Schiff on Soar Financially: Wall Street Still Hasn’t Learned

Yesterday, Peter joined Kai on the Soar Financially YouTube channel to walk through recent moves in precious metals and what those moves reveal about the broader economy. He links a silver breakout and rising premiums to a deeper trend: eastward accumulation of bullion, growing doubts about the dollar, and a fiscal trajectory the markets may soon price in.  

He opens by describing silver’s manic run and the technical and psychological levels that finally triggered a major move. He frames the shift as both a short squeeze and a rediscovery of a long-standing resistance level that goes back decades:

Silver really went nowhere as gold went from 2,000 to 4,000. And then finally moved from 30 to 120. And in fact, the move from 80 to 120 was like a few days. So I think once silver broke out above 50, that was both a psychological and a technical overhead resistance going all the way back to the Hunt Brothers in 1980. So I think once that happened, a lot of money came into silver, came into gold, and silver obviously got ahead of itself.

He points out an important geographic split: buyers in the East are accumulating physical metal while much of the paper selling is concentrated in the West. That distinction, he says, changes the dynamics because eastern buyers are converting currency into bullion while some western actors are betting against physical delivery: