The Truth Behind Economic Sanctions and the Rise of Gold

Join us on The Jay Martin Show for a conversation with Steve Hanke, Professor of Applied Economics at Johns Hopkins University. In this episode, we delve deep into the world of geopolitics and finance, discussing the resilience of the US dollar, the surprising stability of global economies despite predicted recessions, and the significant influence of China on commodity markets. Professor Hanke provides his expert insights on why economic sanctions rarely achieve their goals and the potential for gold-backed currencies. We also explore the dynamics driving gold prices to all-time highs and the strategic maneuvers of central banks.
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0:00 Intro
1:28 Exploring Commodity Markets
6:21 the Reasons Behind Gold's Price Surge
11:14 The Historical Impact of Hard-Backed Currencies
12:02 The Role of Gold and Silver in the American Economy
18:13 The Resilience and Strength of the US Dollar
25:36 Dissecting the Inefficacy of Economic Sanctions
29:12 Assessing the Health of the American Economy in 2023
Copyright © 2024 Cambridge House International Inc. All rights reserved.

[@HodgeChris]

The current market/economy is unnecessarily tougher for boomers/senior citizens, I’m used to just buying and holding assets which doesn’t seem applicable to the current rollercoaster market plus inflation is catching up with my portfolio. I’m really worried about survival after retirement.

[@PatrickFitzgerald-cx6io]

Just buy and invest in Gold or other reliable stock , the government has failed us and we cant keep living like this.

[@carssimplified2195]

Yes, gold is a great investment and a good bet against the devaluating dollar, been holding some for awhile now, I’m grateful my adviser’s moment by moment changes in the market are lightening quick, cos who know how much losses I would’ve had by now.

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[@EvaWilliams-gi1yy]

Regardless of what happens in the gold market gold will always be the most reliable means for storing wealth.

[@RobertPear-kj6mt]

Good point! The market has been crazy lately, a few surprises here and there.. with all the global happenings taking place I think it’s safe to say that a severe global recession is looming

[@JeremyGoodman-tr5bz]

Oh yeah! You can definitely say that, it does worry me a bit, but not as much as it would worry the average guy, my investment portfolio has survived a couple of recessions unscathed, been privileged to be guided under the stewardship of an extremely gifted portfolio manager by the name Nelson Maynard Fisher

[@RobertPear-kj6mt]

Interesting! Tell me more !

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[@RobertPear-kj6mt]

Wow! I just looked him up on Google, looks like someone who has been in the game for long and knows exactly what he’s doing. Personally I’ve had some “not-so-good” experiences with portfolio managers in the past but this your guy strikes me as an upstanding guy..

[@ghupft-wie-ghatscht]

The dollar will be fucked soon

[@Misiracaltudamecekas-qw8xo]

no its backed by NATO. If you do not acept it you are gonne.Still lots of welth left over to steal from the other nations.Another 10-15 years of USA impire and they are done definitly internaly.

[@Karim-ik5ij]

lmao, pleasant way to put it

[@MrRyan83]

yes, classy

[@eoh6708]

You'll own nothing

[@PauloAdriano-zo2ng]

Sounds deep-!!! 😉 Highly Profound Analysis-!!! 😅

[@sjh200765]

If you save in dollars you're losing, gold is up 771 percent since 2000. That's if you're a saver. If you're an investor it's a completely different ball game.

[@Summer-nm9si]

We should start letting the politicians pay the price of their policies errors.

[@Firehorse39]

We appreciate Mr Hanke. He is a trooper!

[@dbehr4869]

This Professor and his monetary theory forecast a severe recession starting late 2023. Now he says maybe a 'slow down 'in 2024. Take his pronouncements with this in mind

[@rdc2321]

His reasoning was that the money Supply was contracting which would cause a severe recession, which did not happen. I’d love it if he would explain the reason he got that wrong.

[@manwthaplan]

​@@rdc2321I'm guessing the professor operates under the guise that the FED is just trying to do what's right and what they say they hope to accomplish with their decisions. So under that thought train. The professor would have thought the money supply was going to restrict because the FED was raising rates which is usually a tightening cycle to drain money out of the market. But they did no such thing once the banks started to collapse last March. Once the banks started to go. The FED paused and said higher for longer. But liquidity has never slowed since then. So inflation is just gonna keep going up once everyone realizes the FED never raised rates enough. And here we are. Everything that we need keeps going up. The things we don't need as much are slowly starting to drop. Wages can't even keep up with the prices the things we really don't need are still at. Let alone the things we need. Is this close to stagflation? That soft landing we all knew was going to be in a puddle of shit which is way softer than landing on concrete. I think that's what the inflation is transitory people meant they just left out the last part.

