Why Gold Price Is Rising: ‘We’re in That Rock And the Hard Place Coming Together’ – Lobo Tiggre

Why Gold Price Is Rising: ‘We’re in That Rock And the Hard Place Coming Together’ – Lobo Tiggre

Kitco News special coverage of the rule Symposium natural resource investing is brought to you by G mining Ventures all right Kito favorite loo CH joining us now loo thanks again for making the time always have time for Kito I appreciate it uh exciting times let’s start with your comments on CPI I mean obviously it’s cooling you called for a minor recession coming to the us we’re starting to see those cracks talk to me a little bit about this it’s it’s kind of funny one of these be careful what you wish for scenarios where in some ways this is great you know team Biden can say look we had deflation in June right um but by the standards of mainstream economics deflation is bad right the the fed’s whole thing is we don’t want no terrible deflation that would be horrible it means the economy is going down well so by their metrics this is in a way a you know a a red flag going up saying hey trouble trouble trouble warning and so maybe it’s not surprising that you know we are recording on CPI day but the last couple B days have been Powell Day on on Capitol Hill and you know you’ve never seen a dub trying to sound so hawkish like what he’s saying and we’re still talking rate Cuts we see some progress all this stuff it’s pointing towards the rate cut so it’s you know it’s dobish um but he’s still trying to sound tough right it just it’s just but at the end of you can see the market reaction like they’re they’re they’re not buying it and then so today happens we don’t just have a cooling of inflation comes in cooler than expected it’s the sort of thing the market likes and of course Dow 40,000 right even Dow not just NASDAQ yeah it’s pretty wild I mean the pop watching it obviously gold up at the $2,400 Mark a lot of excitement here talk to me a little bit about the room what investors are saying and what the sentiment like so it’s it’s it’s interesting that we’re having this particular conversation right now because one of the things the questions that was coming up was was it priced in like these rate cuts are so telegraphed that you know maybe that we’re already flirting with 2400 chos that it’s already priced in well today’s price action shows you that no it’s not priced in and this is actually a takeaway for the audience you’ll see a lot of things that are you know like clearly written in the in on the wall and it’s coming it’s signal by the fed or whoever it is but the actual reality there’s there’s there’s always a chance it won’t happen and so there’s an Arbitrage and that Arbitrage closes when the reality happens so sometimes even a print that’s as expected causes a market movement now in this case it was better than expected if you’re fighting inflation and so we saw a pretty dramatic response immediately and we to be expected right the moment that print dropped I I was thinking you know Mr Market’s going to like this so I I took a screenshot and I was posting my thing and then as I’m typing it I see yeah market watch the Futures goes like this so I was able to do both at once um but wait a minute Lobo if you’re a gold bug you know isn’t isn’t deflation bad for gold Gold’s an inflation hedge right I knew you were going to ask me that what happened to the inversion yeah right so we are you could say in an inverted economy through the Looking Glass economy a Fed distorted economy and so uh longer term yes gold is an inflation hedge I mean just look at the a 50-year chart of gold versus the dollar since 1971 when they were freed to change and it’s a giant X shape like there’s really no question longer term the uh devaluation of all these funny little pieces of paper we call Money versus Real Money there’s no debate there the problem is that people want gold to do what they think it should do today right now right so gold tends to lead inflation I think what we’re seeing is a lot of people around the world not just the Chinese hedging against that inflation that’s coming with gold um because okay you say oh we’ve got deflation and the fed’s going to cut well why is it going to cut well because it’s responding to its other mandate it’s trying to prop up a weakening economy and sorry for the long-winded answer but this is the point is bad news is good news the FED has trained and the central banks of the world have trained investors that bad news is good news and so what we’re seeing from the mainstream perspective is another bit of bad news like deflation is supposed to be bad yes the voters are upset about inflation but we don’t want them to lose their jobs so we’re in that rock and the hard place coming together here and people make a big fuss about this but the reality is that the the so-called core number that they are saying that they’re guiding their their decisions on hasn’t budged we’re still over 3% on the core 3.3 I think on the core which supposedly they make their decisions on so people can talk oh yeah we’re close enough we’re close enough but it’s the fed’s cutting and um and inflation is still you know their their chosen metric is still above three and plus you know they’re moving the gold poost and I think that’s really significant and I think that’s really bullish for gold bulls it’s interesting you know I had Danielle de Martino booth on the show and she was talking about how pardon me the FED might have to get a little bit more aggressive here if they start to see some of these numbers starting to cool they might even go 150 basis points what do you think the forecast is here in terms of I mean we have no crystal ball we know that but let’s talk about let’s talk about the gold forecast though right so here’s the thing and gold bull likes gold that’s not much of a headline for you I know but this this is an unusual circumstance I’m still in team hard Landing sort of leaning towards what you’re saying with Daniel D Martino boo I don’t think we just get the 25 basis points in September and then maybe another one in December that they’re talking about I think we’re seeing uh real UNF praying of the labor market which has long been that pillar holding the consumer up right in