➡ Banks are using US treasuries as collateral to hedge their other toxic assets, leading to an increase in the printing of money and potential inflation. This is not due to current political leadership, but a result of past administrations’ actions. Despite the economic turmoil, tangible assets like gold and silver are performing well and are expected to continue to do so. It’s advised to take advantage of these inflationary pressures and invest accordingly.

Hi, everybody. I’m Dr. Bryan Ardis, host of The Dr. Dr. Ardis Show, and this is your exclusive update. This is July 2025, and this is Kirk Elliott on the screen, PhD. That dude’s got two PhDs, one in economics, one in finance, I believe. This guy is brilliant. I don’t know how many people you know have two PhDs, but I don’t have one, so this guy’s got two. It’s amazing. All right, so bring us up to speed. What’s going on in the world today in finance? I hear there’s always turmoil, always issues.

Just so you know, five minutes ago, I was on an email, not an email, a Zoom call with all the people that help organize our Healing for the Ages platform. Let me give you the financial update I was just given about our conference that’s coming up in October. We actually just found out from the Hilton Hotel that the food they have provided for us the last two years, which the chef sources all organic foods from around the world there, Kirk. I just found out that all food prices for all hotel chains, all of them, even all over Dallas, Fort Worth area, which there are tons of, the cost of food alone in the last year has gone up 50 to 60%.

I mean, all food up 50 to 60 is a lot of money. I mean, I’m not really sure, but is that the same rate at which like minimum wage has increased in the last year? Has it gone up 30 to 50, 60%? I’m not really sure, but I don’t think inflation rates, I don’t think increase in wages is matching the rate at which everything else seems to be getting way more expensive, including food. Well, it’s, you’re absolutely right. And this does have ramifications in the financial world, in the banking world, especially because if you look back, Brian, to when Silicon Valley bank went under, right? That was a couple of years ago.

And in my sister-in-law lost a ton of money. Oh, when that happened, by the way, whether it was Silicon Valley or credit Swiss or first Republic or signature bank or silver gate bank, it was like this contagion that went through some regional banks. And so we have to ask ourselves why, why do banks fail, right? And this is going to go to the thing that you just brought up about food prices, right? It’s like banks fail because A, they’ve got bad investments, but B, the more you get rid of all the noise, the fundamental forces, the reasons why they have more withdrawals coming out than deposits going in.

I mean, that’s simply, they just run out of money. That’s almost too much common sense there. We’re all spending too much money to just live normal lives. That means there’s less money in the bank for the banks to lend out to make money. Absolutely. So you go back to COVID times and the government shutdowns. People couldn’t travel. Mom and pops had to shut down their businesses. People were sick, blah, blah, blah. Right. And so, so the government provided massive amounts of stimulus. I mean, Biden was printing money like a drunken sailor, right? To just provide stimulus to everything, just handing it out willy-nilly.

Well, what was happening is wages weren’t keeping up that printing of money cost inflation. Like what we’re seeing with food prices, wages weren’t keeping up with it. So people had to withdraw just to live and there was less deposits going in because they weren’t working. So this is how banks fail. Fast forward to today, we’re seeing the same thing kind of happen all over again. And sadly, over the last week and a half, there’s been a lot of floated policy initiatives that are actually going to put us back to 2008, 2009, which was even worse than Silicon Valley bank.

That was the big massive subprime lending crisis. Well, how did that happen? Right? You always, there’s always a reason, some kind of a trigger that causes something to happen, whether it’s in your body or whether it’s in the banks or whether it’s in the global economy, you name it. So back then they were printing money like, like there was no tomorrow, right? And these banks had all this liquidity. They had too much capital. So what did they start doing with it? Then, well, we got to lend it out to somebody. How about to people who can’t really afford to pay back their loans, right? It’s like, just get it out.

And this is the subprime lending crisis. So when you give people money that don’t have a propensity to pay off their mortgages on time or at all, well, you’re going to get delinquencies and then you’re going to get defaults. And this is what caused this crisis. And it got so bad that the stock markets, both the S&P 500 and the Dow Jones industrial average, both came down 50%, 50%. Why? Because banks had too much liquidity. They were giving money to people who couldn’t, shouldn’t have had loans. So after that, they put a bandaid on the situation.

They said, hmm, we got, we got to fix this. Let’s, let’s institute these supplemental leverage ratios at the banks, which are basically a fancy way of saying banks, if you have toxic assets, you got to have cash on hand to hedge that. So that’s what the supplemental leverage. I imagine that’s like collateral people banks ask for on a loan, right? What do you have that can offset you not being able to pay back the loan? Okay. Yeah, yeah, absolutely. So, so cash is what they had to go into. So now they put that bandaid out.

