on how to create a social state:

      There are 8 levels of control that must be obtained before you are able to create a social state. The first is the most important.

      1) Healthcare Control healthcare and you control the people

      2) Poverty Increase the Poverty level as high as possible, poor people are easier to control and will not fight back if you are providing everything for them to live.

      3) Debt Increase the debt to an unsustainable level. That way you are able to increase taxes, and this will produce more poverty.

      4) Gun Control Remove the ability to defend themselves from the Government. That way you are able to create a police state.

      5) Welfare Take control of every aspect of their lives (Food, Housing, and Income)

      6) Education Take control of what people read and listen to take control of what children learn in school.

      7) Religion Remove the belief in the God from the Government and schools.

      8) Class Warfare Divide the people into the wealthy and the poor. This will cause more discontent and it will be easier to take (Tax) the wealthy with the support of the poor.

      Any of this sound familiar?

      • Allen H.

        allen- correct again- this is the plan and the playbook. All the work is complete- collapse can happen at anytime. They have delayed this twice already so more people would be in debt and become poor. All part of their plan.
        Note Hillary Clinton loves Saul A. Frightening!

    • Galaxy 500

      Just weigh the nugget(s) and say what it costs. Am I paranoid?

      Ugly,
      Think your concern on gold eagles is unfounded. Hit one a few times with a heavy hammer if you doubt me. And how would you be able to tell real gold nuggets from fake? I have seen fake gold nuggets.

    • Ugly

      Thanks Terra, AHall, and Allen.

      I have bought silver and will do more. The biggest issue with me is the 1 ounce gold coins. I just can’t seem to want to fork out $1300 for one of the coins. I wish there were pre-1964 coins out there that had gold in them. If I ever buy gold it will be in the bar form. The other issue I have with gold is if it is in such short supply and high demand, then why can I buy it easily at the local coin shop? There is just something about gold I don’t trust. By that I mean it appears to be a rich man’s and elitists game only. So silver is for me….

      • Galaxy 500

        Ugly
        Think you are making a.mistake. The only gold counterfeited to.date.has been bars. The US and Canada mint offer less than one ounce coins but you pay a premium. There are some pre 1932 five and ten dollar coins but they cost.extra. I.wont be.trading for bars.unless I can have them refined before I.do.the trade.
        Greg,
        What are your thoughts on gold bars?

        • Greg Hunter

          500,
          If you have millions and millions of $ to invest, sure you will need to go to bars if you want physical. But if you have a few million down to a few thousand $’s go with coins. I wrote a post on this very subject because I have so many ask me about this. Here’s the post: http://usawatchdog.com/how-to-buy-gold-and-silver/ I DO NOT SELL gold or silver of any kind (or any other investments.)
          Greg

  2. allen ols

    Greg;
    I also have been reading A. Hoffman for a long time. Same old story, the banks keep grasping at straws, to keep this kenysian fraud going, knowing all along, fiat currencies historically fail and drop to zero. The masses, are blind to this, trying to educate the un informed masses, is like trying to tell an unbeliever of His need for a savior in jesus Christ. People are wrapped up in the cares of this life and too lazy to investigate for themselves. They are right in my own family, enjoying life now, not recognizing, the ball is falling, the shoe is dropping, food pricing increasing, stealth inflation creeping up, and they are unawares of the impending collapse, and eventual war to hide the fraud and blame others.

    • A. HALL

      Allen: your spot on man!! You sound like me and my family & friends. can’t happen here! They are living in the 60’s still.
      Say- New World Order! Pres. Bush Sr. Heads it up here and said it first.
      Most people are living in a fantasy world. The elite’s will take us to war-Nuke war I’m afraid.

    • Outlookingin

      Gold is the money of Kings.
      Silver is the money of landed gentry.
      Barter is the money of peasants.
      Debt is the money of slaves.

    • Julian Reczek

      Hi I am an Australian living in Thailand . I hear what you are saying and have the same problem ,you just cannot help some people .You have to be concerned with yourself and your immediate family only. It is difficult when you are a compassionate person ,but there is no other choice . The other alternative and the one which I have adopted is not to try and convince people what is happening beceause they just cant handle it,is to help chosen ones after the event . In other words prepare for them . This is my attitude at the moment .Im pretty sure that most people are just too scared to see life as it really is .Here in Thailand people understand life much better than elsewhere and seem very content to accept what ever happens and work through it . But they are also not tainted by mass consumerism and media brainwashing either .

    • Diane Ryan

      Allen Ols, amen. Your words are truly a “State of the Nation’.

      We have finally given up trying to awaken love ones. It seems even more profound than them simply being lazy. It’s as if God has literally ‘switched’ the masses ‘off’, and ‘on’ for some of us. For me personally, truth suddenly hit me like a freight train in 2008. I believe it was spiritual, but for what purpose I do not yet know. That said, we have been unable to ‘gently’ wake up even one of our love ones. Yes, it is like trying to awaken an unbeliever to Jesus Christ.

      At this point we have the comfort knowing we tried to help our love ones. Our children know how to find us and if they make it here we will do our best to help them.