the US that that is the support for us exceptionalism and it’s not just the last and since we spoke we’ve had one or two labor prints it’s not just the last one that shows weakening in the labor market but the one before and the jolts numbers and and never mind the household survey instead of the the uh the one that they quote all the time like there is clear evidence of weakening in that one support for American exceptionalism in the economy so I think the evidence is actually coming around to my view and all those people saying if we weren’t if we don’t have a recession by now we’re not having one I think I’ll be shown to be right about that by the end of this year and I think it’s starting now as you and I sit here I I think it’s starting the data is showing it’s starting and this CPI print may fit that um but let’s say I’m wrong you know Lobo you’re just a tin full hat wearing gold bug and you know it’s always gold of the moon for you right okay that’s say wrong well the mainstream is saying one or two cuts this year the FED is saying one or two cuts this year and the market reaction we’ve got today back over 2400 in gold is saying that’s bullish for gold anyway so you know I don’t want to say that there it’s impossible for go to go down but if I’m right it you let me put if I’m wrong it goes up and if I’m right it goes way up and you know I’ll agree with Danielle dintino booth on that one all right I like it uh another call that you had and we’ve been talking about the last two times that you’ve been on the show is uranium the past week we’ve seen the equity starting to move up on the uranium space talk to me a little bit about this what’s moving it and where are we going well this may be one of those cases where as we’ve had some aberration since 2020 and all the co lockdowns but historically the stocks often move ahead of the medals the stocks will lead them the metals I think this is a case where that’s probably what we’re seeing um we did get some news the US has approved their new subsidies and support programs and it specifically is very pro-nuclear the small modular reactors the micro reactors the advanced nuclear the US is really you know whether they should or they should because of climate change scare and all that stuff the fact is they are um and and this is a very bullish thing I think actually for Humanity to have a a sane 247 365 basad form of power that’s cheap and reliable and clean I think that’s a great thing but it’s also for you know resource Speculator is a fantastic thing um I wish we’d had this interview a couple days before because I was saying you know as close as I get to pounding the table I was saying look I love uranium this year and and right now because people are bored it’s not doing anything uranium has gone sideways it’s corrected which I called right it’s Consolidated it’s been going sideways I think the next big move is up and we’re expecting news you know this subsidies from the US is one the other thing is Kazam problem and I’m I don’t normally pick on one company right you know that uh but in this case we’re talking about the world’s largest and lowest cost producer so if prices are determined at the margin economics 101 this is your marginal producer this is the one that can send prices lower by selling lower because they can right so there’s been uh you know they haven’t put out a press release but there are reports that they’re starting to say well you know 2025 is not going to be so easy either uh we’ll see when that shoe actually drops but you know I’m not one for rumor mongering I don’t want to confirm the rumor I’m just saying this is out there there’s also this confirmation of subsidies from the us and we saw the stocks move significantly yesterday and interesting thing is uranium spot which has been just sort of going sideways it popped up 50 cents which isn’t a big move directionally it was right but that’s why I’m saying it’s leading therefore I see this as an opportunity and sorry just real quick anybody who missed the big runup last year in uranium it’s like kicking themselves I miss that while we’re still in the in the phase of relative boredom of uranium hadn’t done anything for months I think there’s opportunity there and you should pay attention to it interesting okay when you’re looking at assets and running due diligence on companies you know investment opportunities here uh we don’t have to get into specific names cuz I know you’re not going to give me any but are there locations of asset and regions that you think will maybe outperform yeah um I was asked this on stage here at the ru conference and my answer was Argentina I think you know I don’t want to sound melodramatic but M’s program whether you agree with it or not is so radical so extreme and so hostile to just about every interest in the country and even internationally uh I thought there was a good chance that you know he would be assassinated yeah you know the moment he started started to actually try to do what he said he would do he could be assassinated and he hasn’t been and now his reforms have started to have an impact like there he’s he’s he’s slayed an apparently invulnerable inflation Beast down there which is amazing and so he now has popular support that I think affords him some protection the significance of this for us as resource investors is he’s still only half a year in right so he’s got years to go and that’s long enough if you’ve got a discovery that can be you know measured up to a 4311 compliant resource and put out a paa or something on there these kind of value adding uh catalysts that can happen within his presidency or if you’ve got a developer that could go into production that sort of thing if you’ve got maybe early stage and we haven’t made a discovery yet I don’t know but if you’ve got something in hand and you’ve got uh work that can add value for shareholders in this jurisdiction now where you’re coming off a discount you’ve got a Tailwind so I like that a lot and maybe going the opposite direction there’s a big scare in the Yukon now and that has a lot of Yukon plays on sale and I think that’s overdone it’s ridiculous I mean Yukon basically has nothing else except tourism yeah uh it’s not going to become an anti- mining