Prepare to fast forward! Prepare to fast forward! Fast forward! Fast forwarding, sir! Nobody knows. Everything is crazy. What we know from this week is that, first of all, gold likely bottomed here. Probably silver, too. Why? Because silver follows gold, more or less. We’re gonna talk about the gold-to-silver ratio, which is, again, above 100 to 1 for only the fifth time in recorded history. And the first time was in 1934, I think, with the revaluation of gold. But anyway, gold most likely bottomed because of the open interest numbers that are now below 450,000 contracts.

And I’ll show you a graph that shows that at these numbers, lows have almost always been hit. Probably gonna talk about the gold to S&P 500 ratio or the S&P 500 to gold ratio, which is now at 1.77. The trend line has been broken, has been broken decisively, and we are now on the way down. In this ratio, the 2011 level was about 0.6. We’re gonna head back down there. Notice that as the stock market has been crashing and climbing by 10%, 11%, 15% for tech stocks yesterday, gold has been relatively calm compared to that. Even though it, too, has been rocking back and forth, it has not been rocking back and forth nearly as hard as stocks have.

And that is why we hold it. One of the reasons, at least. The Bitcoin to gold ratio has hit its trend line from 2023. For the third time, if it breaks this, Bitcoin is going to fall hard versus gold. I expect that to happen any day now. The gold to silver ratio is above 100. For only the fifth time in history, I’m looking at the chart now, 1934, 1943, 1991, 2020, and now. And that’s it. You’re not going to get a much better price on silver relative to gold if you want to maximize your gold holdings.

And we do hit a 15 to 1 ratio, and I expect that we will at some point during the end game at the bell ringing at the end game top. Then you can accumulate seven times as more gold with silver now than you can with gold itself. I don’t recommend holding only silver. I don’t recommend holding only gold. I recommend. I don’t recommend anything, really. I, myself, hold a mix that helps me sleep the latest at night. Gold for after the end game and silver only to get through the end game itself. And finally, we’re going to talk about the plumbing, which is going a little bit nuts.

You want to get nuts? Let’s get nuts. The security overnight financing rate, a.k.a. the repo rate, is wobbling like it’s never wobbled before. Not even before the apocalypse that it ever wobbled with such volatility. I’ll show you the chart there. And it should scare you if you know anything about financial plumbing, which if you’re a plumber, you probably know about. And the last thing we’ll talk about is why the tariffs cannot succeed. Not even theoretically, because if they do, that means all the dollars from accumulating trade deficits from 1971 and beyond come back to the United States and we export stuff.

Meaning we, meaning the United States and the United States exports stuff, meaning has less stuff and more dollars, which means higher interest rates, more dollars, less stuff, higher prices. And that is the key type of inflation. Anyway, let’s continue with this week’s silver board brought to you by Kootenai Silver. When I say this a little bit tongue in cheek about Kootenai Silver, K-O-O-Y-F in the United States and K-T-N in Canada. Its price action does not really seem to care about tariffs so much as is to be expected because either Kootenai will succeed in offloading its assets developing and then offloading its assets or it won’t.

And it doesn’t have anything to do with the macro picture has very little to do. Silver explorers are certainly not my core holding for the end game. And I don’t consider this really end game prep that much though. If silver does approach the 15 to 1 ratio, these companies are going to look a lot more attractive to potential buyers who are going to want to mine as much silver as they can. And once their assets are offloaded, I do expect it to be some kind of an equity deal. And eventually for shareholders to get a piece of dividends, which after the end game, I’m sure that mining companies are going to pay out in order to keep people to continue to hold their stocks long.

Long term, we have here a table of the drill results from the Colombo project, which is its main project. Now, this is in its investor presentation, and it will be in a link in the description below to check out all the details for those geologists around us. Check out these numbers can see the bold are highlighted. This is grams per ton of silver per hole and the width of the hole. This one is 9840 grams per ton, which is almost 10 kilograms per ton of ore. There are many in the thousands of grams per ton. It goes on for eight pages.

You can see the full results here, what they have developed in this resource so far. And they have it more organized with the highlights over here. Some of these in the thousands, you can see one thousand nine hundred and fifteen grams per ton, one thousand seven hundred and sixty five, two thousand five hundred almost over here. And here’s one five thousand eight hundred and forty grams per ton on the bet that as gold to silver ratio dropped and it certainly will drop from the hundred to one ratio it is now. These properties are going to look very attractive for a major mining company.