  3. allen ols

    greg;

    You’ll never get the truth from the U.S. government’s media mouthpiece who self-righteously and disingenuously claim they are independent and “fair and balanced” (cue laugh track).

    Clinton, of course, is no different than your garden variety Republican, including the any number of neocons. All of them are propped up by the military-industrial-intelligence complex and the banksters who run the show and who laughingly pretend we all live in a pluralistic democracy. Of course, anybody who has more than two brain cells to rub together and is not in serious denial knows we live in an authoritarian plutocracy run for the sake of a small clique of mega-rich and powerful global internationalists.

    http://sgtreport.com/2014/06/hillary-clinton-warmonger-for-the-bankster-elite/

    • Paul from Indiana

      Al, there are 2 kinds of politicians: one knows going in he is owned, and the second type who thinks he’s his own man going in and quickly learns, once in, he is owned. Clinton and Obama and both Bushes are examples of the the first, Eisenhower and Reagan are examples of the second. Looking at our Presidents in this light, it’s not hard to tell which group they are/were in and what to expect. I appreciate all of your postings here. Many thanks and best always. PM

    • A. HALL

      Allen – again spot on!!

      • allen ols

        greg, paul indiana, outlkng, al hall, ugly and more;
        I just pulled this up from 2nd round of J. willie inter.

        Dead Petro-Dollar Event Coming- Saudis set to announce the acceptance of ANY CURRENCY for oil, ALL OPEC Nations to Follow!!
        US Economy in Free-fall- stark evidence screaming full collapse ahead as monetary velocity plunges to 20 year lows!
        QE has been a dead-weight millstone on the neck of the US economy- true purpose is to collapse the US economy and institute global fascism!
        And Willie’s MOST SHOCKING CLAIM EVER: Japan, Saudi Arabia, France, & Germany are preparing to turn against the US, & join the Chinese/Russian Alliance!

  4. bob

    wow! that was a great interview with andy. i respect andy for not trying to predict a price on silver and gold. with all the magic over decades you never know when they will pull another ace out of their sleeve. but like he said it’s coming to an end. you need to have andy on again. it’s hard to add or dispute anything he said, like all of your interviews.
    this is off the subject, but i am blown away with this. i have to get this off my chest. my daughter has her first job. it’s one of the things in your wallet and grows in your yard stores, without name. she was telling me that she had caught somebody that was stealing an item. she was told in training that if you see this approach the person and ask if they need help. that is it. the hope is that they put the item back. if they leave, oh well. please is this going on everywhere? and what is this teaching her or the one stealing.

    • Greg Hunter

      Thank you Bob. I think he will be coming back.
      Greg

  5. Oracle 911

    Hi Greg
    Watch the situation in Ukraine, it will be a game changer: http://vineyardsaker.blogspot.co.uk/2014/06/saker-rant-please-tell-me-my-worst.html
    http://vineyardsaker.blogspot.co.uk/2014/06/my-rant-tonight-okay-i-will-try-to.html

    Your thoughts.

    • Jerry

      Oracle. This article is right on target. My source says Russia will attack soon. People in this country are fools to believe that the Russians do not mean business. They are flat out not going to let the west position nuclear war heads in Ukraine.

      • wd

        Jerry,

        I agree completely with you on Uke, this is where the pin will pop the bubble-no doubt. Is your source that reliable? It seems to me he/she is. No offense meant by question.

        Thanks

      • Oracle 911

        Hi
        If that prostitute in Ukraine (Poroshenko) calls in the NATO, the Russians come in without second thought. BTW according some source the Novorosian forces already captured mercs from NATO countries which were fighting on the fascist side:
        http://www.praguepost.com/eu-news/39490-czech-diplomacy-denies-reports-of-czech-mercenaries-in-ukraine

      • Galaxy 500

        Jerry
        I.am curious. How would your source be in a position to know what the.Russians plan to.do before they.do it?

  6. Mike Soon Over

    As my name concludes it’s soon to be over. The bs can go on for only so long. SOON OVER
    Great interview Greg.

  7. PeterB

    Great interview Greg. Always enjoy listening to Andy Hoffman.

    All the best

  8. smaulgld

    Great articulate guest, have followed Andy for a while.

    Europe going to negative interest rates is yet another (final?) ploy to kick the can down the road. It also is an indicator of central bank coordination and a bailout for the Fed.

    The Fed has done QE for years as an ongoing bailout for the US banks. The US economy not strengthened, but the dollar has weakened significantly vs. Euro. Europe needs a weaker Euro to improve its exports.

    The U.S. needs significant buyers of U.S. Treasuries to support the dollar as the world’s reserve currency. The Fed has been that buyer purchasing 60-90% of the newly issued U.S. Treasuries, effectively funding the U.S. government’s deficit spending. Many of us have asked- WHO will be able to buy the staggering amount of U.S. Treasuries that the Fed has been buying at the price they have been buying as they taper and end QE?
    We have seen recently it’s been “Belgium” picking up the slack.

    With the ECB going to negative rates it makes sense perhaps that European banks and others in the know have been front running the negative interest rate decision and have been buying US treasuries (through Euroclear in Belgium) that still pay some interest (the Fed since 2008 pays interest on excess reserves even of foreign banks).