[@minnesotasalamander5913]

Good to hear Steve.

[@leecaryer2569]

It is time to recognize that stupid things are done to achieve a purpose which will not be admitted.

[@johnwalker9429]

India also likes gold and their imports have also been increasing. Gold is moving from west to east. Alternative that can be used along side the USD?

[@mikebroughton8644]

Is the cowbell really necessary? Is that what we're reduced to now? It's very distracting.

[@margator1036]

So far the contraction in the supply of dollars has only affected other countries, not the U.S.. Dollars from all over the world are following back into the U.S.. The big shortage of dollars is for other countries, not the U.S.. Asset prices in the U.S. confirm this money flow.

[@tchen8124]

Yeah, which is very dangerous for the US and the dollar

[@brianlowe3529]

And more inflation

[@ikhong]

Countries that trade in local currencies, no longer require USD.

[@tchen8124]

@@ikhong True, that's why I stopped watching when I heard the professor saying "The dollar is strong".

[@ikhong]

@@tchen8124 same

[@valerieprice1745]

There's no such thing as digital gold or silver. If it's not fully exchangeable for government minted gold and silver physical coins, it's not money. It's not a "clone", it's just another risky derivative.

[@jerroldbrown2929]

Why are treasuries, particularly on the long end, doing so poorly if the world is fleeing to dollars?

[@skeetth2484]

The OST World life..😂

[@davidhemsted5372]

Commonsense Currency Theory (CCT) says the credit currency supply expands and contracts with economic growth except when sovereign states inflate the currency supply.

[@lucientjinasjoe1578]

I hope you are living to see the dollar collapses and it will happen within 20 years than you will really understand money

[@WelseyWalker]

I'm so happy I made productive decisions about my finances that changed my life forever,hoping to retire next year.. Investment should always be on any creative man's heart for success in life.

[@tryleraaron9244]

You're right, with my current crpyto portfolio made from my investments with my personal financial advisor Stacey Macken , I totally agree with you

[@LindaHarmel]

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[@AIIG-zd5dx]

Truly, investing has changed my perspective on how one can succeed in life; working multiple jobs isn't the optimal way to attain financial freedom and unfortunately, we discover this later in life. Currently earn as much as 12 grand weekly and this has improved my financial life

[@aniniels-hw5iv]

This Woman has really change the life of many people from different countries and am a testimony of her trading platform .

[@adamdouglas9888]

Wow. I'm a bit perplexed seeing her been mentioned here also Didn't know she has been good to so many people too this is wonderful, I'm in my fifth trade with her and it has been super

[@RobWilliams007]

Sanctions in Iran forced them to produce their own products such as, cars, trucks etc., and made their economy stronger.

[@mikemarkowski4547]

excellent

[@robjohnson7878]

$260 trillion in US bank derivatives, oh yea dollar is in great shape. Let me ask Warren Buffet about his thoughts on derivatives.

[@auntiefiat9769]

Weapons of mass financial destruction!

[@abrahams.lincoln6749]

Yes, you should call him & share with everyone that conversation.

[@AbuHasan-nw1jj]

Put out the werb sanction on your mind,that verb dosnt mean bisness onto you!😂

[@gregspeth7910]

Recession 😂 it will be a depression

[@Karim-ik5ij]

I love how everyone here thinks they are smarter than a John's hopkins professor of economics.

[@TheJayMartinShow]

👌🏼

[@wvhaugen]

Question vis-a-vis the US dollar declining because of sanctions on Russia. Did the EU Commission push sanctions because they wanted to weaken the US dollar? Were they that nefarious? Perhaps not. They just stumbled into it. As for the slowdown in growth in the European economies, one way to think about it is that the European economies, like France and Germany, are learning how to deal with economic contraction. This is a long-term strategy that they have sort of blundered into.

[@issenvan1050]

How about RRP?

[@BrandyHeng007]

US 8000 metric ton Gold Reserves equivalent to 800 billion Dollars, the same amount owing to China, in short it belongs to China 😂

[@dstr1]

We re always wrong on Chinese economy!! What's new. !!!

