Supply Chain Disruptions and Inflation

John Rubino, Patrick Highsmith and Michael Oliver are this week’s guests.

After the fall of the Soviet Union, the world engaged in global trade on a scale never before in world history. The U.S. entered into this new era by off-shoring major industries in countries with low cost labor. That not only devastated America’s middle class but it also made America extremely vulnerable to China which now produces many life-sustaining products that America no longer produces. America employed fiat (aka “fake”) money accepted globally, aided and abetted by American military force. Nations like Russia and China took note of America’s global expansion funded with an intrinsically barren dollar and Russia, in particular, became angry with America and NATO having dishonored its promise to a fallen Soviet Union not to add one inch of new territory into NATO.

The talk of adding the Ukraine into NATO was line in the sand for Putin who responded by invading Ukraine.  Sanctions against Russia gave Putin no choice but to cease selling energy to Europe unless sanctions were removed and energy was paid for in Russian rubles. At a time when hyperinflation is becoming a real possibility, a growing number of European nations are planning to print enough money to pay high prices of shrinking supplies of energy available to Europe. Putin is playing hardball with the West with a desire to get the U.S. out of Europe and to break up NATO. The West will have to accept a monetary stem that is based on tangible assets like energy and gold, or face an economic depression. The choice is only whether it will be a hyperinflationary or a deflationary depression.

We discuss what this all means for the market with John Rubino and Michael Oliver. Patrick Highsmith updates us on Timberline Resources’ Carlin-style gold discovery in Nevada.

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John Rubino is the founder of the popular financial website He is co-author, with GoldMoney’s James Turk, of The Money Bubble: What To Do Before It Pops, and author of Clean Money: Picking Winners in the Green-Tech Boom (Wiley, 2008), The Collapse of the Dollar (also with James Turk), How to Profit from the Coming Real Estate Bust (Rodale, 2003) and Main Street, Not Wall Street(Morrow, 1998). After earning a Finance MBA from New York University, he spent the 1980s on Wall Street, as a Eurodollar trader, equity analyst and junk bond analyst. During the 1990s he was a featured columnist with and a frequent contributor to Individual Investor, Online Investor, and Consumers Digest, among many other publications.

Patrick Highsmith, President and CEO of Timberline Resources, has more than 30 years of international experience including operational, exploration and business development roles with major companies such as Newmont Mining, BHP, Rio Tinto, and Fortescue Metals Group. He also has co-founded, and/or acted as a director or senior executive in several junior companies. His junior company pedigree includes Canadian listed companies such as: Lithium One, Bellhaven Copper & Gold, Pure Energy Minerals, Idaho Champion Gold Mines, and FireFox Gold, for whom he is co-founder and chairman of the board. Mr. Highsmith has been involved with several significant discoveries and helped add value to those projects through various stages of economic advancement, partnerships, joint ventures, or sales. He has a long history with Dr. Hennigh, Chairman Leigh Freeman, as well as the current CEO, Steven Osterberg. Patrick holds degrees in Geological Engineering and Economic Geology (Geochemistry) from the Colorado School of Mines. He has specialized technical expertise in gold, copper, and lithium exploration.

Michael Oliver entered the financial services industry in 1975 on the Futures side, joining E.F. Hutton’s International Commodity Division, NYC. He studied under David Johnson, head of Hutton’s Commodity Division and Chairman of the COMEX.

In the 1980’s Oliver began to develop his own momentum-based method of technical analysis. In 1987 Oliver, along with his futures client accounts (Oliver had trading POA) technically anticipated and captured the Crash. Oliver began to realize that his emergent momentum-structural-based tools should be further developed into a full analytic methodology.

In 1992 he was asked by the Financial VP and head of Wachovia Bank’s Trust Department to provide soft dollar research to Wachovia. Within a year Oliver shifted from brokerage to full-time technical research. MSA has provided its proprietary technical research services to financial and asset management clients continually since 1992. Oliver is the author of The New Libertarianism: Anarcho-Capitalism. 

About Jay Taylor

Jay Taylor is editor of J Taylor's Gold, Energy & Tech Stocks newsletter. His interest in the role gold has played in U.S. monetary history led him to research gold and into analyzing and investing in junior gold shares. Currently he also hosts his own one-hour weekly radio show Turning Hard Times Into Good Times,” which features high profile guests who discuss leading economic issues of our day. The show also discusses investment opportunities primarily in the precious metals mining sector. He has been a guest on CNBC, Fox, Bloomberg and BNN and many mining conferences.