    Thus the ECB going to negative interest rates creates new buyers of U.S Treasuries effectively bailing out the Fed from QE. More:
    http://smaulgld.com/european-central-bank-negative-interest-rates/ (podcast) and; http://smaulgld.com/negative-interest-rates-europe-means-europe-buys-u-s-treasuries/ (blog post)

    The central banks may have bought yet more time for their scheme with this move.

    Andy is correct gold is NOT an investment -it’s money and should not be compared to stocks and bonds but rather to other currencies http://smaulgld.com/gold-silver-and-real-estate/

    BTW- a move like the ECB’s should have sent gold and silver soaring- it didn’t, the rise was muted!

  9. smaulgld

    UNbanking is trending- one in ten New Yorkers do not have a bank account!
    People are catching on that all the central bank manipulation is consumer price inflation for the middle class and asset price inflation for the wealthy and that it’s against their financial interest to keep money in banks. http://nypost.com/2014/06/07/1-in-10-new-yorkers-dont-have-bank-accounts/

  10. smaulgld

    Andy misspoke re US silver eagle sales this year, claiming they are ahead of last year’s record pace.
    Through May, silver eagle sales at the U.S. Mint are not ahead of last years record pace, they are ever so slightly behind:
    Silver Eagle Sales Jan- May 2013: 21,768,500
    Silver Eagle Sales Jan-May 2014: 21,436,500
    http://smaulgld.com/silver-gold-sales-ratio-may-2014/

    • What you Forgot

      Sales of 2014 Silver Eagles were restricted in January due to a limited supply of available silver blanks. Silver Eagle sales during January reached 4,755,000 oz, compared to 7,498,000 oz in January, 2013.

      • Smaulgld

        Correct and since the mint has imposed a reduced allocation on all dealers that has yet to be lifted

  11. Colin - 'the farmer from NZ'

    Great interview Greg.
    My call – Andy Hoffman is a top guy and a genuine straight shooter.
    Things are getting more bazaar each week now with the central banking cabal of the world stooping to ridiculous levels to try to hide the fact that the western financial system is a broken wreck and that orthodox central bank policy is a dismal failure.
    One week it is the three Bs [Belgium Bond Buying]. The next it is negative ECB interest rates. What will it it be this week – maybe aliens buying billions of US treasuries.
    Who knows we will just have to wait and see what sort of insulting absurdity comes next.

    • Jerry

      Colin
      That’s a good one. Aliens buying Treasury’s. 🙂

      • Paul from Indiana

        Jerry, is Karen Hudes at it again? Best always. PM

  12. Jimbo

    In light of the old empire trick of clipping coins or lowering content of pm in the ancient coinage. Is it possible this could or has already occurred in eagles? Is there reliable third party analysis of content in eagles available ?

  13. Snorky

    Thnx for another great interview. I agree with you guest about ‘peak gold’ and ‘peak silver’. The low hanging fruit was picked a long, long time ago.

  14. art barnes

    Greg, things do speed up before a bottom falls out, that’s how a ponzi scheme works, the pressure gets greater to keep the illusion alive which makes for drastic measures of deception to be added to the scheme to keep it going. The reality is that those working behind a ponzi scheme know its just a matter of time, but as the defense lawyer once said about his criminal client “every day my client is out of jail is a good day”. The FED’s ponzi scheme will continue unabated with increased measures of deception until the bottom falls out. I disagree with your guest that the FED will come out and make a formal announcement about tapering or whatever, simply won’t happen as that is not how ponzi schemes work, they never take any corrective measures, it just plays out till it crashes, that’s it, nothing more nothing less; don’t expect anything but more of the same from the FED until all at once everybody knows we have crashed.

    • Paul from Indiana

      Art, this is beautiful analysis. But it is necessary to admit that all the games, deceptions, tricks, and schemes haven’t been employed yet. As SMAULGLD points out (brilliant!), this fraud of having the European Central Bank bail-in their own people via negative interest rates to PAY FOR our so-called interest-bearing T-Bills (to cover OUR deficit spending) is a scam most of us did not foresee. This is a testament to their creative schemes in keeping the deal afloat for as long as they perceive necessary, until, as you and Greg say, it doesn’t work anymore. Truly amazing. Best always. PM

      • JM

        Negative interest rates can be described as a bail-in or as early stage hyperinflation. I think the result will be the same. Who wants to hold money that goes negative?? Thus, we spend and that drives inflation. If the whole economy gets a bubble, its then called hyperinflation. The euro, dollar, renimby, and other currencies will be playing a game of “inflation chicken” where the 1st currency to fail to keep up, looses.

    • Colin - 'the farmer from NZ'

      Art
      Love your post.
      Man you nailed it completely in one powerful and articulate paragraph!
      Perhaps Janet, Mario, Mark etc. also subscribe to that same thinking – ‘every day out of jail is good day’

  15. dchayden

    Thank you Greg, for having some new faces on here, from time to time !!…and what a great guest Mr. Hoffman has turned out to be. Really like how he answers your questions. Definitely want to see more of him !! Thank you Greg : ) !!!

