$200 BILLION War Debt While Americans Face 19% Import Price Inflation Crisis

[SPEAKER_01]: Make no friends in the pits and you take no prisoners. [SPEAKER_01]: One minute, you're up to a minute and soybeans and the next bull. [SPEAKER_01]: Your kids don't go to college and they've registered mentally with me. [SPEAKER_01]: The revolutions start now, staunch. [SPEAKER_00]: We have to pass the bills so that you can find out what is in it. [SPEAKER_02]: Cardinals machine back off! [SPEAKER_02]: You are about to enter the Peter Schiff show.

[SPEAKER_02]: If we lose freedom here, there's no place to escape to. [SPEAKER_02]: This is the last stand on Earth. [SPEAKER_02]: The Peter ship shall be solved. [SPEAKER_01]: I don't know when they decided that they wanted to make a virtue out of selfishness. [SPEAKER_01]: You're money. [SPEAKER_01]: You're stories. [SPEAKER_01]: You're freedom. [SPEAKER_01]: The Peter ship shall.

[SPEAKER_00]: Well, the big news story continues to be the war in Iran and the constant escalation, de-escalation, escalation of that war and all of the media spin. [SPEAKER_00]: And the administration spin that is dominating all the news headlines that I want to discuss at the top of this podcast, but I'm going to get to some economic data, which I think is also very important.

[SPEAKER_00]: and i'm going to give you guys an update on some of my legal battles with the IRS very important updates so you want to make sure and stick around uh... to the entire podcast don't don't don't tune out uh... because there's going to be a lot of good stuff

[SPEAKER_00]: that I'm going to be getting to a long way and while I'm thinking about it, if you're not currently a subscriber to this YouTube channel, make sure and hit the subscribe button, hit the like button, leave me a comment. [SPEAKER_00]: We got to try to drive some engagement and apparently that's the best way to do it. [SPEAKER_00]: Now, first of all, I want to go over some of the events from the war. [SPEAKER_00]: news shows and the one that was the most interesting.

[SPEAKER_00]: I think it was meet the press. [SPEAKER_00]: And Treasury Secretary Scott Besant was a guest on meet the press.

[SPEAKER_00]: Now, I had mentioned on a prior podcast, the administration had talked about asking Congress for a $50 billion [SPEAKER_00]: But by Sunday, the price tag had already been up to $200 billion extra appropriations so that the Trump administration, he hasn't asked yet, but those were the rumors that Trump was going to ask Congress for $200 billion extra for the military for the war. [SPEAKER_00]: He didn't ask Congress for permission to declare the war.

[SPEAKER_00]: He just did that on his own. [SPEAKER_00]: But now that we're at war, he wants Congress to authorize or he will ask Congress to authorize more funding. [SPEAKER_00]: And so the woman and I forget her name, who was interviewing Scott Besson, asked a very good question, which Scott Besson not only didn't want to answer, but in very Trumpy and fashion, he really made fun of the reporter. [SPEAKER_00]: for asking the question. [SPEAKER_00]: Now, the question was very simple.

[SPEAKER_00]: Are you going to consider raising taxes to pay for this war? [SPEAKER_00]: I mean, that's an honest straightforward question. [SPEAKER_00]: You want an extra $200 billion, where are you going to get the money? [SPEAKER_00]: And instead of answering it initially, he said, well, that's a ridiculous question. [SPEAKER_00]: Well, what's ridiculous about it? [SPEAKER_00]: What's ridiculous is that he doesn't want to answer it. [SPEAKER_00]: He says, how ridiculous could you even ask me?

[SPEAKER_00]: Why would you even ask me how we're going to pay for this? [SPEAKER_00]: It's like, yes, maybe it is ridiculous to ask the government how they're going to pay for something whether they don't pay for anything. [SPEAKER_00]: They just borrow the money, the Fed just prints the money. [SPEAKER_00]: So according to the secretary of the treasury, this isn't just anybody. [SPEAKER_00]: This is the secretary of our treasury. [SPEAKER_00]: He's supposed to be protecting the treasury.

[SPEAKER_00]: he gets asks hey how you gonna pay for this war don't ask me such a ridiculous question who cares so then he said well why would we need any money [SPEAKER_00]: Well, let me why would you do any money? [SPEAKER_00]: The country's 39 trillion in debt, you're the second to the treasury, did you not notice all that debt? [SPEAKER_00]: We have a massive budget to have. [SPEAKER_00]: So what do you mean you don't need the money? [SPEAKER_00]: He said, we got plenty of money.

[SPEAKER_00]: That's what he said. [SPEAKER_00]: We don't need any money. [SPEAKER_00]: We got plenty of money. [SPEAKER_00]: No, we don't. [SPEAKER_00]: If we had plenty of money, we wouldn't have massive deficits. [SPEAKER_00]: Now, would we? [SPEAKER_00]: because we don't have plenty of money, we have to borrow all that money. [SPEAKER_00]: That's the reason we have these massive deficits is because we're out of money, we have to borrow the money.

