Palisades Gold Radio: Fed’s New Faces Present an even more Favorable Situation for Gold


Palisades Gold Radio
Nov 26, 2021

Tom welcomes back Adrian day to the show. Adrian discusses the market’s reaction to the Fed’s policy changes. He says, “The Fed’s bark is worse than it’s bite.” When the Fed starts talking about tightening in any way it spooks the gold market. However, when the Fed starts to taper the market typically recognizes this effort as too little too late. Tapering means they only want to reduce the amount of buying. In nine months they will likely have a larger balance sheet.

Adrian critiques the recent gold price action and how it was primed for a fall. The Powell nomination means a continued dovish Fed and this is hardly bad for gold. We’re seeing more Fed officials come out and say perhaps we should taper faster and raise rates. The market is increasingly cautious around tightening concerns.

Adrian notes that the recent members of the Fed that stepped down were of the hawkish variety. We can expect further doves to be added to the board.

China’s monetary policy has tended to be much more directed than the west. They haven’t inflated as many bubbles they have tended to be more cautious. However, the real estate market there is in an enormous bubble. Other countries shouldn’t have much exposure to Chinese mortgage debt.

He notes that on a relative basis gold underperforms during inflationary periods but tends to be one of the best-performing assets during deflation. Gold’s function is as a hedge against monetary instability.

Adrian believes we are just moving thru a modest mid-cycle correction for gold. The mining sector is tiny and undervalued compared to other markets.

ESG policies have sparked a recession in the energy markets in Europe and shortages of natural gas. The politicians in Europe continue to exclude nuclear in their green energy plans. They’ve even put a hold on the Nord Stream gas pipeline. It seems the plan is to let people freeze this winter. The focus is all on cutting production without solving the demand issue first.

Lastly, he discusses his concerns with the uranium market and thoughts on the copper supply.


If you wish to contact the author of any reader submitted guest post, you can give us an email at and we’ll forward your request to the author.

All articles, videos, and images posted on Dinar Chronicles were submitted by readers and/or handpicked by the site itself for informational and/or entertainment purposes.

Dinar Chronicles is not a registered investment adviser, broker dealer, banker or currency dealer and as such, no information on the website should be construed as investment advice. We do not support, represent or guarantee the completeness, truthfulness, accuracy, or reliability of any content or communications posted on this site. Information posted on this site may or may not be fictitious. We do not intend to and are not providing financial, legal, tax, political or any other advice to readers of this website.

Copyright © 2021 Dinar Chronicles