    • Winston Smith

      as Hemingway so eloquently put it when asked how he went bankrupt. “First gradually then suddenly”

  16. Jerry

    Greg thanks for having Andy Hoffman on. He is 100% correct when he said that “something could happen in July” that will force the Feds hand. According to my source. the City of London has targeted July 15th as the date for the reset of the dollar. According to him, the dollar will be knocked off its reserve status perch by the start of the Gold Exchange platform in Shanghai coinciding with the defeat of NATO in Ukraine. At that point should the dollar be replaced as reserve currency by the Gold backed Yuan, the Fed will have no other choice but to stop QE. And we all know the rest of the story when that happens.

    How is this all possible? The Central Banks are, and have been in control , since we allowed the Federal Reserve Bank ( who is The City of London) to seize control of our economic system. They know that the current fiat system has runs its course, and are just positioning themselves to be in power for the next financial system reset, which just happens to be with gold. The Chinese are not the only ones who have been acquiring Gold. The Banking Cabal have been stealing Trillions of dollars of Gold from Banks throughout the world for the past several years. In Ukraine, it just so happens that they just got caught with their hand in the cookie jar. Ask the Germans, the Saudis and list of countries as long as you arm, if they know where their Gold is? I would wager their vaults are as empty as Fort Knox.

    • Paul from Indiana

      Jerry, as you know, the immediate effect of this reset, whether it comes in July or whenever it comes, will be for the cost of ANYTHING imported to skyrocket in cost, because WE will now have to pay for our imports in the currency of exchange, aka the reserve currency. If that currency is the yuan (or a basket), the devalued dollar will have to be converted to that to pay for the import. There will still be currency (dollars) exchanged in trade within our borders. This is the so-called sh*t dollar of which Jim Willie speaks. There will likely be huge shortages of everything common now, hence the preparation theme of this site. BUT there will be a HUGE INCENTIVE for us as a country to start doing for ourselves again, which will require rebuilding our manufacturing base. Despite the dislocations and inconveniences, it could be the start of a new and better era for us. We must have the courage of our convictions and cooperate. Please continue your excellent work in our behalf. Many thanks. PM

      • wd

        Do you still see 50 states or a regionalization of areas?

  17. woody188

    Hoffman’s insight on inflation reminds of the “I can’t eat an iPhone” response to claims of low inflation rates by New York Fed President William Dudley in 2011. They replace the high cost needs in their calculations (food, energy) with lower cost wants (iPads, knick knacks, and other junk that collects dust on your shelf from Wal-mart) and claim that inflation is tame when the reality is food is increasing in price by 22% this year alone. Some are saying electricity rates will increase 40% with the new EPA carbon caps just announced last week. Inflation is tame?

    Only if one doesn’t eat, use electricity, drive a car, or when they calculate your cost of living adjustment for retirees!

  18. Sino

    I currently live in China, have lived in China for two years, and I haven’t noticed any increase in food prices in the two years I’ve lived here. One thing I did notice is, recently, I went to the bank to buy some silver and the price was double the spot price on the internet. Just some observations.

    • Greg Hunter

      Thank you for the reporting Sino.
      Greg

    • Hi Ho Silver

      Nice of you to mention about the price of silver in China. I just checked in on the US Mint website. They are selling Eagles, (ASE’s) for 43.95 each. What do the Chinese Govt and the US Govt know about the true cost of an ounce of silver that the “spot market” does not seem to know ?

  19. mushroom

    Hoffman is truly an expert – complex deep issues expressed in simple terms. Wonderful.

  20. Chip

    WOW! Great interview Greg! All the best… Chip

  21. klfoo123

    Greg,

    This is from King World News.

    Former Greek Prime Minister George Papandreou confessed to Ben Davies that there were “deep discussions” which had already taken place about a new “monetary order” that would include a new reserve currency which would take the place of the U.S. dollar. This was a truly remarkable admission from Papandreou, and even more astonishing was the fact that the former Greek Prime Minister was so candid in answering Davies’ contentious question.

    “What I actually asked him was, “Were you aware of the comments by the former Bundesbank Vice President and former ECB (European Central Bank) board member, Jürgen Stark, where he suggested that the entire financial system is ‘pure fiction’ and that it was vulnerable to a collapse because of all this infinite money that’s been created?” I went on to ask, “Had policymakers at the highest level discussed a change of the monetary order when you were in charge of the Greek political system?”

    He (Papandreou) was very thoughtful about this. He said to me, “Yes, beyond austerity, beyond reforms, there had been deep conversations about how to change the monetary order.” I asked, “Did this include a gold standard?” What he told me was, “It was about exploring a basket of currencies that could involve an asset like that (gold).”

    I asked, “Are you referring to an SDR (Special Drawing Right)?” And he said, “Yes. It would be along those lines.” He wasn’t trying to hide anything. He was very candid about it. But it was a very interesting exchange. It’s not often that you have these conversations.”

    To hear Ben Davies continue his discussion about the astonishing comments made by former Greek Prime Minister George Papandreou, be sure to listen the KWN audio which will be released shortly and you can

  22. lastmanstanding

    The big mining boys pulling out all the stops to survive, just like the oil companies did.