[SPEAKER_00]: So we don't have plenty of money lying around the pay for this war. [SPEAKER_00]: We don't have money lying around the pay for anything. [SPEAKER_00]: So after first saying the question was ridiculous and then saying, well, we have plenty of money [SPEAKER_00]: they moved on. [SPEAKER_00]: He never actually answered the question about how you're going to pay for it.

[SPEAKER_00]: But he eventually did rule out tax hikes because she pressed him on the question and eventually said no, where we're not even considering raising taxes to pay for this war. [SPEAKER_00]: Well, then how are you going to pay for the war, Mr. Secretary of the Treasury? [SPEAKER_00]: You're not even considering tax increases? [SPEAKER_00]: I mean, we had a major tax increase to pay for World War II. [SPEAKER_00]: It was called the Victory Tax.

[SPEAKER_00]: We need to just borrow money. [SPEAKER_00]: I mean, we borrowed a lot of money. [SPEAKER_00]: The U.S. government sold war bonds. [SPEAKER_00]: to raise money for the war, but they were massive tax increases. [SPEAKER_00]: In fact, up until the Second World War, hardly any Americans even pay the income tax.

[SPEAKER_00]: The income tax started, as I mentioned, 1913 as a soaked or rich tax, but the middle class didn't really pay it until the victory tax of 1942, and in fact, that's what [SPEAKER_00]: even if you paid income taxes before 1942, you didn't pay them until April 15th of the following year when you sent your money in. [SPEAKER_00]: There was no withholding of taxes out of anybody's pay. [SPEAKER_00]: You just sent a check to the government.

[SPEAKER_00]: So nobody had to get a tax refund because nobody paid the taxes until after they filed their return and figured out how much they owed. [SPEAKER_00]: So nobody got a tax refund. [SPEAKER_00]: Now, when the withholding tax was introduced as part of the victory tax, it was to fund the war. [SPEAKER_00]: So, yes, World War II was a much bigger war than the Iran war, but we paid for it. [SPEAKER_00]: Yes, we borrowed some of the money, but we also raised a lot of taxes.

[SPEAKER_00]: And if Scott Bessett was a responsible steward [SPEAKER_00]: He would be telling the president, OK, Mr. President. [SPEAKER_00]: Here's how much this war is going to cost. [SPEAKER_00]: Here are our options. [SPEAKER_00]: Here's the type of taxes that we could levy on the American public to pay for the war. [SPEAKER_00]: And of course, if the president was honest, [SPEAKER_00]: with the taxpayers and said you got to pay for the war.

[SPEAKER_00]: The war would be even less popular than it is. [SPEAKER_00]: That's one of the reasons that Trump does and want higher taxes to pay for the war. [SPEAKER_00]: Because then the war will be far less popular. [SPEAKER_00]: I'm not sure how popular it is now, but it would have even less support if people thought they had to cover the cost. [SPEAKER_00]: So according to the Treasury Secretary, Ben Matter, we'll just go into run up the debt.

[SPEAKER_00]: Because they didn't talk about cutting any government programs, I would have liked it if the journalist had asked, Scott Besson, okay, well, if tax cuts are off the table, I mean, if tax hikes are off the table, are you gonna cut anywhere else in the budget? [SPEAKER_00]: Are you gonna cut back on some other programs to free up the money? [SPEAKER_00]: Because I'm sure he would have answered no to that question. [SPEAKER_00]: as well.

[SPEAKER_00]: So if you're not going to raise taxes and you're not going to cut spending, well, how are you going to finance the war? [SPEAKER_00]: Obviously, just pile it on top of the debt. [SPEAKER_00]: We're just going to borrow more money. [SPEAKER_00]: What the hell? [SPEAKER_00]: We're already borrowing trillions a year. [SPEAKER_00]: What's the few hundred billion more? [SPEAKER_00]: for the Iran war. [SPEAKER_00]: You know, a few hundred billion here, a few hundred billion there, right?

[SPEAKER_00]: Pretty soon, you're talking about real money, which again proves that the biggest threat to the United States is not coming from Iran, is coming from Washington, DC. [SPEAKER_00]: is coming from the president of the United States. [SPEAKER_00]: It's coming from the Congress of the United States that is spending all this money. [SPEAKER_00]: The debt is the threat. [SPEAKER_00]: Inflation is the threat. [SPEAKER_00]: That's what [SPEAKER_00]: the president should be concerned about.

[SPEAKER_00]: Instead of figuring out ways to spend even more money and go deeper into debt, why don't we try to figure out how to cut spending? [SPEAKER_00]: The president, and I mentioned this on a prior podcast, said that Americans need to be prepared to make sacrifices. [SPEAKER_00]: That we have to sacrifice for this greater good. [SPEAKER_00]: We have to suck it up and pay higher gas prices.

[SPEAKER_00]: uh... because it's worth it in the long run because we're gonna defeat i ran [SPEAKER_00]: Well, instead of focusing on defeated enemy that really doesn't represent that much of a threat to us, why don't we focus on what does the dead itself? [SPEAKER_00]: And we're making the dead crisis worse by fighting a war that we didn't need to fight. [SPEAKER_00]: And now we're borrowing even more money that we didn't need to borrow.

