Is It Too Late To Buy Gold? NO! Here's WHY | Mike Maloney

Is it too late? Did I miss it? Should I have bought gold at the turn of the century when it was at $250? Or should I have bought it during the global financial crisis when it fell down into the low 700s? Or should I have bought it in late 2015, early 2016 when it was barely above $1,000? Or should I have bought it just a year and a half ago when it was around $2,000? Well, the answers to those questions are no, no, yes, yes, yes, and yes. You should have bought it at all of these prices. And no, it is not too late, and I'm going to show you why in this video. Gold is destined for far higher prices than where we are at right now. I ran across this meme lately, and it says gold at $2,000, and nobody's really interested. There's that one guy buying. And then gold at $3,500, and the crowd is rushing in, pushing up the price. Nothing could be further from the truth, and I've shown this in previous videos. This is U.S. Mint gold coin sales down. This is Perth Mint gold coin and bar sales down. This is what the public buys, these things. This is silver coin sales U.S. Mint down. This is Perth Mint silver coin and bar sales down. And I'm a dealer. Sales are down. I talk with other dealers. Sales are down just across the board. This is not the public driving the price. So here is a chart from Gergavin. Gold is outperforming the stock market by a whopping 42.5% so far this year. So we're talking the first four months. And what he's done here is indexed gold and the S&P 500 to zero on January 1st and then tracked the percentage change, and the spread between them is 42.5%. It's huge. So who are the buyers? If the public is not driving the price up like this, who is doing that? Well, one of the big culprits are the central banks. And you can see here, ever since the global financial crisis of 2008, they have been net buyers. Now this is mostly Asia. This is the east. This is India, Russia, Turkey, mostly China. So this is foreign central banks mostly doing these purchases. And this is through 2024. But 2025 is going to go right off the top of this chart. It's going to blow everything else away. So who else could be driving the price? If it's not the public in the US and probably not the public in Europe, who is driving this price up? Well, Reuters says Chinese gold ETF April inflows surpassed first quarter total according to the World Gold Council. Now here's the thing. This article is from April 14th. So a little bit further down in the article, it says gold ETFs in China increased by 29.1 metric tons in the first 11 days of April. And that compares with inflows of 23.5 tons in January, February, and March, the first quarter, January to March, 23.5 tons, 11 days of April, 29.1 tons. Could this be what is driving the price? Yes. And part of that, this is what the chart looks like. So you've got January, February, March, and then the first 11 days of April. Quite amazing. Part of what is driving that is this article is from February 11th and China is allowing insurance companies to invest in gold. So this is institutional money that is coming in now. So it's whales that are driving the price of gold. But it's more than just whales. It's insiders, people in the know, people that know what is going to happen in the future. And Frank Giustra says that something must be done regarding members of Congress on insider trading. This is not a partisan issue. There's plenty of smoke on both sides of the aisle. And that's in response to Spencer Hakamian, I think. I don't know how to say his name. I'm sorry. The NASDAQ call volume spiked minutes before the 90-day tariff pause was announced. Not a good look at all. So people that knew what Trump was going to do just minutes before all but calls on the NASDAQ betting that it was going to go up. And that is a bad look. And that is exactly, I believe, what is going on with gold right now. This is whales. This is also people in the know. And then they tip off friends that might be billionaires and stuff like that. And they're taking a position before the public comes charging in. By the way, I'm going to be appearing on stage at Rebel Capitalists Live, which is in Orlando, Florida, May 23rd through 25th. So come there. There are cocktail receptions and things like that. So we can meet. You can talk with me. So moving on. John Hathaway did this great article, The Return of Exner's Inverted Pyramid. Is gold still underpriced? Well, wait until you see the rest of this video. I believe that it is severely underpriced still. And so further down in his article, he says, as capital flees, overvalued assets, gold scarcity and safe haven appeal could drive its price higher. And then he says the migration of capital to gold and possibly other monetary metals could result in a price that is multiples, multiples of the current price of $3,000 per ounce. Now take a look at my last few videos on $10,000 gold, and you'll see that this is entirely possible. And it does look like the world is going back toward a gold standard. It seems to be what Trump is pushing us for, because it's one way that he can win on all of the different things that he's trying to do. However, all of these tariffs, this is hugely dangerous. And if what he's doing doesn't work, this could cause a global depression, and it'll be not the Great Depression, it'll be the Greater Depression. Now, further down in this article, John Hathaway put in some charts here. 75% of advisors have little to no exposure in gold. That's less than 1% of assets, the highest level since 2019. So what he's talking about is 2019, I guess is this, yeah, the gold colored bar. However, you can see that it sort of averages about 70%. And that's zero to 1%. Well, who recommends, well, you should put 0.5% in your portfolio. This means zero. It isn't like, well, I think 0.7% would be good, 0.8%. So zero to 1% means zero. 75% of advisors are saying do not put gold in your portfolio, or they're not recommending it. Somewhere between one and less than 5% are saying to put roughly, there's roughly 22% of advisors saying to put somewhere between 1% and, you know, go ahead, put 2% in your portfolio, it'll be fine. 5% to less than 10%, that looks like maybe 1% to 2% of all advisors recommending somewhere under 10%. 