Gold Surges Over $200 in a Day. Nervous Nellies Sell their Silver. War and Revaluation?

The answer here is kind of uh in

between. I I think he knows the imports

of gold, but he doesn't want to let the

public and investors realize that he's

concerned about it because being

concerned about gold means you're

concerned about uh your crappy Federal

Reserve uh note or fiat dollar or I owe

you nothing, right? Thursday, January

29th, 2026.

Manco 64, home of alternative economics

and contrarian views. Well, there's a

lot to talk about uh if you follow Gold

and Silver, and of course we do, and we

are big proponents, of course, of sound

money, uh not of this, uh fiat regime

that we're under, of course. Um yeah, so

I want to start with JP Pal today and

then I'm going to refer to uh a pocket

book of gold. I'm gonna refer as well

today to the FT uh the infamous FT

editorial from 2004 where they said it

was pointless to hold gold. Uh what else

am I going to refer to? Well, uh, I'm

going to refer to silver as well

because, uh, I think there's signals out

there that, uh, tell me that, uh, silver

is just starting and there a lot of

nervous Nellies out there. And that's a

reference to one of my posts on X

yesterday.

Um, what else we're going to talk about?

I'm sure I I am probably forgetting

something. Oh, yeah. Uh we want to talk

about uh well we're going to put this

together with what's going on in the

stock market with the US economy.

Yesterday the S&P traded up to uh 7,000

fiat dollars for the first time ever.

And I I saw that President Trump posted

uh on Truth Social that that that

happened and he said America's back. And

uh yeah, and I thought it would be

interesting to look u at uh household

wealth in the United States and uh

how this uh crackup boom that we're in

where all basically financial assets,

hard assets, gold and silver, uh where

they're all like going to the moon. uh

who that's really helping and whether

that's really helping uh the general

public. So

before I start just wanted to let you

know that uh Karen who runs the

merchandise store she designed uh this

mug going gold and that of course is uh

related to this editorial. So, if you're

looking for a nice mug to do with gold,

check out the store. There are other

mugs there as well and other products.

And uh yeah, the link uh to the

merchandise store is below in the

description.

Let's start with J Pal um

and what he said yesterday because

yesterday we had the uh decision by the

uh Federal Open Market Committee or the

FOMC whether they're going to uh cut

rates or not. They didn't cut rates. It

was as expected.

Uh and uh a half an hour later after

their announcement,

JP Pal held his usual press conference

and uh someone must have asked him

because I I didn't listen to this press

conference. Sometimes I do, but didn't

feel like I needed to. But someone asked

him about gold, what gold was doing. And

uh at the time, I think uh gold was

around 5200. Uh it wasn't really doing

much. Um it was coming off a bit. Silver

as well was uh unchanged on the day and

uh this is what pal uh said about gold

didn't say anything about silver of

course he said don't take much message

from rise and price for gold.

So uh is uh JP pal really that ignorant

about the importance of gold seeing that

his major counterparts everywhere around

the world are uh buying uh gold hand

over fist for the last four or five

years. Well I think uh the answer here

is kind of uh in between. I I think he

knows the importance of gold, but he

doesn't want to let the public and

investors realize that he's concerned

about it because being concerned about

gold means you're concerned about uh

your crappy Federal Reserve uh note or

fiat dollar or I owe you nothing, right?

Because that's what the dollar is. It's

a debt obligation uh that you have to

keep rolling over because it doesn't pay

uh the creditor. Um

I I think he he might have triggered

uh the move higher in gold that we've

seen since then. I mean, gold uh flew

after that. It it closed over $200

yesterday, and I've never seen anything

like that. And the other thing uh I

wanted to say today is that this

rise in gold late yesterday of over $200

has been followed by another rise

overnight of another $130.

And I asked the question on X or

Twitter. Uh what's going on here? I I've

been following gold uh almost every day,

every second uh when it's trading since

2002 and I've never seen this kind of

move. So, is it because of PAL? Is it

because someone knows something we

don't? And what could that uh something

be? Well, I I I think it could either be

uh an imminent gold revaluation of the

statutory price by the by the US

Treasury or it could be war. There's a

lot of talk uh saber rattling visa v

Iran. The United States is sending uh

its fleet to the Middle East. So, either

one's possible or both are possible. And

that's why um I think we've seen this

move. Uh if we're going to hear

something, it could be today when the US

comes in. Of course, it's still early

doors. Uh it's 7:30 a.m. London time.

So, that's PAL out of the way. Now, uh

let's go to going Going Gold.

And uh I've gone over this many times.

Um, I'll try to find a a video where I

talked about it and I'll put it up here.

But needless to say, the the story is

that I was going to work uh I was at the

train station back in 2004. I worked in

the city of London. I bought my FT

waiting for the train. I used to like

going to the editorial page and I saw

this going going the pointlessness of

holding bullying continues to sink in.

And uh I'd been buying gold for almost

two years by then. Uh I started uh when

gold was around 320. And that that that

time of the editorial I wrote it down

here because I I cut the editorial and

had it laminated. Gold is at $400.65.

