Transcription
There's going to be a breaking news story, and they will announce that now we're going into a new currency.
When is the reset going to happen? Followed by what is a reset? And I was thinking maybe we start today by just defining what a reset is. When people ask that question, what are they actually referring to?
People wake up, they turn on their news, it's there, it happened. Can you walk me through maybe what that day looks like? Like, you know, I I get the announcement, I think our audience understands that that fear because it's a scary scary thought that that could be the reality one day. That's what we're heading towards. What actually would happen to the currency?
As an analyst, I probably get asked that multiple times throughout the week. That is a key question, right? Because everyone wants to know when is the reset going to happen? I think what they're really asking, Taylor, is when is it going to be official?
When is it going to be apparent? Like, that's when the reset happens. When a government comes out and says, "Okay, there's going to be a breaking news story." The president, whoever that is at the time, Secretary of Treasury, more than likely the the Federal Reserve or the central bank spokesman, will be on TV together, and they will announce that now we're going into a new currency. They might say something like, "We're going to revalue. We're going to start over. Um We're going to restructure." There's going to be all these different words, but it's going to be a reset. And so, I think when people ask, "When is the reset going to happen?" It's happening now. And there's symptoms to it that we can talk about.
But when someone says, "When is the reset going to happen?" I think what they're asking is when is it going to be apparent to me, and when is that official statement going to come out?
Yeah, that makes sense. That totally makes sense because I think a lot of people understand, they can feel what's going on. And not even just feel, right? They look at their bank account, the value of the dollar. We'll talk about purchasing power and more things today, too, I'm sure. But, um you mentioned symptoms leading up to that kind of official reset. Um I obviously talk about a lot of different things that I'm seeing, but I'm curious from your expertise, when you talk about symptoms, what are those?
So, the symptoms that I saw happening in in in Mexico, and I've also studied other resets, right? Mexico isn't the only country you've had you know, Venezuela, you've had Cuba, you've had North Korea, you've had Russia, you've had Zimbabwe, all these other countries. And it's interesting that when you look into it, the symptoms before are very similar. So, there's a couple There's a couple things that um are consistent throughout symptoms. So, number one is unsustainable debt. Okay? When a country when a country can't service its debt, then it has to do something, right? Um the other thing is what's called trade imbalances. Trade imbalances is when a country is importing and exporting, but there's a trade imbalance, where you want to be on the positive side of it, not the negative. So, if you're on the negative side, that's a problem. Then you have a thing called imposed tariffs. We just had that. And why why would a country need to tariff? Because one thing coming from the background in my old business, when tariffs are paid, they're paid straight to Treasury. It doesn't go to the people, it doesn't go to fund government projects. Uh tariff is just another way for a government to get a direct payment to the treasury. And the reason tariffs come about is a lack of money. Okay? Um the other thing is higher inflation. So, a a common symptom of a currency is inflation starts not only being consistent, but it also starts ramping up. And I think there was a report earlier um that you mentioned. I think that inflation went 3 to 6% something like that.
And right. And And the Fed the Federal Reserve target is what? 1.2?
Well, two, but it's a it's a goal post that keeps changing, right? But by it going up to 3 to 6% what whoever you want to believe cuz the the CPI index, the consumer price index, what a lot of people don't understand is it excludes food and energy. I have to eat every day. And I use use energy every day, right? But the government said, "Oh, no, that we're not going to equate that." So, those are common symptoms. Um so, then when you start looking at it, do any of those sound familiar?
Right? And when I first started back in 2009, um and a lot of the analysts we we talk every day, you know, we get to talk to you, but one thing we talk about is back then, it was hard to find something bad. Like in 2009, 10, 11, whatever, we really had to research and like dig in. And then all of a sudden, we started hearing bad news like once a month. Then it started becoming once every other week. Then it started becoming every week. And what is it now? Every day.
It's not even every day. I would say it's every hour almost.
Right. So, any anybody that is following any news source, whether it's mainstream news, local news, you know, YouTube, whatever, There's always Now there's all this out there that people are talking about. This is not going to end well.
