Transcription
Hello everyone. This is Peter Grandwich on Wednesday, March 25th, just as we approach 7 a.m. here on the East Coast. As always, I remind you this is not to be considered investment advice. You should always speak to a licensed financial advisor before making any investment decision and to read my disclosures.
Well, you have to do an almost hourly update if you keep up with everything on the swings and all. So, we're going to just try to run down fairly fast here, knowing by the time this could come out, it could be totally different.
Uh, couple things, uh, first of housekeeping, so to speak. Next Wednesday, April 1st, which is kind of also known as April Fool's Day, and I've used to call it for several years, also Junior Resource Shareholder Day. Uh, although we had a couple good years recently, uh, will be the last day that I'm in the office until the following Tuesday, uh, which will be April 7th. Uh, April 2nd, Thursday is my 70th birthday. It's also Holy Thursday. And of course, we begin Holy Week this Sunday with Palm Sunday. Uh, Monday and Tuesday, uh, will be quite active still. And then I, uh, as always, try to, and I'm blessed that Daniel Kamboni, uh, will do an interview. We always try to target around just before Christmas and Easter. And the last part is always about the faith, which is most blessing from Danielle willing to do that in a drivenly clearly secular world that she works in. And then, uh, Thursday also, I have to get getting some laser treatment, one tomorrow and then the other eye on, uh, Holy Thursday. And of course, uh, the the day that, as sad as it is, and it is sad, uh, none of us would be alive if it wasn't for the act of Jesus going to the cross and then of course the great celebration of Easter. And, uh, with Easter Monday, uh, slow in Europe because of the holiday, in Canada effectively come back in on that Tuesday. I think that takes care of the housekeeping. Yes.
So let's run through as quickly as possible, or as quickly as possible as Peter Randage is able to, uh, where we're at. So, and I will clients put out a quarterly report. Probably not going to put it out until after we return from the Easter holiday, Easter break. Uh, but basically, we all know by now that I took an extreme defensive position for whatever reason. Somebody wrote to me, "Ah, you just got lucky. How you didn't know there was going to be a war." No, I'd rather win the race picking the wrong horse than picking the right horse that lost. So anyway, the bottom line is having that huge, uh, liquid position, uh, proved worthy, and I put some of it back to work, uh, into mining shares, and, uh, I'll talk about that in a moment, but still have a very large, uh, liquid position.
I do think that, uh, as I posted this morning on my ex page, uh, it's painfully obviously to some that Trump has tied himself completely to the performance of the stock market. I think some people who seem to know what he's about to do, some have greatly profited from it. Uh, we'll leave that for the pundits and all to spend a whole bunch of time on that. But the bottom line is I put out a very important statistic, and, and if you're just seeing this on YouTube and don't visit the blog, take the time to read it. But what it basically says, and it was put out by the Federal Reserve, that the top 1% wealthiest Americans, which are considered at ownership according to the Fed of owner of at least $11,100,000 net worth. That's the top 1% at that level and higher. They own 99% of all stocks equity. 99%. That's the Federal Reserve. I gotta go by what they say. So, I'm going to figure that Trump and his friends all fit in that group and all. And of course, that's where the real power and money comes from. And, uh, so, I, I think there's a catering to that. And, and keep that in mind. It doesn't talk about the foreign ownership, and I give that detail, but they, I think the number was, and I could be wrong, even when you include foreign ownership, uh, it's still half owned by that top elite, so they have a real big influence. And I've always said this to people, uh, when I use this quote that I, you've all heard me say over and over, that the top 10% wealthiest Americans, so the top 10, not one, the top 10, own 86% of all the assets in America. The remaining 14% is owned by the next 40% wealthiest. And the bottom half of Americans don't have anything, and they're not going to profit from what the stock market doesn't know. They're struggling to figure out how they're going to pay their next rent or eat bill or something. And, uh, I, I, I just bring this out to people because also Wall Street, the elite of Wall Street cater to mostly just that top 10%. Some of us, which I think most of us fall into that remaining, uh, 40%, we get some people, and we get, you know, maybe some above average people where we don't get the elitism and all the advantages of the elitism. And, uh, so that's a very important thing to just to keep in mind. I know people don't talk about it, but it's something, uh, to know about.