Yes. $400. That was April 16th. And the

FT says the pointlessness of holding

bullion continues to sink in. Uh, and

I'm going to skip to the uh, last part

here. And DFT says, uh, given the

pointlessness of holding gold, the speed

of its official sell-off scarcely

matters unless leeching the gold into

the market bit by bit somehow maximizes

the return to the public purse. By

limited limiting the impact on the

price, that would imply some

irrationality on the part of the market.

But then holding gold is irrational in

the first place. Perhaps the central

banks are ready to to go slowly.

Whatever the speed, the direction is

clear. Gold is on its way out as an

investment and a reserve asset. Three

cheers for that. I I guess they couldn't

have been more wrong. So, what I'm

trying to tell you here is yes, I I've

been hearing from people who haven't

followed gold, who are supposed

specialists telling people, "Sell your

gold, get out of your gold, sell your

silver, don't get married to your

position." Well, Warren Buffett got

married to CocaCola and all the the blue

chip companies that he thought were

good, right? And uh he Yeah. He barely

ever sells anything. So, um, what I'm

trying to say here,

think of the alternative. That's the the

thing I always think about. Do you

really want to uh get rid of your gold

and silver and put that uh amount of uh

cash that you would have or fiat reserve

uh

deposits? Would you want to leave that

with the bank seeing that the banks are

still in deep trouble? I I I mean uh the

FDIC is report its last report shows

that uh the

unrealized losses are still

uh massive for for the US banks. the the

losses held to maturity are massive and

pretty unprecedented in the last four

years what kind of losses they're

sitting on

and uh yeah you need to be mentally

tough you need to ignore the mainstream

uh financial press you need to ignore

the nervous nellies as I noted yesterday

about silver and this was just before

silver and gold took off. Uh I saw a

video by a guy I've interviewed here who

said, "I got I got out of my silver."

And he didn't even have silver. He had a

ETF. And he he said, "Don't get get

married to your position." And I think

he's wrong. I have to give him credit.

He said, "If you want to keep your

silver and gold, do it. But I'm getting

out," he said. So I posted I said I

detect a great deal of nervous Nellies

in the silver stacking community who are

already selling their coins and bars. To

me that is a sign we still have a long

ways to go in terms of price and time.

And I do think uh we have a long way to

go and the reason uh is this here uh the

first reason is this chart of gold. Yes,

gold, not silver,

because gold has been uh taking off

before silver. We started taking off

back in March of 2024.

Uh we broke through uh this cup and

handle here that we had. And back uh in

the beginning of the century, there was

another cup and handle. And this was the

first time I I learned about cup and

handles. And guess who uh pointed it out

to the community? Well, it was Jim

Sinclair on his blog jsmindset.com.

And we were following this uh cup and

handle. And look what happened after it

broke the top of the cup. Well, gold

went from around 400 430 all the way to

1900. Uh that was in a matter of let's

say

Five, six years. Yes, it sounds like a

long time, but u I think you need to uh

think more long term, not in terms of

days or or weeks or quarters, in terms

of years. If you want to really

uh preserve your wealth or even make

quite a bit of wealth, I I would say

yes, gold and silver represent wealth,

but in a fiat currency environment that

we're in,

uh

I think it's a a good way to accumulate

wealth as well because everything else

is going uh the other way. So,

and more recently, back in 2024, we

broke through this other trend line that

takes the high from 1980 and 2011.

And it's been a one-way street

basically. Yes, of course, there are

daily uh oscillations, weekly and even

monthly oscillations, but uh on the

whole uh this thing still has legs. Just

look at what happened in the 70s uh and

even what happened from 2001 to 2011. I

I think we're just starting. And that's

where I skip over to silver because

silver, unlike gold,

has just been unleashed. We are in 2024

in terms of silver, right? We're just

breaking out. and uh the the cup and

handle of course has been huge and it's

uh yeah all the way back to 1980.

So that's why I keep saying hold on to

your silver as well. Don't listen to

people who haven't followed silver and

are now just telling you to to get rid

of it. Take profit. And I can understand

I've been hearing that a lot of

long-term stackers are calling their

their their coin dealers or precious

metals dealers and selling because

they've uh maybe been around since the

70s and they they've seen what happened

in 1980 and 2011 and they want to make

sure they don't get uh yeah left holding

the bag so to speak that silver will go

back down um and uh go below 50 and go

to 20 again and they won't have taken

any profit. Um they could be right. I'm

not saying I'm always right and and I

can't you know no one is always right

but from what I feel from what I've

studied and from what the system uh the

the juncture that we're in not just

monetary monetarily fiscally

geopolitically

uh yeah I think we're just beginning and

u so I think the chart of gold is a good

a good uh weight a good uh indicator for

what's going to happen to silver. And

that's not even talking about the silver

miners or even the gold miners. They're

still underperforming, bullioning quite

a bit. Uh now I wanted to uh turn to uh

the S&P 7000 comment by Donald Trump. He

said, "America's back."