Can I ask you, cuz that's interesting when you lay it out like that, do you think that the reason that it's so much more prevalent now or in our face is because we're moving closer? Is that why you think that that's happening?
You know, as far as kind of these these news stories that are coming out and things the cracks that we're seeing, I guess, form everywhere.
Well, one of the one of the big cracks is the purchasing power chart that you talk about and I think you're going to show it also.
I have this and then we'll make sure we put it up on the screen so that we can see it as well while we talk about it.
The original dollar that was created in 1913 through the Federal Reserve Act, um you can see where it's down, it's worth then I think it's less than 3 cents now. So, 97% of the purchasing power of the original dollar has been inflated away. So, when a country gets to this point, when a country gets to a point where there's so little left of purchasing power, most countries and central banks have two options.
Okay. They can either default on their credit debt obligations or they can reset, restructure. Okay? Now, I don't believe America will default. I could be wrong. But if we default
for our audience, too, define default.
Default is when, just like us as individuals, if you have a house loan and you're late on your house loan and you're not making the payment, what happens? They're going to come take it. So, it's you're defaulting. You're not You're not You're not honoring your obligation.
So, governments, when they get to this point a default would be they would basically tell not only the country but they would tell the rest of the world I'm not paying you what I owe you. The reason I don't believe a default would happen is that would create a civil war here. And it would probably prompt countries like China, Russia, whoever invading our country to get their money. Now I could be wrong but more than likely Mexico didn't default they just reset. Venezuela as messed up as they are they're not defaulting they're resetting right? Zimbabwe Europe when they went to the Euro as I mentioned that was a reset. However you want to call it but whatever country you were in they said this is the new currency the Euro and you have to exchange X amount of your money old to the new one. Right? So I don't think a default is likely but those are the two main options and this is why we keep hearing the word reset and when the purchasing power when we get to that point um country has to do something it has no other option. You had a video that 30% of all the money supply ever created in our country was done in 5 years.
Yeah. Yeah. So what what is starting to happen underneath is the government is getting very nervous and they're just they have to create money because they have to keep the lights on.
Like in your like here right? So if you can't pay that then you have to restructure just like an individual you know like a bankruptcy. Right? Where bankruptcies are done so that people can restructure their debt and they can pay off creditors right? So I think that's what's going to happen here. The reset is basically going to be I guess another form of bankruptcy.
When we're defining the reset, people wake up. They turn on their news. It's there. It happened, right? Um can you walk me through maybe what that day looks like? Like, you know, I get the announcement. I think our audience understands that that fear because it's a scary scary thought that that could be the reality one day. That's what we're heading towards. What actually would happen to the currency?
Okay. So, I'll I'll use Mexico as an example.
So, in Mexico, it was a thousand to one reset.
And they basically lopped off three zeros. Now, the pitch from the government to the Mexican people was this is going to be uh an accounting favor. Because it's easier to show, you know, instead of having to put a thousand pesos for everything, let's just do one. That was their excuse. But, anybody that lived in Mexico during that time or anybody that's watching us, if you have family that went through it, how did it work for them? How did that end up working? It didn't.
Right? So, the way it would happen is so, let's say we wake up tomorrow. And there's an announcement. And let's just say on the low end just to be conservative. Um cuz I've researched and I think it's going to be higher than this, but we'll just go with Let's just say it's going to be a ten to one reset. Okay? So, you go to your bank account. Let's say you've got a thousand dollars. And they And then, you know, you you see the announcement, you know, like, oh, wow. I better check my balance. Ten to one means that a thousand dollars is now a hundred dollars.
Now, $100,000, 10 to 1 means you've got 10,000. A million dollars in your account, 10 to 1 means now it shows 100,000.
And they're going to tell you that it's worth the same amount, right? They're going to sell it to you like like you said, this is just to make it easier on everyone cuz this typically happens when there's inflation or hyperinflation, right?