It kind of helped for a while, right? But now, as of three weeks ago, Jerome Powell, who Trump is battling calls him stupid Jerome, idiot Jerome. I mean, he’s got a name for him every, every other way, but, but Jerome Powell is playing head of the Federal Reserve very politically, right? And he’s, and he’s doing this because he can’t stand Trump. You can tell, you can tell by their actions, right? If people like somebody or not. Well, he’s not lowering interest rates to stimulate the economy. Well, it’s like the grief, Brian, you got to stimulate the economy.

It’s part of Trump’s plan. He just passed the big, beautiful bill that now is the big, beautiful law. That’s going to add trillions of dollars of deficits. How do you pay those off? Well, Trump has a plan. It’s like, you grow the economy, you get people working. When people work, people spend and people spend, you got more tax revenue. It’s, it’s just kind of how a growing economy works. But you have to lower interest rates to do that, to grow the economy. What, what Powell is saying is I’m not going to lower interest rates because Trump, your tariffs, they bring inflation.

Well, it’s like, wait a second. You, you brought inflation to Rome, Powell. Why? From quantitative easing by printing all this money to provide all the stimulus under the Biden administration. Trump’s trying to fix that. Right. But, but just like when, when you start taking medicine or start taking supplements, you’re not going to see usually an immediate response, but it takes time. It takes time to see fruit on the tree. Even drugs, they say, if once you start your antidepressant, like a Prozac or Zoloft, you may not see improvement in your depression for eight to 10 weeks.

I mean, they all say that. Yeah. I mean, and, and if I were really fat, not just kind of fat, sorry. And I went on a diet and the next day I said, I want a diet, but I don’t look any different. Yeah. I didn’t lose 10 pounds yesterday. No, you’ve got it. You’ve got to take time. Public policy is the same way. When you initiate policy or legislate it or through executive order or whatever, it takes a while to see the food on that tree. We’re still dealing with the aftermath aftermath of Bidenomics.

We are. So Trump will get his way in time. But what Powell is doing is saying, I’m not going to lower interest rates. If he doesn’t lower rates or even raises them, he’s going to cause a recession. When you have a recession, who’s going to get the blame for it? The guy who’s in charge. Trump is not going to be Jerome Powell. People are going to forget about Jerome Powell, but it’s his policies that are causing this mayhem. So, so here’s what he floated last week or a couple of weeks ago.

He said supplemental leverage ratio. Let’s change the assets that banks have to keep on hand to actually hedge their toxic assets, the commercial real estate and everything else. What are we going to do? How about treasury bonds? US treasuries. Well, why is he doing that? Well, because the rest of the world is de-dollarizing. The BRICS nations are dumping US treasuries. There’s no demand for the US dollar. It’s down 10% year to date. Like, wait. So now he’s saying, Oh, a risk-free asset is US treasuries. It’s down 10% year to date. A decreasing value of asset.

Yeah. We should offer that as the, as what we should hedge our bets on for all things. Genius plan. I know. Genius plan. How about we use something that’s gone down 10% in half a year to hedge something else that’s going down even worse. Okay. Not a good idea. Right. But they’re doing this because they have to bring demand back to the US dollar when the rest of the world is dumping it. So what is this going to mean? Bottom line. Banks, now that they can use US treasuries as basically collateral to hedge their other toxic assets, what are they going to do? They’re going to load up the balance sheet with US treasuries.

What does that mean? The Fed is going to have to print a lot of money to make this happen. Right. So, so this is inflation. You were talking about expensive food prices already for the conference. We haven’t seen anything yet. I really don’t think that we have. So, and this is not Trump’s doing, I want everybody to hear this. Trump is trying to fix what other administrations prior had broken. It takes some pain to get through that though. But, but you have to fix this dollar when nobody wants it because we have $37 trillion worth of debt.

Right. Nobody wants a US dollar when they provide stimulus for everything under the sun. When we have high taxes, this is Trump has only been in office for like 160 days. None of this is really his fault. This is what he inherited. He inherited a cesspool of an economy. Right. So, so getting to this point, we’ll ultimately get there if he gets his way. But if he doesn’t, if he’s got these massive political headwinds of Jerome Powell and the globalist and the international bankers saying, we don’t like, we don’t like America getting to the top of the heap again.

We want a globalized world. Right. So they’re going to give Trump opposition every step along the way. Sometimes even from his own people. What’s, what’s Massey doing? Massey is fighting them tooth and nail, right? People on his own team. Right. So, so here’s where we sift through this madness, right? And it’s like, what makes sense? Well, how do we get rid of all of this noise and just do something that actually makes sense? Well, we’re all on pins and needles, Kirk Elliott PhD. No, I had to set the table first. So yeah.

