I’m Vince Lancey. Today we have a little special presentation wrapping up the BRICS Summit and what some of the takeaways are for us. Let’s get started with the markets. The dollar is $1.04, $0.05, up four ten-year yields are down one and a half at $4.1980. S&P 500 is $0.5831, up 17. The VIX is down $0.29 at $1.1878. Gold is $0.2724, down $11. Silver is $0.3329, down $0.37. Copper is $0.432, down $0.02. WTI is up $0.56 at $0.7169. Natural gas $0.249, unchanged offered. Bitcoin is $68,147, down $0.32. Ethereum $0.2544, slightly higher. Palladium is up $7.1165.

Platinum is down $16 at $10.11. Grains are all down with wheat leading the charge lower. Okay. Big news week for everyone, right? Precious metals in focus. So we’re trying to figure out what we wanted to talk about today. And we saw this article in Zero Hedge and we wanted to recommend that you go to it, but I’m going to give you a presentation on it. The BRICS move to challenge the dollar’s status. Alternative economists have long forecasted it, the fall of the US dollar as the world’s reserve and petro currency, with BRICS nations leading the charge.

The group’s recent focus is shifting towards a multi-currency or basket system. For decades, the dollar has held its reign in international trade, officially replacing the British pounds after the Bretton Woods Agreement in 1944. This position, further fortified by the end of the gold standard, granted the Federal Reserve the freedom to print money extensively without facing immediate domestic inflation. As long as dollars remain overseas in foreign reserves, inflationary pressures on the US economy stay somewhat tempered. But if the dollar loses its reserve status and trillions return stateside, the resulting inflation could be severe.

Very similar to the milkshake concept. Second, in comes Putin. Putin’s push for a BRICS currency system. Vladimir Putin took advantage of the Kazan BRICS summit to highlight the potential for a new currency system. Aware of the dollar’s role as both America’s power and vulnerability, Putin introduced a symbolic BRICS banknote, a sign that dollar dumping may be closer than some economists anticipated. What happened in 2022 might be what our children or grandchildren are asking us, as we said what happened in 1971. The alternative to SWIFT and a sanction and the sanction fall out.

Another significant topic at the summit was the BRICS development of an alternative to the SWIFT payment system long dominated by the US and Europe. Russia’s exclusion from SWIFT after the Ukraine conflict sparked Western predictions of a Russian economic collapse. That did not happen. Instead, it drove the BRICS nations closer with China and India significantly increasing trade with Russia and China cementing military ties with Moscow and seemingly soon declaring peace with India. The chart you’re looking at there, that’s what happened in 2022. Russia invaded the Ukraine, the West led by the US, sanctioned them out of the dollar system and from that moment on, gold started to ignore US yields and US dollars.

Central bank digital currencies are on the horizon. Ironically, central bank digital currencies are going to be accelerated because of this. Plans to circumvent the dollar often center on central bank digital currencies which could challenge the dollar’s reserve status and SWIFT’s monopoly. Global institutions like the IMF and the BIS have been developing dollar alternatives for years going back to Bretton Woods. The BIS is actively testing CBDCs in countries like Australia, Saudi Arabia and China under Project Enbridge and Agora which is going to be coming to the West, aiming for a cashless society within the next two years.

The East is going to adopt central bank digital currencies before the West because the East is saying these are better than the dollar and it will get their people under authoritarian governments more likely to do it which will put pressure on Western democracies, so-called democracies, to adopt them as well and while it won’t be very easy to do here, it will happen on a nation state level if we want to trade with them and eventually with the removal of cash, perhaps less than a generation later, we will have central bank digital currencies or federation credits for those of you who like Star Trek.

The global shift is already underway. Skeptics who claim, pardon me there, skeptics who claim that the dollar’s dominance will last for decades are missing the mark. It doesn’t end with a bang, it ends with a whimper. It’s already done, the dollar’s already done and I’m not saying people are going to sell dollars, I’m saying that the dollar is no longer exclusive. It doesn’t have a monopoly anymore and that’s going to weaken over time in fits and starts. Quoting the Zero Hedge article now, globalist bankers have both the IMF and the BIS which is essentially the same thing by the way.

The IMF is the business, the BIS is the bank traders for it. They’ve been developing digital alternatives to the dollar system for years with the BIS already testing central banks in multiple countries. The mechanisms for a dollar alternative are already in motion. Now this is a mock-up of the bill. This is not what they’re going to have for a bill because it’s 100 units, you don’t even know what the unit is. This was presented to Putin in 2023. Look, it’s not going away and there’s going to be pushback, there’s going to be financial warfare, there’s going to be trade warfare and the US will be brought, kicking and screaming into the 21st century multi-polarity system and hopefully our nation’s leaders and our entrepreneurs and our spirit will allow us to come out of this better off because on a level playing field we’d win anyway in my opinion.

However, I don’t like winning by cheating and I feel like we’ve been cheating for the last say 15 years. So let’s do it right. I’m Vince, have a great weekend. Well thanks for watching this morning’s markets and metals with Vince Lancey which is brought to you today by Arcadia Economics Golden Silver Daily. That’s right, we now have our own substack at goldandsilverdaily.substack.com where we send out a written article every trading day covering the major events and developments in the precious metals markets and where this week we covered the volatility in the gold and silver markets of course in addition to the news that is now trickling out of the BRICS summit.

We also shared a piece about some of the ramifications that no one is really talking about yet if the BRICS do move forward their unit proposal and of course some analysis of the wild week in the silver market that saw a surge up towards the end of the week and into this week before the correction that arrived on Wednesday. So go check out the Arcadia Economics Daily column at goldandsilverdaily.substack.com and as always thanks for watching. Please note that this video is not intended as legal licensed financial trading advice and is to be used for informational purposes only.

Please contact your financial advisor before making any decisions and thanks for watching. [tr:trw].

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