    Just like you and I at home.

  23. Galaxy 500

    Greg
    Another Monday in paradise. Is.part.of.this because.of illegals?
    http://nypost.com/2014/06/07/1-in-10-new-yorkers-dont-have-bank-accounts/
    If.only we.could.get.the politicians to.be rats
    http://www.independent.co.uk/news/science/rats-are-capable-of-feeling-regret-scientists-say-9510038.html

  24. A. HALL

    Greg: another great reality check. For many this truth hurt- but they have been warned many time over.

    This info matches what Lindsey Williams was recently by the “elite’s”(New World Order) and I quote him-
    “The Elite are instituting drastic measures which will be implemented IMMEDIATELY. The world as we know it will never be the same again. Expect catastrophic events in the monetary world, nature and the Elite EXPECT DIVINE REPERCUSSIONS.”

    AND ALSO THIS: – ” Multiply the events of 2008 many times over and that is what is about to happen. The Elite are ready to bring in the New World Order in its entirety.
    People MUST take action to combat the Elite and let them know we have had enough.”
    Your viewers had better prepare!

    al

    • allen ols

      Al Hall
      I posted these 8 events ( UNDER UGLY AT TOP) that must occur for SOCIALISM, AND NWO, to take hold, and as Joeseph Stalin said, “The fastest route to communism is through socialism;
      SAUL ALINSKY, OBAMA’S MENTOR WRITES.

      1) Healthcare Control healthcare and you control the people

      2) Poverty Increase the Poverty level as high as possible, poor people are easier to control and will not fight back if you are providing everything for them to live.

      3) Debt Increase the debt to an unsustainable level. That way you are able to increase taxes, and this will produce more poverty.

      4) Gun Control Remove the ability to defend themselves from the Government. That way you are able to create a police state.

      5) Welfare Take control of every aspect of their lives (Food, Housing, and Income)

      6) Education Take control of what people read and listen to take control of what children learn in school.

      7) Religion Remove the belief in the God from the Government and schools.

      8) Class Warfare Divide the people into the wealthy and the poor. This will cause more discontent and it will be easier to take (Tax) the wealthy with the support of the poor.

      Any of this sound familiar?

      • Ugly

        AlOls.
        All 8 are happening today in the freedom USA. It is a page out of Karl Marx Communist Manifesto. To control people, you must need them to need you. That is where food assistance comes in, as well as controlled education, debt loads, and so forth. Pretty soon 90% of the people will turn their anger on the 10% that were responsible, lived conservatively, and paid their debts, and had alittle to show for it. It will be the so-called ‘Have-Nots’ versus the ‘Haves’. The ‘Haves’ will have a home, a job, and some food. While the ‘Have-Nots’ will have nothing….

  25. PatriotRider

    “After that, there will be no way shape or form that the mainstream media, Washington or Wall Street, can pretend that it is anything other than what it is–failed central bank policy.”

    I agreed with him up to this statement…

    The MSM, Fed, Washington, Wall Street will outright lie and distort till the very end. It’s their nature. You can’t change the stripes on a tiger.

    As always, great guests Greg. Keep it up.

    PatriotRider

  26. Jerry

    Do you remember this headline? It says a lot about how we got into Ukraine.
    http://gopthedailydose.com/2014/03/11/watch-did-u-s-fed-reserve-just-raid-ukraine-treasury-of-all-their-gold/

    I must admit, that I was wrong about my first hypothesis. Initially I thought the Banking Cabal was ripping off Gold in order to stall off the collapse of the dollar. I now realize that they are orchestrating it with the Russians and Chinese, and will use their stolen Gold to be a part of the new Yuan trade system. Clever boys. No wonder they want to manipulate the price of Gold and Silver down. Wouldn’t you if you can get your hands on it on the cheap? Same song, just a different verse.

  27. Sayonara

    The time has come for us to say Sayonara.

  28. Thaddeus Thurston Thistlethwaite III

    “After that, there will be no way shape or form that the mainstream media, Washington or Wall Street, can pretend that it is anything other than what it is–failed central bank policy.”

    I’m quite sure that the media will find a way, no matter how lame, to put a positive spin on reversing the taper. And the Fed will reverse the taper while telling us it is still in place. That’s what is going on now anyway.

    TTTT

  29. Timco

    Andy is one of the best writers of our time.

  30. Charles H.

    Dear Greg,

    Well there is another ‘top quality’ guest and interview. Thank you Andy Hoffman! WOW!! (Inside straight-shootin don’t get no better.)
    This issue of Negative Interest Rates is, to me, proof that the Keynesian School of economics is false. (Debt doesn’t matter; gold – the anchor of value – only a antiquated relic; and only market manipulation matters…) It is a view that those who control money: control everything. But when one arrives at charging people for having and using money: the cart is absolutely placed before the horse! Money is an equivalent of value, and as such it should represent product or service (Isn’t that what we trade it for?); which is VALUE BASED ON LABOR. This is, in my opinion, is the foundation of the Austrian School. Keynesians “create” wealth out of thin air; Austrian subscribers create wealth out of labor. So people who work and create wealth must PAY those who operate the monetary system? Those who actually create wealth must forfeit a portion to those who do not?!?? The System then is more important than the people. Can people be so generally blind and conditioned? I think, finally, the rip-off Game is exposed. Or is it – enslavement is complete? Banks become the “exceptional and indispensable” institutions of human life? Western Culture is going to take a big hit.