[@georgeboutwell6069]

Prof Steve Hake to be treasurer or head of Fed Reserves please and thank you

[@margator1036]

What has undermined the dollar is Saudi Arabia selling oil in currencies other than the dollar. The U.S. should patch things up with Saudi Arabia. Quit criticizing Saudi Arabia in public.

[@2nostromo]

Remember Adnan Khashoggi and remember the horrors and absurdities the Crown Prince is prone to.

[@yeaplye9080]

Let's face it, even without sanctions, the dollar will still heading to its graveyard due to the gigantic debt n enormous deficit budget each year. Sanctions speed it up by few years.

[@Karim-ik5ij]

Did you listen to anything he was saying?

[@lucientjinasjoe1578]

This professor is kowtow with saction and criminal behavior for glide through the sanction myth

[@willowx9468]

I would argue that sanctions are criminal..

[@darhan6709]

something gold guys seem to forget is that gold and especially silver will not get anywhere unless the miners are with them,,, and they are not

[@philaxx8888]

Voodoo Economics 101

[@margator1036]

The U.S. has a wartime economy suppling Ukraine and Israel. A massive investment in computer chip manufacturing and oil production at all time highs. Residential real estate at very high levels. Nat gas sales to Europe at all time highs. Recession? Growth and higher inflation seem more likely.

[@18618madeinamerica]

Russia will end up claiming all of Ukraine … probably was the deal from the beginning

[@georgeboutwell6069]

What would it take for gold price to decline? Rate Hike, National Debt Cuts, DXY Increasing $12100

[@oysterman962]

​@@billdickson1142😂😂😂😂😂

[@allegro70]

Way to late now. The charted territory for $ is already known.

[@issenvan1050]

Don’t international (fiat?) currencies last about 80 years, not 300?..

[@Stonkings]

Inflation contracting and money supply contracting and today we pass a 95 billion Ukraine aid package… I’m sorry I don’t believe you.

[@perewihongi4715]

exorbitant privilege or triffins paradox

[@georghackl6178]

Money supply Contra gold supply😢

[@user-jo6iq1uh4z]

if Chinese cust omers have worked out a cyclic buiyng process to aid thier economics ,tht may have een what set off US shoplifters

[@cheekokchiang9186]

Play a pop

[@margator1036]

Their is the world reserve currency and the other currencies. The U.S. has to provide enough currency and treasuries for the U.S. and the world. There is a shortage of dollars presently.

[@user-vp6vf8wm2s]

China economy crash? Where have you been? In a rabbit hole? Its rabbit season

[@margator1036]

There isn't enough gold in the world for a gold backed dollar.

[@brendamarie7627]

😂

[@user-uw2ge6lx8n]

It depends on the exchange rate, which would be astronomical.

[@oysterman962]

It would be priced like Bitcoin

[@ivainyamutsamba8540]

Which makes countries that produce gold to be valuable partners, we mine our gold, store in our reserves. The one that fits the bill at the time will buy at the producers pricing

[@minnesotasalamander5913]

Jay has his name to many times on the screen. My opinion sort of obnoxious.

[@joeyboedeker2047]

🇷🇺 will be victorious

[@artvandelay7236]

This dude is a dinosaur

[@user-yy3vd9vx7y]

The russa and china and the muslims brothers hood are preparing this for years⏰️westerners !!!

[@johnelliott672]

Only no one is challenging the dollar. Overhyped BS.

[@BrandyHeng007]

No worries , US mining Gold worth $10 quintillion from asteroid. 😅

[@nevenkasavovic4315]

Not much to be learned from this professor

[@Misiracaltudamecekas-qw8xo]

he saved our economy 1993 .He was advisor to Milosevic when Serbs inflation was 306.000.000% annualy.

[@danbuckles2745]

The dollar is stable and strong while the Ruble is failing, and the Chinese economy is in a downturn. America is strong and will grow if Democrats take control of the government but if Trump and Mega do we will see larger deficits and debt and a downturn like always happens historically when they control things.

[@robinerickson3697]

Yeah, Like New York & California, Oregon & Michigan are simply THRIVING under Democrat rule.

[@rockytop6077]

😂😂😂😂😂you think any party is here for u? If so... braindead af