Will Modern Monetary Theory (MMT) Ignite Gold?

Richard Maybury, Ivan Bebek and Michael Oliver return as guests on this week’s radio program.

Following the 2008-09 financial crisis, Fed Chairman Ben Bernanke began to implement the Modern Monetary Theory (MMT) resulting in zero and negative interest rates. With a modest recovery in place but with debt continuing to grow exponentially against linear GDP growth, the Fed has stopped MMT for now. But in preparation for the next crisis, it is ready to pile trillions more of debt-manufactured dollars onto the global economy. We will ask Richard what impact that kind of insane monetary policy will have on our investments.

Ivan will update us on Auryn Resources’ exploration efforts in Peru where the company is exploring a very large gold-copper porphyry target and where some potentially exciting assay results are expected soon. With Michael explaining last week that any major rise in gold will depend on an equity markets’ decline, we will ask him for his latest view on the S&P 500.

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Richard J. Maybury is the publisher of U.S. & World Early Warning Report for Investors. He has written several entry-level, common sense books on United States economics, law, and history. His writing style is mostly in an epistolary form, usually as an uncle writing to his nephew, answering questions. Maybury had taught economics in high school. Failing to find a book with a clear explanation of economics, he wrote one himself. Some of his books include Uncle Eric Talks About Personal, Career & Financial Security—a book that is basically the foundation for his other books about the model perspective; Higher Law, Whatever Happened to Penny Candy?—a book that explains the history of the United States economic model and how it was based on free-market Austrian economics; and Whatever Happened to Justice?—about his naturalist philosophical viewpoints regarding the foundations of America’s legal system, British Common Law, the law of the Franks, and early Christian Ireland.

Ivan Bebek is Executive Chairman and Director of Auryn Resources. Mr. Bebek has over 18 years experience in financing, foreign negotiations, and acquisitions in the mineral exploration industry. His understanding of the capital markets and ability to position, structure and finance companies that he has been associated with has been instrumental in their successes. Mr. Bebek was formerly the President, CEO and cofounder of Cayden Resources Inc., which was sold to Agnico Eagle Mines Limited for $205 million in November 2014, and a co-founder of Keegan Resources Inc. (now Asanko Gold Inc.). Mr. Bebek is a cofounder, Co-Chairman and Director of Torq Resources Inc. (formerly, Stratton Resources Inc.) and serves on the advisory board of Gold Standard Ventures Corp.

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.