And with that, let’s continue with this week’s silver report brought to you by Kootenai Silver. The first shot I wanted to show you today is I’m going to share it on the end game investor on sub stack. You can see here the black line over here is the amount of open interest, the number of contracts open in the gold futures market. I drew the line over here so you can see when we have hit around this line. This is this has been one, two, three, four, five, six, seven, eight times since twenty twenty one. Each time we’ve been around this number slightly below it, sometimes we’ve hit a local low or an intermediate low.

Some people call it in the gold price. So if you had bought at any time when open interest was this low now below four hundred fifty thousand contracts, you would have been in very good shape. You’ve of course been in very good shape no matter where you bought gold since twenty twenty one. But if you bought at this, these open interest numbers where we are now below four hundred fifty thousand contracts, you would have been in very good shape. So the fact that so many contracts have closed since this crash, quote unquote, in gold actually much less of a crash relative to stocks and relative to Bitcoin.

This is this is probably a good place to add to your stacks. This is not a recommendation because I don’t recommend anything. The next chart I have for you here is the S&P 500 took gold ratio lower goes. The more expensive gold is relative to stocks. The cheaper stocks are relative to gold. You can see we still have a very long way to go to get to the twenty eleven lows of about point six here. I drew two trend lines so you can see what happens when a trend line like this breaks. Last time I saw this broke was in twenty eighteen.

And you can see that stocks got a lot cheaper relative to gold going into twenty twenty. That was the low from the panic here. We’re headed back into it and I think we’re going to break it this time. That level is about one point four. Once we break that number, we’re probably in the clear. Just head down towards the twenty eleven low and we’re going to go beyond that. I’m sure as the end game gets more intense. The Bitcoin to gold trend line that hits again. This meet intermediate trend line from twenty twenty three and I said one two three times.

This is the third time. The hit is around twenty five. It hit in a in a wick on a bottom wick here. Here’s the candle or just above in the candle. I do think this trend line is going to break imminently when it does this trend from twenty twenty through the end of the last crypto winter to about forty ounces per Bitcoin. We’re now about close to half that. I think the record was like forty one or forty two. I think we’re about half that now. So the price of Bitcoin has been halved relative to gold as gold heads up steadily.

Bitcoin wigs and wags and whatever it does, zigs and zags. And it’s crazy. And it’s not a real good end game asset because it will make you not be able to sleep. Gold to silver above one hundred. This is the long term since nineteen hundred gold to silver ratio. You can see that these numbers one hundred to one. I think we’re hundred one hundred and two something like that. These only happen during times of crisis. The gold revaluation of nineteen thirty four. That was when gold we got from twenty one to thirty five and silver had to catch up.

It did very quickly. This is the World War Two low in silver relative to gold. And from there we head into the nineteen sixty eight was the death of the London gold. Or the breaking up of the London gold pool into ninety sixty eight back to a fifteen to one ratio again. Very close to fifteen to one ratio in nineteen eighty. We hit that three times. We’re going to hit it again. We hit the one hundred to one ratio in nineteen ninety one for some reason. I thought it was Desert Storm but it actually happened after the invasion of Iraq and Desert Storm.

So I put I don’t know here. I don’t know what was causing the gold to silver ratio go to hundred to one back then. Lockdowns twenty twenty we know why that was because the world was shutting down. And so was industry and silver was trading as an industrial commodity. So here we’re at one hundred to one again. This is a sign of serious financial stress and we’re in it now folks. We are in it. You’re not going to get much of a better price for silver relative to gold. So take that into consideration. This is the S.O.F.R.

secured overnight financing rate. This is the plumbing rate. This is the biggest pipe in the financial plumbing world or the financial sewers. This is where about two point six trillion dollars are trading hands every night in exchange for Treasuries. You can see this rate is supposed to be rock solid. It’s supposed to barely wiggle and it barely wiggled throughout twenty twenty three as they’re raising rates. Basically raising rates is like raising where the pipe is. The pipe is over here. The pipe is over here. Over here. Another twenty five basis points up. And when rates were about five point three percent it was still pretty stable.

Got a little bit more wobbly over here. I put the red here. You can see a little bit more wobbles over here as they start to cut rates. And now it’s getting very very wobbly. We are now at four point four two and it should be around four point three three. It’s wobbling about ten to twelve basis points sometimes eight basis points a night now. This is signs of severe financial stress in the in the biggest pipes of the global monetary system. And it’s going to break very soon. This is a joke that I’m putting together on authors of an article on Bloomberg.

