The Dollar Approaches its Threshold of Lethality

Alasdair Macleod, Michael Oliver and Patrick Highsmith are this week’s guests on this weeks program.

Alasdair has recently pointed out that the Fed, the Bank of England and the Bank of Japan are now themselves becoming insolvent. As interest rates rise along with surging inflation, the massive debt they purchased to stimulate their economies is declining in value, resulting in negative net worth balance sheet positions. Insolvent central bank balance sheets began to emerge before Russia invaded the Ukraine. Now massive sanctions against Russia, keeping it from trading in dollars at a time when supply chain constraints are much, much greater than those created by COVID, threaten massive shortages of essential commodities on global markets, which in turn threaten prospects of dollar-denominated hyperinflation and still higher interest rates.

President Biden talks of a New World Order with the U.S. leading it, but that may not be possible because creditor countries like China, not debtor nations like the U.S., end up as leaders when systems collapse. The U.S. has been running massive trade and fiscal deficits since 1971 and now the exponential direction of those deficits are blowing up the dollar-based system. Alasdair discusses these dynamics as well as how gold may become a cornerstone of a new currency system.

Owners of gold like Timberline Resources, which is in the process of making a significant gold discovery in Nevada, should be in a much stronger position than those who have put their faith in the Fed’s dollar. Patrick updates us on Timberline’s exciting gold discovery, and Michael provides his latest momentum and structural analysis for gold and other key markets.

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Alasdair Macleod has a background as a stockbroker, banker and economist. He is a Senior Fellow at the GoldMoney Foundation and Head of Research at Goldmoney.  His experience encompasses equity and bond markets, fund management, corporate finance and investment strategy. His weekly articles written for GoldMoney are posted on his blog at Because of his deep insights into underlying market dynamics, Alasdair is one of the most frequent guests on Turning Hard Times into Good Times.

Patrick Highsmith is Chairman of Firefox Gold Corp. A professional geologist and mining executive with 29 years of experience in exploration, operations, business development & leadership roles for companies, including: Rio Tinto, BHP Billiton, Newmont, Lithium One, Pure Energy Minerals, and Fortescue Metals Group. Mr. Highsmith has worked on more than 250 projects around the world, leading teams through creative transactions, new discoveries, scoping, and prefeasibility studies. He is experienced in the capital markets, having been associated with all manner of financings and transactions. Patrick has been targeting gold in Finland since 2005, and has been integral in building FireFox.  He is also the Pres. and CEO of Timberline Resources, a mineral exploration and resource development company focused on gold and copper discoveries in northcentral Nevada, USA.

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.