Province yes there will be a response there will be new measures there will be new regulations perhaps we’ll address the issue so you mean pick up some of those you m&a targets are actively yeah let me I don’t I don’t talk single companies usually I would not buy the source of the trouble in the Yukon right now okay um because there’s still a bill to pay uh but everything else that’s been sold off like guilt by association is wrong right the and if it was the end of mining in the Yukon okay fine get out of all the Yukon this I just don’t I don’t no Crystal Ball but I cannot see this accident being the end of mining in the Yukon therefore the companies that are oversold smeared by association I see that as an opportunity so two jurisdictions for you interesting I mean you were in the Yukon and you were talking to a lot of different companies over there uh despite what happened with Victoria are you thinking you know Guilty By Association what are those conversations is it more of a damn well of course nobody you know nobody wants to uh uh you know speak yow the dead can I no not dead yet I’m not dead yet sorry Monty Python can’t help but come out from time time uh you know everybody wants to be polite and and and honestly when I was there it was premature we didn’t know the extent of the damage yet and when we flew over we saw the extent of the damage but um to to the upside you know most of the tailings pond was contained it’s between these two mountain ridges and they Pinch at the bottom so despite the damn failure relatively it was a small amount of material that moved that was actually I think a good design it it to me it’s a testament to doing things right now I don’t know what went wrong something went wrong but putting that tailing facility in that Valley was a smart move and it worked but where I’m going with this is downhill from that there’s an event Pond downhill from that there’s another Pond you know a line Pond that plugs up the valley and it’s intact so uh I was actually fairly optimistic that whatever harm there might be from that it could be contained on site there are reports of you know some sinite outside the site I haven’t seen confirmation of that but I think it will actually be minor here’s a forward-looking statement for you okay let’s do it I I think that this thing it’s not nothing and it’s serious and I understand the First Nations have every right to be upset about it I have no qual with that at all but I think the design itself was good even if the implementation was flawed I think the actual accident damage will be relatively minor it will be cleanup if you will and I think the players will do the right things address this and I think the industry learns from it and gets up and keeps going and I and I think the Yukon government and the people the Yukon will support that there’s there’s a lot of jobs at stake but it’s not just that you know they have mining in their blood if you will MH yeah well it’s not new it’s not a new region Dem Mining and of course we need these uh you know minerals and everything I mean the critical minerals angle is part of this now right talk to me a little bit more about that critical Minal angle well okay so you know here I am ring on the parade again you know I don’t want to buy anything because it’s a critical minerals thing but as as an optional Tailwind I see that as great so you know do I want to you know pile into XYZ critical mineral because every you know California’s Banning you know internal combustion engines in in six years well no they’re already backpedaling on that like most countries around the world and the producers you know the car makers was it Mercedes and some of these others that said oh yeah we’re going all electric by 2030 they’re like well you know maybe 2035 2040 right you know these unrealistic goals are being backpedal so if your whole thesis is oh I’m buying nickel cuz we need for NCM batteries and that goes into reverse you’ve got a problem if you’re buying nickel or copper because they’re you know Central Industrial Metals and the world is going forward the population is growing and we’re going to need them regardless and they have an electric car Tailwind that’s fine the electric car Tailwind helps you out and if it goes away you’re still okay and by the way I’m not recommending nickel and copper I’m just giving them as an example um to make something close to a recommendation I’m not ready to buy any Industrial Minerals until I’m sure the recession has done its worst we’ve talked about this before right now for me it’s gold silver and uranium because uranium is recession resistant at the very least everything else I’m waiting for to be sure that the recession has done its worst or that I’ve been proven wrong about that which will be this year one way or the other so when that time comes sorry it’s not nickel because you know the Asians have figured out how to supply nickel from non-class one nickel sources and they’re flooding the market and we need to see whether or not that rebalances uh lithium is a maybe high prices cure high prices lithium’s not rare even with the low prices there are still new projects coming online so lithium are maybe not don’t know it’s a maybe we’ll see how the market balance is because we we’re still building the EVs and stuff so there still is a lii story um but the no-brainers for me are oil and copper like I’m not going to wait to see how the market shakes out or whatever as soon as I’m confident that the recession has done its worst or that I’ve just missed it there was no recession this time was different right which will call you out for right either way you know I’m you know oil and copper stocks that will still be on sale at that point the Carnage will still be you know people reeling that’s what I’m looking for as a buying opportunity interesting and lots of people looking at uranium as well Loa always a pleasure to have you on thank you for joining us thank you Jeremy I’m Jeremy sappin for all of us here at Kito news thank you again for joining us here in boa Ron at the Rick rule Symposium lots of great content to come stay tuned Kitco News special coverage of the rule Symposium natural resource investing is brought to you by G mining Ventures [Music]