So anyway, the markets go anywhere you'll see. And let me get right to it because I, in the last two days, Monday and Tuesday, I re-entered, uh, the mining chair market. Now, remember the top of the parabolic rise, I talked about a $4,400 decline. Well, we hit 4,100 in this. So, it even went below the target that I thought was most likely to the downside. But the important thing was got out at those highs and sold these stocks and were able to buy the stocks that I purchased back. I purchased for at least 25% below where I paid for, and some 50%. So, some people write, you know, in the keyboard warrior world, "Oh, you have to pay taxes." I wish that every trade, every investment I ever make for the rest of my natural life that I have to pay taxes. You know why? That means I made money. And in the junior world, that's not possible. You will have losses. Anyway, so, uh, I kind of explained it. You can go through, but I, as I just posted before I recorded this, I don't know if I caught the bottom. Therefore, I'm not going to, I still have more to buy, but I'm not going to chase it. If this is all I got, and we can just go straight back up, I got about half of what I wanted to buy. I, I'll live on that half a loaf theory. Uh, so, I'm not going to pay up above what I paid yesterday when I doubled my position that I had taken on Monday. Uh, but there's a reasonable, uh, expectation now that at least the 4100, uh, and the mid-60s wherever silver was, and the 520 something on copper, those will mark the bottom of this hard correction slash mini bear market, whatever you want to put a title to it in all. I don't think we're going straight back up either because one of the things which was good and bad, and that's one of the reasons I got out of the parabolic, we had a lot of hot momentum money I thought was chasing that, and every two minutes somebody was protecting 10,000 on gold and all. And those people, they disappear. They, they kind of forget what they say. I see what they do on the internet, but my job is not to judge them. I'm going to be judged myself. So, but I think a lot of that will, will not participate going, uh, in the next leg up, which is good. And I think what will also is, is that people will recognize the strength that we saw during this decline, that the physical market not only didn't cave, but people bought the weakness. One of the things I've heard, there's two or three good bullion dealers that I know that I trust. That's a very shaky industry, and, and one of them, in fact, Elijah Johns will be interviewing me again this afternoon with Liberty and Finance. I've heard from him as well that this drawdown saw people looking to physically buy again, and new people. So I think, I think it was net net, as hard as it was to go through it and all, I think it was a good thing and all.
The way I did it is, and instead of trying to figure out which major mining stocks to own and have a broad representation, I bought the, I bought the GDX and the GDXJ. Uh, a substantial position in both of them, and, and I would have spread that out if I picked the best six or eight or whatever. I tell you the truth, I don't have the time or the mind for that anymore and all. Uh, this turning 70 is not the new 60. Whatever that is, it's 70. Anyway, I then went back in, uh, the two of my favorites. Now, of course, you know, I have this huge, very huge position in North Copper and Gold. News is due out. Cannot ask for a better situation than that. And I'm not going to go over it and go over it and go over it. I've said enough about it. There's enough out there. But two comparable plays, at least for their projects, and most important, the people that are heading it, the CEOs, the CEOs of Rison and the CEOs of Group 11 are as good as they come. There's just as good, uh, as you know, that what's that guy's name again? Sam Bruce Lee. Yeah. Uh, Bot and Matt are just extremely trustworthy. Uh, I can tell you they are absolutely, I don't think you'd have a problem telling this because you know I do have a very personal relationship with Michael Gentile outside of business, and I think they're among his favorites as well. Uh, and I suspect both of them, if and when their projects are taken out, which one of the main reasons I wanted to go back in because I think they're now truly takeover targets, I think Michael Gentilely will find them to run some other CEO of projects that he's invested in. I think he has that much confidence in them. So I, I built up, not quite to the level of that I once had, but well past half of what I had, and if we retreat again and they come back, I'll fill that up to be. But it was a very profitable trade, and I didn't do it for a trade because, you know, we had that parabolic rise in the metals and all that, and could it be sustained, yada yada yada yada yada. Okay, so that, so that's where we're at. Any others that I had, especially as blog sponsors, doesn't mean I don't like them. I just wanted to narrow my focus on that because I'm still keeping a very liquid position overall in my worth. I think, uh, the stock market has all sorts of issues going forward, no matter how the Middle East resolved. What this did is it took it, took the cover, you know, under the carpet. People looked, it took the band-aid off of this thing, and I think we have all sorts of problems on several fronts from the employment picture.
I gave an interview with, uh, Steve Highland, which by the way, if you're in the Toronto area, would like to go to the Toronto area. Steve is going to put something out. I told him yesterday, he's a gentleman I've never met, but I've spoken to for years, and we have such great conversations before, during, and after our interviews, and he's very sports-minded, and he's very like me, or at least I think we think the same way. So, I told him, the Yankees coming up to Toronto, I think it's in June and in August, if he wants to put together a one-day conference, and you know, I don't speak anymore, I will come up and I will do that conference. And of course, it will include having to go to one of the Yankee, uh, Toronto games. And, uh, I did an interview with him yesterday. I gotta remember why I was telling you that. I was telling you for a reason. Anyway, the interview, uh, went very, very well. Oh, I know what I told him before. I said, "I believe this AI/employment situation will be worse than whatever the Middle East is." I mean, it is just unbelievable of how people do not realize yet between AI and robotics. I don't know what we're going to do if you're around 5, 10 years from now, what we're going to do for a living. Unless you're an electrician or something, but they just showed the Chinese, and I put it up on the X page. They have robots now that are going up on power lines and installing the power lines and all. I don't know. I, I, I, we'll talk more of that in the coming weeks. I want to get more involved in that and do find people that are really legit commentators, not tied to Wall Street and all. I think that's going to be a far bigger problem.