10% or more, nobody, nobody owns gold yet. When the public comes charging in, that's when the price goes ballistic. And this is one of the reasons why. This is another chart from John Hathaway's article, gold's share of global equity and bond securities. So what we're talking about here is gold's share of global financial assets. And it was 8% in 1980. Now, this is annual data. So I guarantee you on the day that gold hit its peak, that this would have been a lot higher. It would have been way over 10% if this is annualized data. And it looks like it if you look at this choppiness of it, it's annual. But it's down at 1.41% now. And this goes into 8%, 5.6 times. So do you think that if all these people enough to get it up to 8% of global financial assets, if they come rushing in, that the price is only going to go up 5.6 times? Okay, so from whom do they buy? Are you going to sell them your gold? Gold, it takes years to open up a mine. And right now, somebody owns all of the above ground gold, and the central banks are buying more. They're not going to be buying it from the central banks. When everybody tries to rush in to all of these ETFs, to these funds, to the commodities exchange, and then buy from a dealer such as me, the price, there's really nobody to sell their gold to them. And so the price has to go ballistic. It's a lot more than just like taking this number and dividing it into that number. So moving on, another chart from his great article, physical gold has limited supply relative to paper. So the amount of gold that is above ground gold is twice as much as existed back when it peaked at $873 in 1980. But the amount of government debt is up 42 times, US government debt, two times, 42 times. What do you think is going to happen? So gold-backed ETF holdings have declined since 2019 peak. So the red line is the tons of gold in the ETFs, and the blue line is the price. And this is more data proving that it is not the public doing this. This is declining while the price has gone ballistic. Why has the price gone ballistic? It's Wales, it's China, it's everybody. But the mission for goldsilver.com is to protect the middle class one investor at a time. And what I was talking about is the United States. I believe I said I didn't want the richest people in the world to end up with all the cookies, just getting richer. In my first book, published back in early 2008 before the global financial crisis. And that seems to be exactly what's happening because it's not the public. So please, if you're enjoying this video, forward it to everybody that you can. This is interesting. So this is the hedgeless horseman. And what has happened here, this looks to me to be monthly data. This is the bottom in 1976. This goes all the way back to 1975. And this is 1980. So this little wick on the candle, that little tiny, these little tiny spikes. Yeah, it would be intraday pricing. And so he's ignoring that. And he's going across these monthly peaks and gold has done a breakout. And it's in blue sky. And if he had drawn the line from that daily peak, this line here would be even lower, meaning that the breakout is even bigger. So gold is pretty much free. It's already overcome this long-term resistance. I've shown this chart before, but it shows that there is an emergency, that there is a panic. And I've shown a lot of the videos have had all of the gold flows around the world, showing these tremendous inflows, where suddenly the distribution of gold, the flows of gold around the world went into reverse in December, January, February, and March. Normally, the US is a big gold exporter. Every year, we mine it here. And then we send it to refineries like the Swiss refineries. Suddenly, the Swiss refineries stopped selling to everybody else in the world, including China. And they sell to just the US for December, January, February, and March. So why? Part of it, I believe, is the threats to audit Fort Knox. Well, they're going to be auditing all of America's gold to prove that we've got it. But if it isn't there, we got to get it back. And I do know that central banks do gold leasing. And so right now, the gold inflows are refilling America's gold. We're closing out the gold leases, closing out rehypothecation of gold, it's called. And then this is the eligible ounces. Eligible is just gold that meets the specifications to be sold on the COMEX, but it is not for sale. The yellow is for sale. This is registered. And so in total, as of April 21st, it was at 94% coverage. So it's less of a fractional reserve scheme. However, I went to Nick Laird's website, goldchartsrus.com, and updated this to this is as of May 2nd, the last data that was available. So the total amount of gold stocks on the COMEX, there is now one person dancing for each chair that exists, each ounce of gold. So in this game of musical chairs. However, when you go to the registered category, the actual gold that's for sale, it's still two people dancing for each chair that exists, each ounce. But look at the craziness back in 2018 of more than 400 people dancing and settling in cash instead of asking for delivery. All of them thinking that they can