Two authors and two graphic artists. All of them are women in Indian and American and Chinese I think in an Arab. I’m not sure if she’s Arab but she has an Arab name. So you know I’m just saying that. And why am I putting this out because it’s fun. They walk into a finance bar. Doesn’t that doesn’t that one in the left the Indian doesn’t she look like that scene from True Lies when Jamie Lee Curtis is like in that dress. Anyway here’s what those women write. How much tariff turmoil until the Fed intervenes five market crises provide clues.

You can see all their lovely names. Jill Arshad Alex Harris Tini Sulu and Raeeda Waheed. U.S. financial conditions have already deteriorated to the worst since May 2020 according to a Bloomberg index which uses various indicators to track the overall level of financial stress. In the country’s money bond and equity markets and Deutsche Bank AG strategist George Sara Velos told clients on Wednesday that if disruption in the U.S. Treasury market continues we see no other option for the Fed but to step in with emergency purchases of U.S. Treasury is to stabilize the bond market. Ladies gentlemen this is absolutely going to happen whether it happens tomorrow or next week or a few weeks from now or a month or two from now makes no difference at all.

It is absolutely going to happen when it does that is the final printing round beginning once it does. Gold and silver are going to start to moonshot. You could say that gold has already been doing that silver definitely has not silver is going to wait for the final stages of the end game. It’s going to rise in the final months of the end game just as it did in 1979 to 1980 at the end of the 70s inflationary pyramid period that began in 1971. Only in the final months did silver really start to climb. Finally why tariffs and balance trade mean hyperinflation and rising rates.

I am not against the Trump administration. I do not have Trump deranged syndrome and he was pointing out that the whole idea of tariffs rescuing the American economy is ridiculous for logical reasons. It is impossible for tariffs to do anything but bring on hyperinflation. Especially if theoretically they succeed. Why is that? Let’s go through the bullet points. First, a trade imbalance means the US exports more dollars and imports more stuff. So it’s getting more stuff into the country and more dollars out of the country. Therefore, it has fewer dollars and more stuff for the price of that stuff in the country is lower than it otherwise would be.

If all you have to do is print dollars to get stuff and you have the reserve currency of the planet, you are in pretty good shape. That means more stuff inside the US and fewer dollars. Third bullet point, countries with a trade surplus, what do they do with all those dollars? The United States exports dollars which become part of the balance sheets of those other countries. What do they do with them? They buy treasuries with those dollars pushing rates down. They don’t just hold the dollars. They buy US treasuries, they earn the interest. That pushes bond rates down.

That keeps the government’s deficit financed because of the trade deficits that exist. Those are the only things that are saving the dollar, the trade deficits themselves. Next bullet point, reversal trade deficits means those with a trade surplus must sell treasuries for dollars to buy US stuff. What do you buy US stuff with? Dollars. When you get dollars, you get them from the trade surpluses that you had in the past. If you want balanced trade with these other countries, you are saying that you want the dollars back because you want to sell the United States stuff. You want to export it for dollars that you get back so you have less stuff and more dollars.

Next bullet point, rates go up because other countries that have until now had a trade surplus with the United States. They have to sell treasuries in order to raise dollars to import stuff from the United States to pay for that stuff in dollars. Rates go up, US exports more stuff and imports more dollars, meaning more dollars and less stuff from the US. Therefore, final bullet point, rising rates and hyperinflation necessarily result. If you want balanced trade, balanced international trade, fine. But that means that all of the dollars that have been exported on net since the trade deficits began, they go back to the home country.

In exchange for stuff at the home country, ships out. That causes the death of the dollar, the death of fiat currency and the end of the fiat monetary system in its entirety. Which is why I support these tariffs for now because I want this system to end and I know the tariffs will destroy it. This is Raf with The Endgame Investor with this week’s silver report for The Endgame Investor brought to you by Kootenai Silver, symbol K-O-O-Y-F in the US and symbol K-T-N in Canada. And I’ll see you guys next week, maybe if tariffs haven’t ended the dollar by then.

I want to get nuts. Let’s get nuts. [tr:trw].

See more of Rafi Farber on their Public Channel and the MPN Rafi Farber channel.