So, so tangible assets, like what we’ve talked about in previous shows, gold and silver do really well. Now, how well are they doing? Because for the first part of this year, silver kind of stabilized and it was going sideways and people were calling me complaining and say, Kirk, silver, not do it all that much. It’s like, and gold was doing better. Like it’s, it’s consolidating. This is really healthy for an economy, for, for any asset. I don’t care if it’s stocks, bonds, real estate, mutual funds, gold, silver, it doesn’t matter.

When you have massive growth, you can’t have that kind of growth forever. You have to stabilize, you have to build a new foundation, like a springboard for the next phase up. Now, I was, you might get mad at me for saying this, but I was watching this show on Netflix about these football players, like Lyle Alzado and stuff that were on steroids and, and they died, their liver exploded or whatever happened, right? Well, they couldn’t take it nonstop. They had to cycle. So they took their steroids and then they had to go off of them for like three months and then they could start them again.

And because you have to build a new foundation for the next growth that came, granted it was unhealthy growth. They were right. But, but same, same philosophy applies in the financial markets. You can’t just have growth nonstop or you can’t have something that goes down nonstop. There’s, there’s consolidation. So we saw that in silver and now that consolidation is over and the consolidation is moving over to the gold market. It’s going sideways now, but silver is not. Silver has gone up. They’re over 30% year to date. It’s gone up a couple bucks in the last two weeks.

We’re sitting at 39 and a half dollars. When, when we first started doing shows together a couple of years ago, just on and off, right? Silver was in the low 20s. Like, oh my word, it’s almost doubled since you and I started doing shows together almost double. Well, I think this is going to continue on. I think this is going to actually, I hate to be projector. I’m not, but when you look at the trends, we’ll probably see silver at 75 to a hundred dollars an ounce over the next 12 months.

It’s 40 right now. I mean, that’s really good growth. So have you missed the boat? No, you haven’t. There’s still much more to come. And why is there more to come? Because banks are illiquid. They’re adding these, these monies of them, the inflationary pressures, you’ve got these tariffs that are causing geopolitical conflict between nations. No, by the way, Trump keeps winning these battles, right? So, but there’s tension, there’s conflict. That hurts normal traditional markets, like stocks and ponds does very, very well to the assets like gold and silver that thrive on chaos.

So this is where we can have a smile on our face, right? I don’t see the banks as being healthy. I see the banks as being over leveraged and under capitalized gasping for air. And they love the idea that they get to fill up their balance sheets with us treasuries to stave off a toxic asset crisis, right? But that’s going to cause more. How long? Yeah. How long does that last? I don’t know, but you take, you take advantage of it while it’s that right. While this, these inflationary pressures are happening, bro, thrive, allocate accordingly.

And that’s how you get through this. And so how we can have a smile on our face. All right, y’all. You heard it here first from Kirk Elliott. Silver’s still strong, gold, still maintaining. It’s good. It’s healthy. But for all of you wanting to know how to secure more of your assets in your future and what you’ve worked so hard for over the last many decades of your life to preserve and have under your mattress now, I guess, not the banks, because you can’t really trust the banks. You’re going to want to talk to Kirk Elliott, PhD.

This guy helped make sense of everything that you’ve experienced. You’re witnessing, you’re watching all the confusion in the media that you’re reading, hearing. You need somebody to talk to who can actually help you navigate, reduce the fear, anxiety and panic and help you understand what is healthy for you. No different than what we did as doctors during COVID. You’re being told to go to the hospital, stay at home until you’re really sick, or just to get the COVID-19 vaccine or trust remdesivir, when in fact, there’s already proven things for decades that were proven safe and effective way before these new introduced drugs and new ideas and concepts.

As you’re seeing now with inflation, and let’s just print trillions of dollars to rescue an economy, we just intentionally shut down with a fake virus. Okay, great. Thank you. Appreciate it. Thank you for destroying all of our livelihoods. And thank you for not allowing us to make money that we can put into the banks, so the banks will ultimately fail. You can continue raising prices of everything. You know, there’s a lot to actually navigate and to help make sense when most of us don’t have financial degrees, economics degrees, theology degrees, you can help us navigate all those waters.

Kirk Elliott PhD. Tell my audience is where to call or to go find your website, kirk elliottphd.com. I think that’s what it is. Pretty easy. Kirk elliottphd.com forward slash Dr. Ardis, go find us. You, you have the opportunity to call Kirk Elliott. What’s your phone number? Oh, sorry, it’s 720-605-3900. Or go to the link that you provide. Either way, tell him Dr. Bryan sent you. You got it. Kirk Elliott, thank you very much, my friend. God bless you. God bless all of us as we try to feed ourselves and our children and not go broke at the same time.

All right. You heard it here. Kirk Elliott can help you. It’s who I trust. I hope you do too. All right. We’ll see you next time on the Dr. Ardis show. Thanks, Kirk. You bet. [tr:trw].

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