  31. nichole

    “Gold is not an investment, it is money”…it’s real wealth. Dead on.

  32. Doug

    Greg, a super interview. Please have Andy come back soon and talk about precious metal manipulation too. As you said, he’s a prolific writer on this subject as well. He is really well versed in all aspects of the PM arena. People with this type of knowledge need to be heard, so at least we can say that the info was out there and we tried to warn everyone… Ingenium superat vires. Doug

  33. Everyday Joe

    Greg, great interview as always. I’m a longtime listener. Gold would seem the way to go to ensure savings don’t disappear. What does your guest (and you) think about the Dinar and Dong currency reset talk where supposedly the revaluations will make people holding these currencies very wealthy in a global currency reset by the IMF? I can’t see Iraq and Vietnam being given any currency power from the debt hungry international banks.

    • Galaxy 500

      Its make beleive.that the iraq dinar or the Vietnamese currency will.be.revalued.in a way that.people holding the old currency will.come out on top. Look.at.history.if you.dont.believe me. Turkey is a good example. They make new currency.when there is a revaluation. And these nations are the poster children for a.corrupt.government. As a forensic accounting whose job is to detect fraud, etc I will.say again that.this is a.scam. Anything you invest in this will likely be lost. These currencies have little value outside of their countries and not much there

  34. Jerry

    Still have doubts about the reset? Christine Lagarde , the head of the IMF lays it out point blank. She states precisely what the globalist objectives are for 2014. See how many times she mentions reset in this clip.
    http://youtu.be/RLvLY3E7eUY
    The IMF is nothing more than the marketing arm of the City of London and the Banking Cabal. Incidentally she mentioned moving the IMF home office to China. What does that tell you?

    • Thea

      Jerry,
      I, unfortunately, can’t watcht the video now as I am at work. But from what I see, it looks like China and Russia are globalists as well. I didn’t think they were. Are they?

    • allen ols

      Jerry, i posted this from J. ‘willie above;

      Dead Petro-Dollar Event Coming- Saudis set to announce the acceptance of ANY CURRENCY for oil, ALL OPEC Nations to Follow!!
      US Economy in Free-fall- stark evidence screaming full collapse ahead as monetary velocity plunges to 20 year lows!
      QE has been a dead-weight millstone on the neck of the US economy- true purpose is to collapse the US economy and institute global fascism!
      And Willie’s MOST SHOCKING CLAIM EVER: Japan, Saudi Arabia, France, & Germany are preparing to turn against the US, & join the Chinese/Russian Alliance!
      Jerry, this last one really ties into your thoughts on IMF.

    • Galaxy 500

      Sure Jerry, she said that the IMF is hosted in the country with the.biggest quota which is why its here. And we backed it up with an assload of gold that we aint going to let leave if the IMF does. Personally, I’d love for us.to get out.of the IMF, the UN and the world bank. Why.is it the job of the American taxpayers to absorb bad loans from the IMF which happens regularly

  35. Stu

    Greg,

    Thanks for another informative interview. The petrodollar exodus is a continuing trend and shows no sign of changing.

    Thanks,

    Stu

  36. Russ McMeans

    Been warning my friends, family for 3 years now. Most don’t believe me, some only halfway. We’re doomed.
    On the hopeful side though: maybe the sheeple will wake up when the shearing starts. ITS STARTING NOW!

    • allen ols

      Russ, lol, We Feeeel your PAIN; 🙂

      al ols

    • Galaxy 500

      Russ
      I think most wont wakeup until they see the sheep in front of them being butchered and barbecued. And by then its way.too late

  37. Coalburner9

    Greg, Sino;

    Do they think the price is going to suddenly double in the near future? Is the dollar reset going to be 50%? What happens to mortgages if that happens? Picture the doubling overnight of every thing we pay for???? Some would immediately dump every service they could live without. The price of wood stoves and chainsaws would more than double, EPA be damned. What else guys?

    • Hi Ho Silver

      So what about current mortgages. You signed a mortgage contract to pay back “X” amount of dollars per month. Not “XX” per month. Newly originated contracts however might be different and reflect the new inflation in dollars at the time of closing.

    • Galaxy 500

      EPA is shutting down woodstoves…gave them new regs.