Jeremy Szafron, Anchor at Kitco News, interviews Lobo Tiggre, Editor of the Independent Spectator at the Rick Rule Symposium in Boca Raton, Florida. Tiggre shares his analysis on the current state of the uranium and gold markets, and the broader economic landscape. As CPI data shows cooling inflation, Lobo dives into what this means for potential rate cuts and the overall economy. He also provides his thoughts on the recent mining incident in Yukon and its implications for investors. Additionally, Tiggre explores the importance of critical minerals and the future of mining in the context of green energy transitions.

Coverage of the Rick Rule Symposium 2024 is sponsored by G Mining Ventures (https://gmin.gold/en-US).

Follow Jeremy Szafron on X: @JeremySzafron (https://twitter.com/JeremySzafron)
Follow Kitco News on X: @KitcoNewsNOW (https://twitter.com/kitconewsnow)
Follow Lobo Tiggre on X: @duediligenceguy (https://twitter.com/duediligenceguy)

00:00 – Introduction
01:00 – Cooling CPI and Economic Outlook
03:20 – Impact on Gold Prices
05:30 – Future of Gold Market
07:15 – Uranium Market Analysis
10:00 – Strategic Investment Locations
12:00 – Critical Minerals and Green Transition
14:30 – Yukon Mine Incident Overview
16:45 – Investment Strategies and Predictions

#KitcoNews #LoboTiggre #GoldMarket #UraniumInvestment #CPI #Recession2024 #MiningIndustry #EconomicOutlook #InvestmentStrategies #GreenTransition #YukonMining #GoldPrices #UraniumMarket #RickRuleSymposium #PreciousMetals #Commodities #NaturalResources #FinancialNews #MarketAnalysis #InvestmentTips #EconomicTrends #EnergyTransition
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