And the other bigger problem, and I'm seeing on 14 minutes already, we get a Grandage ramble again. The political picture, a Democrat just won a seat in Marlo in Florida, Trump's home base. I'm telling you, if, if the Democrats win at least the House, if you think it was bad before, wait till you what it be like. I, I just, I don't think people understand the political divisiveness of how bad it is in this country now. While at the same time, number four biggest concern of mine, heading maybe one day knock out number one, debt, and that's the Islamic revolution and take over western civilization. It's happening. And I speak as a Christian. I mean, this, there is no evidence that they will have, if, if they are in control of society, there is nothing that shows that they will accept my separate belief when we have accepted their separate belief. And it's not going to be, in my opinion, and I think of others. Okay, you guys look live over there, and we live over here. No, you do it our way or bye-bye Pete. So, I know I get hate mail every time something comes out, and I'm sure I'm being put on a list by now of oops or whatever, but I think it's going to have such an impact on economic, social, and political. You have to speak about it anyway.
So, do we cover everything with stocks? We know how I feel about the bonds. I kept saying, and, and thankfully some clients recognize that I have kept clients, those that wanted to listen. In fact, my most favorite one who did sell all his bonds when it was down at 1% at the end of 2021 when I said to get out and own gold instead. Bonds were going to have now the fourth year of losses right now. And I said that you're not going to see the 10-year be able to stay under 4% for a whole lot of reasons, and they're playing out in front of us. So there again, I stay one-year T-bills or one-year CDs or US money market funds. I will not own bonds. Now, you're a client. We have an excellent fixed income man who does believe that there are some corporates worth owning. You listen to both, find where you fall better, you know, on one side or somewhere's in the middle. But for me, I will not personally own any corporate bonds. And as I pointed out, and another thing that I spoke about, do you remember last August when Trump made the announcement he's calling for the public to be able to invest in private equity and credit? Do you remember what Pete Granid said? That was the sell signal. Get out then if you were in it. The only reason they would want you in is they have troubles. They're knocking it out of the park. They don't need the public in there. And sure enough, we're seeing all of that now and everything. Keep this in mind. They say it's about a 1.7 trillion market. Okay. There's about 4 trillion in corporate bonds that are rated triple B. That's one peg above junk. If things are getting bad, it's also going to impact the economy and weakness. And remember, most of those bonds, most of them, I would tell you at least 51% of them, it's probably a lot more, are owned in some sort of management bond funds or what have you. And they can't own junk. So, if they get downgraded, they'll have to sell them. That would just add to the selling pressure. So, again, I don't like the bond market at all. As much as I don't like the stock market, I don't like the bond market.
Covered the gold. Like I said, I think, I think they broke and made their bottoms. We'll know in the coming days. One of the ways we're going to know, by the way, because if you know, gold is kind of still trading at the, the stock market rebounds. If gold can go up, even if the market went back down and there's more drums going, that'll be a sign. And also the shares, uh, which started to show on Monday why I stepped up, they weren't going down anymore, especially the juniors that I bought. And that's why I stepped up and aggressively yesterday I saw it again. They were not down even though the medals were off. And so, uh, that's why I stepped up. I cover everything. I think I covered everything. If I miss it, I'll, I'll type it up on the ex page. All right.
It's, uh, it's an interesting time. I do want to say one thing. Uh, I got so many emails, 99.9% positive. Uh, I recognize now I'm not going back and starting a separate letter and the medals and all. I do realize that, so I didn't realize how many people have profited these last several years all around the world, and, uh, they made it known how appreciative they would be. So I will try to speak more about it. Uh, I don't want to be so much that then when they go down, I hate you Grand. But I'll try to do my best. All right.
Please have a most blessed Wednesday. When I say that, I really mean that. Don't get too caught up in all this stuff. I know it's hard for some to believe. I know some don't believe as I believe, but I still think he's in charge and he's allowing in all of this because it says in Romans, all things, not some or many of them, all things will work out for the best of us. We have trust and faith in Jesus Christ. And that's what I try to do, even though I fall short every day. God bless.