  38. John M.

    Jerry,
    Your latest hypothesis makes much more sense. The Western Bankers have been talking down gold only to simultaneously accumulate and steal more of it for themselves and their colleagues in the syndicate. They know the dollar has months if not weeks to live. They have been probably helping the Chinese regain some of their stolen gold (and bad loans from debt garbage sold to them by US banksters), because the Chinese will play hard ball with revenge on their persons.
    The Russians and Chinese motivations in assisting in this game of monetary collapse must be a very big slice of the world’s economic pie in gold, oil, natural resources, and perhaps a substantial chunk of America’s physical homeland. Yep, I also have read those stories about Russian troops and others being spread throughout America, and I would not be surprised.
    The most frightening aspect of this whole thing is that America has been planned to be sacrificed for bringing about this new world order, by many of our own that pretend to be loyal Americans. Those of us with an independent American mind and spirit might be scapegoated and physically attacked. I shouldn’t say anything more for now, except we all must know that nothing is quite what it seems. Even the zombie lovers out there are starting to believe in an apocalypse of one kind or another. You don’t have to possess a fanciful imagination to know that something is just not quite right.

  39. george

    I hope all people understand we are experiencing an orchestrated and perfectly executed theater between everybody. I grew up in a communist country under Soviet Union, this is nothing but old dog dressed in new and upgraded clothing, word of the wise, pay strict attention to personal life and that of your family and disregard all this bs noise. Read news from all over the world and you will start seeing through the fog. I trained in nuclear fallout survival since i was 6 in east europe, to what end? In my humble opinion i respect Greg here because he does not sell books or gold or any of the crap most of his guests do and that goes for alex jones too, most of them are sellouts but they also make good shows. thank you Greg for your reporting and opinions.

  40. Edward Ulysses Cate

    It’s so bizarre. Right now I’ve just about finished with reading Greg’s and Andy’s commentary this evening (5:30pm) and the first thing reported on ABCnews is a Hillary Clinton quasi-promotion. So many important things going on in the world and all we get is this pap. I mainly watch the news to know what they’re telling everybody else, just to be prepared. It’s a shame that Greg can’t be reporting the evening world news on network TV, in his way. In the meantime Greg, another exceptional interview. Thanks.

    • Galaxy 500

      Eric Cantor got his A$$ handed to him in VA with all this immigration talk. The first time in history a majority leader has lost a primary election.

  41. Andy

    Thanks Greg,
    Andy Hoffman is always a straight shooter and tells us like it is. I’ve been listening to his blog for ages now, and am really pleased you’ve got him over with you now. Would be great if you could get Alitair McCloud on or even Andrew Maguire, both of which are very eloquent speakers
    And have a really interesting and different view to your US guests.
    If I can say one thing though Greg, it would be great if you could step up your reporting frequency, things are now happening at an accelerating pace, and I think it would be great if we had more frequent broadcasts to keep up with events as they happen now.
    Maybe that’s not possible, I don’t know, but just an enquiry.

  42. Stone Cold

    With the demand for physical metal so high, how is it that “they” are able to keep the price down so much? Who and how is that happening, especially when the miners are apparently suffering the consequences. One would think the miners, those with the actual commodity, would be calling some shots. Something does not square up.
    I understand the concept of naked short selling, but how can that work when the demand is so great, and the supply is limited?
    Hoping to get some clarification.

    • Hi Ho Silver

      Because as I see it, gold price is “set” by the banksters, at least for now. I am sure it is the same for silver. You also have government collusion with the banks who really run the government. The miners, who should be calling the shots are held up against the wall by the government to keep producing at or below the cost of production. They do this by threat of EPA interference, or OSHA interference to keep the game rolling or the mines will be closed due to environmental contamination charges or worker “safety” violations costing companies millions of dollars in fines.

    • Diane Ryan

      Greg, I have the same questions. With all that is happening, and supposedly limited supplies, folks can still go to APMEX etc. and purchase virtually unlimited Silver Eagles for $22 and take physical possession.

    • Galaxy 500

      What makes you think the miners are.selling.at.these prices? I for.one dont believe it

  43. allen ols

    Greg, Jerry;
    from KWN, Richard Russell;

    Russell on war: “The most costly, wasteful and expensive thing a country can do is to fight a war. There are fewer and fewer survivors of WWII living today, and I don’t think today’s youngsters and middle agers have any idea of the dreadful costs of WWII in personnel and equipment. Below are statistics covering just the Army Air Force during WWII (sent to me by a kind subscriber — Doug Cleland).

    Amazing WWII Aircraft Facts …

    On average 6,600 American service men died PER MONTH, during WWII (about 220 a day).

    People who were not around during WWII have no understanding of its magnitude. This gives some insight.

    •276,000 aircraft manufactured in the US.
    •43,000 planes lost overseas, including 23,000 in combat.
    •14,000 lost in the continental U.S.

    From Germany ‘s invasion of Poland Sept. 1, 1939 until Japan ‘s surrender on Sept. 2, 1945 = 2,433 days. America lost an average of 170 planes per day.

    One third of the population of Poland was lost or killed.

    60 million people (military and civilians) died during WWII.

    The US lost 14,903 pilots, aircrew and support personnel plus 13,873 airplanes —inside the continental United States. There were 52,651 aircraft accidents (6,039 involving fatalities) in 45 months.

    Average 1,170 aircraft accidents per month — nearly 40 a day.

    It gets worse …

    Almost 1,000 planes disappeared en route from the US to foreign climes. But 43,581 aircraft were lost overseas including 22,948 on combat missions (18,418 in Europe) and 20,633 due to non-combat causes overseas.