lay claim to the same ounce of gold. And for a while back in early 2016, there were more than 500 people. This is the type of fraud that this fractional reserve scheme is, where there are contracts to deliver gold 500 times the contracts of the actual gold that exists. So for each 500 people thinking they can lay claim to the same ounce of gold and have it delivered. Now, Egon von Greyer, he is a great analyst. I love his stuff. But the next move will surprise, the next gold move will surprise the world. And it will. Now down inside his article, there's if the Dow gold ratio falls 97% to the long-term trend line of 0.5, it would mean gold 10,000, Dow 5,000, or gold 20,000, Dow 10,000. Now, what's interesting is this chart was in my first book, Guide to Investing in Gold and Silver. And when I ran across it, I speculated that there would come a day where gold's price would be double the points on the Dow. And that's what he's saying here, that brings it to a ratio of 0.5. And it is based on this trend line, but it's also based on all of the underlying fundamentals of the economics that are happening right now, and the geopolitical tensions, and the fact that we're in these enormous bubbles for real estate and the stock market, and that we're going into a recession. And then Trump has added tariffs to that, which could cause the entire planet to go into a global greater depression. Now, I want to point out a couple of things. The Dow Jones Industrial Average is 30 industrial stocks, and I believe it goes back to 1928. And then it's pasted to like the Dow, I think it was the Dow 23 or something like that. But then it's pasted to another index, and another index, and another index. I believe that the equilibrium, the natural balance between gold and the stock market is somewhere between two and five ounces, actually three and five ounces equally. So gold, the Dow should be three to five times the price of gold, and it's in equilibrium. When the Dow crashed 89% in the crash of 29, it bottomed in 1932 at just two ounces of gold. And then when the Dow went sideways for 16 years, gold became free trading, and gold came back with a vengeance and accounted for all the fiat currency that had been created in the meantime. And there was a day where gold was 873 bucks and the Dow was at 873 points, so it only took one ounce. I do believe that this half ounce of gold is destiny. And so moving on, mentioning books, that chart was in my first book. My second book, The Great Gold and Silver Rush of the 21st Century, this is a snapshot from Amazon, and it is the number one top-rated book now. And it's only $9.99. The most important investment that you can make in your life is your own financial education. And this book contains a wealth of knowledge. It was four years of research for me and two research assistants. And if you hover your cursor over these stars, you'll see that it's 93% five stars. If you read this book and you liked it, I'd really appreciate your help. If you could write a review and give it a five-star rating, or don't write a review, just prove that you bought it and give it a five-star rating. And if you bought it from Amazon, they already know. So give it a five-star rating. If I can get this from 93 to 95% five stars, this will say that it's a five-star instead of a 4.9. And I thank you in advance for giving it a rating. And for those of you that do a review, that will just put me over the moon. Thank you very much. And those people that have done it, I want to thank you. Clive Mond. Clive is one of the best chartists out there when it comes to precious metals. And so you should visit his site, clivemond.com. And every couple of months, he does a gold and silver update. And this is from the last one. So it's April 17. Gold had not yet breached 3400. So it was still down in the 33s. And what he's saying here is there are two big and important points to make regarding this chart. One is that gold is record overbought. That's this MACD indicator down here. And it's most overbought on its MACD indicator since the 1970s. The other is that gold is in melt-up mode for a variety of unprecedented economic and geopolitical reasons. And it is. So back then, this was at about 80. Well, I updated this. And the latest data goes to May 5th. And what you see here is it did hit $3,500. It's pulled back and then bounced up a little bit. It's at 33.31. And the MACD has fallen from, it almost hit 100. It was at 98 or 99. And it's fallen down to 60. Now, people hate it when I say stuff like this, but I would like to see gold just sort of noodle sideways for a month. And that would put the MACD way back down here. And it would be ready for another slingshot move, because there is one coming. So getting back to that meme that we opened up with, this is what it's really going to look like. I had my graphic artist update that meme. So gold at $3,500. Nobody is showing up at these prices. Nobody is buying and nobody owns gold yet. Gold at $5,000. There'll be a little bit more action, but not much. But what it takes when the herd comes rushing in, that's what causes it to explode to insane prices, just like it did back in the 1970s and the first couple of months of 1980. So is it too late yet? In my opinion, no, it is not too late at all. But are you going to be a buyer at $5,000 or are you going to wait until gold is $10,000 and then come rushing in with the rest of the herd? I hope not. I hope you're somebody that educates yourself on all of this. Remember that that is the most important investment that you can make. And I wish you all well and we'll see you next time. Thanks for watching. Hi, this is just a quick reminder. 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