And yes,

it's a bit frustrating, but I can kind

of understand what President Trump is

trying to do. And Bessant, they're

trying to resuscitate a a a client uh

sorry, a a patient that is in uh

critical condition. That patient, of

course, is the US economy. Um it's been

uh yeah, it's been given the wrong diet

since 1971.

And uh yeah, I can see them clutching at

things to try to uh cheer people up. But

unfortunately

uh if you look at the uh the Dow, and

I'm going to take the Dow here instead

of the S&P, but you can take the S&P as

well. But the Dow is crashing in terms

of gold. And you might think, well, does

that matter? Well, it does because gold

is old money. back until 1933, the Dow

and everything else is measured in terms

of gold. So when you see the Dow gold

ratio doing what it's doing now, that's

concerning. That's not a sign of an

economy that's doing well. And uh yes,

it's doing well for the top 1% or even

the top 10% if you want to add that. And

I posted that yesterday uh on X and I

said uh keep the top 10% happy. They own

69.1%

of household wealth actually uh with

Goose Up Financial Markets and give the

bottom 50%. Well, they only own 2 and

a.5% of household wealth. Yeah. give him

a $2,000 check or more uh to alleviate

the affordability crisis or currency

debasement.

And cross your fingers it will result in

victory in November. So they they could

give them even more than 2,000 and and

here's where we come to revaluation,

right?

uh

if they revalue the the treasury's gold

from $42.22

to let's say $5,000 which is right now

below the market uh they would have a a

windfall north of a trillion dollar and

and with those trillion dollars they

could uh give these people a check. They

would feel a lot better. Um, and uh,

what that would do as well, that would

goose up even more the the stock market

uh, financial assets because they could

take some of that windfall as well and

use it uh, to retire treasury debt that

the Fed holds, especially longer end

treasury uh, e uh, treasury securities

which u, the yields are still very

sticky and very high. So they would kill

two birds with uh one stone there with

the revaluation

and it's something the Federal Reserve

has spoken about as recently as August.

Barry Weiss wrote a paper for the uh the

board of board of governors of the

Federal Reserve and I'll put a link

below in the description. You can have a

look about gold revaluation.

uh what that would do uh gold

revaluation even if they put gold at

5,000

despite the fact we're at 5,500

uh it would create a a floor for the

gold market. Gold would never go back

below 5,000. You would see gold explode

higher, even higher than where we're

now. And that's why I said yesterday

something's going on here. It's either

an imminent revaluation or imminent war

or both. So yeah, I I know I'm going

through a lot here today, but there's so

much to go over and I'm going to end

with a pocketbook of gold.

Um, highly recommend the book. I've had

the co-author Peter Carlin on regularly

now. He contacted me last year because

he follows the channel and he knows I've

uh always recommended the book and the

book of course was a limited edition

back in 2010.

It's very expensive if you want to find

one. Well, he he's uh published a a PDF

that you can buy for $25. Highly

recommend it. Very good value. I'll put

a link below in the description. So, it

says here, "Pocket Book of Gold, a

survive survival manual for monetary

mayhem by uh James Sinclair and Peter

Carlin."

And uh

I'll

I think you will find that when you read

this book, you'll be a lot more immune

to the uh scops from people like the FT

and I I knew I'd forgotten something.

Well, there's an article yesterday from

the FT from uh someone called Katie

Martin

uh about the precious metals. She says,

"The precious metals feeding frenzy.

Gold and silver are on a tear, but buyer

beware, right?"

Uh, and she said something here that's

total rubbish in my opinion here at the

end. She said, "An outbreak of common

sense." Uh, so let's safely assume that

that's not going to happen anytime soon.

Well, that's uh common sense in terms of

monetary and fiscal policy, right? Uh

but then she says a more probable test

would come from a drop in stocks for any

reason that prompted marginal gold and

silver buyers to close out debt funded

debt bets.

I'm not see stackers and people who are

into gold and silver, they don't fund uh

their purchases of gold and silver with

debt because they're trying to get out

of that. Yeah, maybe some do, but uh

yeah. So, beware of the FT, Wall Street

Journal, CNBC,

all the usual suspects. And uh this will

help you, this book, um navigate

uh this psych psychological war for your

real money. Uh there's the old saying,

who who has the gold makes the rules.

You want to make your own rules as an

individual. You don't want to be

beholden to the state.

Right. And I think gold, having gold and

silver is a big part of that.

So

there's a really good page or passage

here. Uh it's on page 70 in the book.

Let me see what chapter it is. So if you

buy the uh PDF, you can go there and

have a read as well. Um, page 70. Oh,

yeah. It's chapter 2 and it's the at the

end of chapter 2, gold is a revealer of

falsely stated wealth. And I think

that's what's happening. Um, it's a

reset, right? It's a monetary reset.

It's not Claus Schwab's

um fourth industrial revolution reset.

With that, I'm going to wish you all a

very good day. Take care. Bye.