Correct. Yeah, they're going to sell it on, you know, you're still going to be able to buy, again, using Mexico as an example. So, if a cup of coffee in Mexico cost 1,000 pesos, now it was supposed to be one. Well, what ended up happening in just a few weeks, that cup coffee was not one, it was two, it was three, it was four pesos. But see, here's the mental side of it. If if that cup of coffee is 1,000 pesos and it goes to 2,000 and 4,000, you're like, "God, it just went up two, three grand." But if it's one, it only went up two pesos, whatever, it only went up to three or four. So, they do that on purpose so that people get confused. But that's how they can bring in even more the inflation will continue.
So, yes, technically, if if a cup of coffee at Starbucks whatever costs five bucks, and they do 10 to 1, that means you should be able to buy that for 50 cents. Right? Initially, maybe that day of the reset, they will do it, but more than likely in a short period of time, probably a few weeks or a month, that cup of coffee now will be 75 cents. Now it'll be a dollar. A dollar 25. And then people will think, well, six months ago I was paying five and now it's only a dollar twenty-five. Well, again, it's three times more.
So, that's how that will look like. You're You're just going to have less amount of money. And here's the worst part of it is what is going to be the purchasing power of that money. So, even if you had you know, a hundred thousand dollars and now you have ten thousand, is that still going to buy you what a hundred thousand did? No.
The problem was never solved. Right.
It was just an accounting thing that they did. Illusion. Yeah, it was It was an excuse.
Um because when it Again, going back to symptoms, governments aren't going to reset or restructure if they can service the debt. Right? But this is a common symptom and this has been going on for thousands of years.
Now, for people out there who are watching and wanting to prepare and position, I know we had talked about maybe showing a visual of what it would look like if you had, let's say, a million dollars before the reset in cash. All right. So, we have here a million dollars cash.
Okay? So, this is your million before the reset. Yep, in the bank or in the stock market, whatever.
Right. And that's a good call out, too, because I always say to people dollar denominated, right? People think, oh, it's just the my savings account, right? Or it's just No, it's anything that's dollar denominated, like you called that out earlier with the ETFs, but you have your million here. And let's say that the government decides to do a reset. 10 to 1.
And you left it in fiat dollars. dollars.
However, that Okay. So, 10 to 1. So, this is your million. Right? This is where we're going to end up. That's what you're left with.
That's it? That's what you're going to wake up to.
Now, what if you had taken that million, based on the patterns, the charts we looked at earlier, and put it into gold?
So, let's just call it low. Let's go 6 to 1. Uh cuz it's gone up to 10, and there's been um situations um out there that it's gone significantly more than 10. But, let's just be safe. Let's be conservative and just say it just goes up 6 to 1.
6 to 1. Correct. So, you that million dollars that you just had, you took that and you converted it into physical gold. Prior to the reset.
Perfect. Oh, yeah. There we go. So, here we have $6 million on the other side versus what you would have been left with 100,000.
$6 million. You had a million. Went into gold. Now, you got six. Yep. You had a million in fiat. You kept it in fiat currency. They revalued 10 to 1. This is what you're left with over here.
So, let me ask you this. At the reset, right after what pile do you want to have?
I think we're all going to agree that's the one we want. Yeah.
And here's a another just thought that came to my mind. Even if it stayed at a million. This pile over here. Yeah. Even if it stayed, which it isn't. Cuz it's going to reset. But, even if it's going down in value even though Yeah. Exactly. But, even if it stayed at a million Which one would you rather have? Not only that, but you could sell a million dollars of gold and you still have five million left over.
And that's a good point, too, because sometimes I get that question. People go, "Okay, so this is the pile I want. I have my six million of gold on the other side of the reset or whatever it is, right? What do I do with it?" That's something that people ask a lot.
Um and I know cuz we you and I have talked about it. Um one thing that um I'll just tell our audience um even though you're a young woman, but I see you cuz I talk to you a lot. Um your knowledge base is way beyond your years. Like if I didn't if I didn't see you, I would think that you've been doing this for 30, 40 years. Okay? So, I know that you've talked about um one of the things that we offer here at ITM Trading, also is when that reset happens and you've got this pile of money What did you tell me you're going to research?
