Possibly the most important chart that nobody seems to talk about is right here.

This chart comes from Kitco.com and shows the prices of 5 precious metals. Four of these metals – gold, silver, platinum and palladium are all traded on a paper exchange which allows the powers that be to suppress the price of these metals by overwhelming the physical market with paper claims that in the gold market are around $71 TRILLION in yearly trades while only $213 billion of gold is actually produced.

Just like central banks “print up” money out of nowhere the banks, et al “print up” paper contracts that most times are not settled with actual metal and there is only a fraction of the metal being traded in physical bullion.

It has been well documented that JP Morgan and many other major banks have been suppressing the price while central banks and many major banks have been buying the physical metal for years. Ted Butler’s research has shown that JP Morgan alone likely has over 1 BILLION ounces of silver and over 25 million ounces of gold.

More interesting to me is why entities like central banks that can conjure trillions of currency units in a few seconds would have purchased 2200 TONS of gold in the past 3 years. My only answer is that they don’t expect the trigger finger to work for much longer.

It is not only that the banks want to get the metals cheap but there are larger players that encourage this behavior also. That would be the Fed in particular but also all other central banks. If the metals-particularly gold and silver were actually allowed to have a fair price it would expose the level of debasement of the fiat currencies and would also call into question what value long-dated bonds have as the currencies you will be repaid with are being debased far quicker than anyone can imagine. The illusion is kept alive by comparing fiat currencies (all falling at different rates) and suppressing the price of anything that would expose the level of purchasing power loss.

Notice that gold, silver and platinum are extremely cheap when compared with palladium. Just 15 years ago many auto manufacturers replaced platinum in catalytic converters with palladium because it was only half the price of platinum.

The reason why palladium is now more than double the price of platinum is not that it is more valuable BUT that there is a physical shortage and that puts constraints on the level of games that can be played with the price.

My opinion is that the cheapest asset on the planet is silver and it is possible that gold and platinum are next.

So far, while there are rumors swirling about a shortage of silver those playing the games have not been exposed – yet. There are plenty of signs that there is a shortage of silver but I’m sure all the pundits will be shocked when there is a payment of cash to settle silver accounts at some point.

The real point I want to make here is this. The LEVEL of manipulation, I believe, can only be exposed when you look at the one metal that DOES NOT trade on a paper market and therefore, in my opinion, is the only FAIR price (or accurate price) on this chart.

Rhodium is trading at $28,000.00 per OUNCE. If you see this chart daily you will also see that the price of rhodium may change once a day or every couple of days while the paper prices change every few seconds.

It has also been shown that the takedowns in the paper markets are done with market orders when there are few buyers because most markets are closed and that also leads to algorithmic selling to carry on the beatdown. Hence, the 4AM and 8AM raids that I have been highlighting for over 10 years.

Another place to look is at the USDebtclock.org. The amount of US dollars is soaring against the amount of silver and gold in the world. As of 3-22-2021 there are $4942.00 for each ounce of silver in the world and $35,377.00 for each ounce of gold. Compare these numbers to the $28,000.00 that rhodium is trading for and connect the dots. The level of manipulation is so great that it is hard to fathom. This is why I say when this fraud ends the prices of these suppressed metals will not be meandering up- they will be exploding up.

The price of stocks, bonds and real estate are being artificially propped up with “money” from nowhere with nothing to back it. Throughout history this has led to a demise of the currency being issued in overabundance. Currently, virtually ALL currencies are being issued in overabundance so they can all give the illusion of stability as prices climb higher and higher and we are continually told by our “leaders” that we need more inflation (even higher prices for everything).

On the flipside I would call gold, silver, platinum and palladium inverse bubbles. I would anticipate when the games end because of a lack of faith in fiat currencies these assets- untethered to the current manipulation- will quickly find a far higher and more natural price than the fake paper price of today.

Think about it. We have an economy in freefall. We have nations, states, cities, municipalities, companies and individuals in debts that are unprecedented in history and rising exponentially. We have central banks conjuring up tens of trillions of currency units to pretend all is well and that we are still solvent. CLUE- It is an illusion. The debts can never be repaid with currencies anywhere near their current values right now. As a matter of fact most central banks are conjuring up “money” so governments can even meet interest payments- let alone even paying down the debt.

The bad news is if they stop the current trajectory the entire system could collapse in a matter of hours if not minutes. This is why it is likely that this will continue until we hit the cliff I have been warning about for quite some time. Again I will say I would rather be 5 years early than 1 second late. That 1 second may make all of the difference.

Be Prepared!

Any opinions are those of Mike Savage and not necessarily of those of RJFS or Raymond James. Expressions of opinion are as of this date and are subject to change without notice. The information in this report does not purport to be a complete description of securities, markets or developments referred to in this material. The information has been obtained from sources deemed to be reliable but we do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct.

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