    In a single 376 plane raid in August 1943, 60 B-17s were shot down. That was a 16 percent loss rate and meant 600 empty bunks in England.

    In 1942-43, it was statistically impossible for bomber crews to complete the intended 25-mission tour in Europe.

    Pacific theatre losses were far less (4,530 in combat) owing to smaller forces committed. The B-29 mission against Tokyo on May 25, 1945, cost 26 Superfortresses, 5.6 percent of the 464 dispatched from the Marianas.

    Over 40,000 airmen were killed in combat and another 18,000 wounded. Some 12,000 missing men were declared dead, including those “liberated” by the Soviets but never returned. More than 41,000 were captured. Half of the 5,400 held by the Japanese died in captivity, compared with one-tenth in German hands. Total combat casualties were 121,867.

    The US forces peak strength was in 1944 with 2,372,000 personnel, nearly twice the previous year’s figure.

    Losses were huge — but so were production totals. From 1941 through 1945, American industry delivered more than 276,000 military aircraft. That was not only for US Army, Navy and Marine Corps, but also for allies as diverse as Britain, Australia, China and Russia.

    Our enemies took massive losses. Through much of 1944, the Luftwaffe sustained hemorrhaging of 25% of aircrews and 40 planes a month.

    Bomber wrecks were fewer but more expensive. The B-17 and B-24 averaged 30 and 35 accidents per 100,000 flight hours respectively– a horrific figure considering that from 1980 to 2000 the Air Force’s major mishap rate was less than 2.

    The B-29 was even worse at 40 per 100,000 hours; the world’s most sophisticated, most capable and most expensive bomber was too urgently needed to be able to stand down for mere safety reasons. (Compare: when a $2.1 billion B-2 crashed in 2008, the Air Force declared a two-month “safety pause”).

    SUMMATION:

    “Another war like that of 1939-45 is doubtful, as fighters and bombers have given way to helicopters and remotely-controlled drones. But within our living memory, men left the earth in 1,000-plane formations and fought major battles five miles high, leaving a legacy that remains timeless.”

    • Jerry

      Allen
      You are so right WWII effected my life from every aspect. My mothers fiancé was killed in North Africa by the Germans. A few months later my mom saw my dad walking down the street in uniform and yelled out the window at him. That’s how they met. A few months later my dad shipped out on his way to bomb Japan ( he was a B-29 pilot ) when the war ended. They got married 3 months later. They have both passed away. But yes most Americans have no idea of the sacrifices that have been made for their freedom. Initially when my dad went into the Army Air Corp he was trained as a mechanic, but so many pilots got killed as the war went on, they trained him how to fly planes. I actually think having been a mechanic made him a better bomber pilot because he understood how the engines and mechanical devices were supposed to work. He flew for many year until he settled down with my mom.

  44. Bart klein Ikink

    Negative real interest rates on risk free desposits may be inevitable from time to time in the future simply because the returns on capital do always not justify positive real interest rates on risk free desposits. It is about time that people will need to face the new economic reality.

    Negative nominal interest rates may not be bad at all. If applied correctly, they may enhance economic growth and employment, making it possible to have positive real interest rates. If you want to understand how that might work, you may want to read the following link:

    http://www.naturalmoney.org/short.html

  45. Jeff

    Greg I believe what’s going on across the other ocean (China) with the “missing” metals is far more important. This is a black swan starring us in the face. Miles Franklin has a good article on it. I think you will agree……. [ http://blog.milesfranklin.com/and-its-gone ]

  46. Jeff

    Since first hearing of this I’ve been trying to figure out how this is going to come down. What is amazing is the lack of news or concern. I don’t believe anything gets exposed in China without a good reason So one paragraph in Franklin’s report stood out………” Before finishing, I do want to mention that this revelation of missing collateral could possibly even be a ploy by the Chinese. As I have said many times, I don’t think that they worry about the paper markets or their collapse. They have already built out their infrastructure and inked supply deals for decades to come (PAYING with dollars of course). I believe that it is quite possible that China is pricking the credit balloon here. Remember, they do have well over $1 trillion worth of treasury bonds that they can “use” to sell in the middle of a panic to buy hard assets with. They could kill two birds with one stone by dumping their paper treasuries and scooping up some more assets at fire sale prices. This is the way it has always been done, just ask the Rothschilds.” …………..very plausible

  47. Jeff

    Paul from Indiana says….” Despite the dislocations and inconveniences, it could be the start of a new and better era for us. We must have the courage of our convictions and cooperate. ” ……….. Cooperate ? With who ? A better era for us ? Do you know who’s running this country ? Do you really believe they have your interests in mind ? This country has been going downhill for decades. That has only accelerated (big time) in the last few yrs……… I’m sure, after our currency gets cut in half and martial law is put in place, things will be much better. Did they legalize marijuana in Indiana ?

  48. Secret Agent Man

    Greg…
    here is a VERY interesting tidbit about our “friend” Jim Rickards. This is very informative and shows us we need to be careful. There are many wolves in sheep’s clothing out there; many agents of disinformation.

    http://www.silverbearcafe.com/private/06.14/imfsdr.html

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