In this week’s “Resource Heads”, I tell the story of Rick Rule buying Russian, uranium, and oil stocks, Patrick Karim tells me why silver is about to enter a 7-year bull cycle, Menachem Sahler tells me how rising prices could lead to deflation, I answer the question “how long can Europe survive without Russian gas”, and dr. Quinton Hennigh tells me how companies look for and find ore deposits.
The 10 things you need to know
- Rick Rule has started scaling into Russian stocks, on March 1. He has also started buying uranium, and oil stocks (non-Russian). He said that in this interview.
- Silver doesn’t care about you, me or supply-demand fundamentals. It cares about the inflation-adjusted purchasing power of the USD.
- Silver is about to enter a 7-year bull market, according to Patrick Karim.
- Rising prices in an economically-inefficient world (aka: the one we live in right now) could lead to short-term stagflation, but long-term deflation as they destroy the banks’ willingness to lend money, and thus the credit impulse slows down, which is deflationary for the global economy.
- Although we are witnessing rising prices in energy, food and other sectors of the economy, the global scenario points towards deflation. This is mainly because the credit impulse is likely to slow down, says Menachem Sahler.
- Every energy commodity is up double, triple or even quadruple digits YoY. TTF gas, for example, is up +1200% YoY. Coal is up +350% YoY. Gasoline is up +70% YoY. See all commodity prices here.
- Europe, especially Eastern Europe, is heavily dependent on Russian gas. Germany imports 50% of its gas from Russia. Italy imports 40%. Only Spain & Portugal don’t import any gas from Russia.
- Europe can survive without Russian gas for another winter, but after that we’ll have to get creative, or magical.
- The 3 main geo surveys are:
– geological surveys: cheap, quick, very effective
– geophysical surveys: less cheap, less quick, more effective
– geochemical surveys: not cheap, not quick, very effective
- For more geological education visit:
– Ore Deposits Hub
– Australian Institute of Geoscientists
00:00 Rick Rule buying Russian stocks
05:53 What moves the silver price?
08:45 Why is silver about to enter a 7-year bull market?
14:00 Deflation across the board
18:30 Food & gas prices are on the rise, but that’s not enough to call inflation
22:30 When does deflation end?
24:35 How long can Europe survive without Russian gas?
27:30 How do companies find ore deposits?
36:00 What to look for in companies surveys?
Please read this, and the full disclaimer over here, it really is important and for your own good:
This article should not be considered investment advice of any sort. No trading recommendations are being made in this article. Be diligent and do your own research before risking your capital. The investment decisions of the author are based on their own investor profile. This includes, but is not limited to, their risk profile, their cash balance and their debts. The author likely has a higher risk appetite than yourself. That’s why you may never assume anything on this website to be personally tailored to your situation. Resource Talks, nor the Author of this article are a registered advisory service and we do not give investment advice. Our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity or any other financial instrument at any time.