Oh, well, I've been researching for a while. Yeah, what you do on the other side of the research reset. What you do with your assets in terms of converting them, whether it's studying even different areas like the Great Depression or the Great Financial Crisis, right? What happens in those certain times. And in resets particularly, you want to be working with someone on the other side who understands how to convert your gold or take your million off the top, right? So that you have that liquidity, so that you have that opportunity for different assets on the other side.
And that is going to be there advising you. Whether they whether you want it you know, whether someone wants to do it or maybe they're just happy with this. But there's going to be other asset classes like you and I have talked about that are pennies on the dollar. And when you look at the wealthy families in America, what do they do? They buy an asset that the price is here. They let that asset price go here. And then when these assets drop to here, they come down and buy. So then what you're creating is you're just creating big money. That happened in Mexico the same. A lot of my business partners built generational wealth. Why? Cuz you had money to do it. If you don't have money to do it, you're lucky if you can just pay the bills. But why just pay the bills? Why not have enough that you can provide for your heirs, a legacy, maybe a church. I don't know. Maybe you want to help a local church community. I don't know. But that's the options and opportunity that's provided to you.
As Right. But if you don't have that, if this is all you have, You're just You're just trying to pay bills. And you're just trying to put some food on the table. But this is This is where I think it was important for us to talk about it because the reset is really about opportunity. And that famous light at the end of the tunnel that people talk about, I don't look at it just because I know people that went through it that did really well. And I've positioned myself personally to do the same thing. You know, I have gold. Why? So that when the reset comes, then I can convert over and I can buy whatever I If I want to buy, you know, real estate, if I want to buy stocks, bonds, whatever. You know, it could be a crypto. Who knows? I have no idea. But I have the liquidity to play with.
Cuz in that scenario, check this out. I matched you here like a poker game. But look at the pile I still have. I can play your hand how many ti- a lot, right? But you you get it. And I think the opportunity side is where I want our audience to really understand that that's really what It's not just about protecting the money, but also being in a position that you can wake up in that same scenario when you said, "Oh god, I open up my account. What happened?" You could be like, "Wow. what I have."
And that's the other part of it. Um so what I would want to tell our audience out there, if you're already a client, call your analyst. Call them and say, "Hey, I heard about this promo. I think I want to buy more gold." Okay? If you're not a client yet, you definitely need to call us. Because the analysts here, you know, we're going to put a game plan together that's going to benefit you for this. And there's, you know, companies out there and as long you know, in the 18 years I've been here, I get so many of my clients to say, "I didn't I didn't learn this from another company." I've had people tell me they learn more from me than their own stock broker. Cuz the stock broker, all they want to do is how much money more are you going to give me? So if you haven't prepared, even if you have gold, cuz the other question I get asked is how much is too much? Is there a limit?
Well, there goes back to the pile. You know, I don't think I don't think anybody can have too much gold. I really don't.
And central banks, guess what? They feel the same way as well. Right? So that's the other part. So, you know, call, make that appointment. Um most of us here have been here for 10, 15, 20 years. And we've been studying this for decades, right? And you're doing a lot of that research. So, then when this happens, you're going to be advising the client what to position into. I want again, our audience, whether you're a client or not, to, um, understand who we are. You know, this is what we do. And we're in it every day. We research. We're on top of it. Other companies, are they even going to be there?
You're on the front lines every day. And, you know, when you become a client here, you get that analyst throughout. You know, we don't change them. Where other companies, um, anyway, not to get into that, but
But, um, no, it was my pleasure. And, um, you know, thank you, uh, audience for listening. And, um, I hope that uh, you know, you learned something today that maybe you didn't or maybe have a better understanding. And, um, but call in. You know, don't be shy.
Don't be shy.
And, uh, don't be shy. Call in. Talk to us.
we have answers. What do you have to lose by calling in and talking to one of us? Nothing. In fact, you're probably going to learn something that you didn't know.
Well, thank you again so much, Fernando. I appreciate it. Thank you. Thank you so much. And, um, I'm sure we'll we'll do another one of these. Honestly, I really do believe it. So, thank you again so much. Awesome.
The perfect timing.