Markets to Own with “Outside Money” Trumping “Inside Money” Tuesday, April 26, 2022

John Rubino and Michael Oliver return as our guests this week. Nicholas Rodway, the CEO of Core Assets Corp., visits for the first time. After 1971 when President Nixon detached gold from the global monetary system, the U.S. dollar became the uncontested world’s reserve currency. The U.S. has abused that privilege by using its dishonest source of funding to expand its empire. In the process, America consumed more than it produced running up huge amounts of debt both to its own citizens and to foreigners. That has greatly injured America’s productive capacity leaving it now vulnerable to would be predators like Russia and China. While the U.S. uses its military to project power, it seems to ignore its financial vulnerability. But recognizing that the U.S. produces little of what the rest of the world needs, Russia with China’s backing chose to play financial hardball with the West when it began to demand from Europe payment for its life-sustaining natural gas in the form of gold or Russian Rubles. While Americans seem to be ignorant of our financial vulnerability, this new move by America’s adversaries threatens to force our “inside money” (U.S. dollar created out of thin air) to submit to Russia’s “outside money.” “Outside money” is defined as money backed by life-sustaining commodities starting with energy. This threatens the dollar’s reserve currency status and will turn markets as we know them upside down. We will ask John and Michael for their views on how this major change will impact markets and how they think investors should respond. Nicholas Rodway visits for the first time to introduce a new sponsor company to the show, namely Core Assets Corp., a company that is exploring for gold, silver, and base metals in a carbonate-replacement style of mineralization in British Columbia. The targets are enormous and the company has a very strong technical team. Management owns 36%, with Crescat Capital also as a major investor.