[SPEAKER_00]: So the sacrifice that he should be asking Americans to make is to accept less government [SPEAKER_00]: to accept reductions in government benefits. [SPEAKER_00]: That's the sacrifice. [SPEAKER_00]: That would be a sacrifice worth of making. [SPEAKER_00]: Because that's a real payoff. [SPEAKER_00]: We can have real prosperity if we can shrink the size of the government. [SPEAKER_00]: Instead, we're making government bigger. [SPEAKER_00]: We're making the military bigger.

[SPEAKER_00]: We're spending more money. [SPEAKER_00]: We're making the deficits bigger. [SPEAKER_00]: To finance, [SPEAKER_00]: this war. [SPEAKER_00]: So I thought that that that that comment was very striking. [SPEAKER_00]: Nobody really talks about it. [SPEAKER_00]: The whole rest of the interview.

[SPEAKER_00]: I mean, yeah, I don't really believe a word that comes out of this guy's mouth. [SPEAKER_00]: In fact, I don't believe anything that anybody in the Trump administration says. [SPEAKER_00]: Um, because I think either that they gotta know that Trump is lying, so if they repeat the lies, then they're lying too. [SPEAKER_00]: And of course, Trump is talking about the war all the time. [SPEAKER_00]: And I wish I could believe the things that he says.

[SPEAKER_00]: And it's not that I just believe the stuff that the Iranians say. [SPEAKER_00]: I mean, I don't trust them either. [SPEAKER_00]: But I take everything that Trump says. [SPEAKER_00]: with a grain of salt. [SPEAKER_00]: And so should everybody else, so should the media, so should the market, just because Trump says something, does not mean it's true, because most of the stuff that he says, I know is a lie. [SPEAKER_00]: When Trump talks about the economy, I know he's lying.

[SPEAKER_00]: I mean, all the stuff that he says is happening. [SPEAKER_00]: It's not happening. [SPEAKER_00]: He's making stuff up. [SPEAKER_00]: He's misrepresenting stuff. [SPEAKER_00]: So if he does that when he talks about the economy, tariffs, inflation, his accomplishments, all the other stuff that Donald Trump routinely lies about. [SPEAKER_00]: And he lies about the same stuff over and over again, trying to convince himself that the lies are true.

[SPEAKER_00]: But because he has such a track record of lying, how the hell can I believe him when he starts to talk about what's happening with Iran, when he talks about why we're having a war, when he talks about what's happening during the war, how the war is going? [SPEAKER_00]: How can I believe him? [SPEAKER_00]: I can't. [SPEAKER_00]: I mean, I'd like to, I'd like to be able to believe the president, but how do you believe somebody that's told so many lies?

[SPEAKER_00]: You just get, you destroy your own credibility. [SPEAKER_00]: So I don't know why anybody even pays attention. [SPEAKER_00]: Why the, why the markets, why the markets pay attention to what the president says. [SPEAKER_00]: But, but they do. [SPEAKER_00]: And that may be one of the main reasons that the president says things is because he's intending to manipulate the markets.

[SPEAKER_00]: uh... and i'm gonna talk a little bit more about that on the other side of this uh... this commercial break so stick around with coming right back all right so we're talking about trump's credibility and potentially market manipulation so let me just backtrack to what happened over the last several days [SPEAKER_00]: Now, on Saturday, now I did a shift gold Friday market rap on Friday, so I didn't know about any of this stuff.

[SPEAKER_00]: It happened the following morning, right, of course, all the financial markets are closed on Saturday and Donald Trump composes a post for truth social. [SPEAKER_00]: which again, I've been saying needs to be rebranded. [SPEAKER_00]: It's lies social because there's very little truth communicated, at least from the president. [SPEAKER_00]: But anyway, on truth social, he issued an ultimatum to the Iranians.

[SPEAKER_00]: He said, if you don't open the streets of her moves within 48 hours from this post, [SPEAKER_00]: That's it. [SPEAKER_00]: I am going to destroy your power plants. [SPEAKER_00]: I'm going to knock out all your power plants. [SPEAKER_00]: We're going to bomb them into oblivion, and you guys are going to be in the dark. [SPEAKER_00]: This is what we're going to do.

[SPEAKER_00]: Thank you, Donald Trump. [SPEAKER_00]: You got 48 hours or else, right? [SPEAKER_00]: Really, really tough. [SPEAKER_00]: Of course, this is after he's already claimed we've already won the war.

[SPEAKER_00]: right and in fact one of the things that's got best said on the interview I was discussing he said you have sometimes you have to escalate to deescalate so that's like as part of uh... there they're there they're strategy here escalating to deescalate like we got to make the budget deficit bigger in order to make it smaller right that's what they told us you know over and over again a larger deficit today is a down payment on a smaller deficit tomorrow

[SPEAKER_00]: I think the way to deescalate is not to escalate, just go straight to the deescalation and skip, you know, you don't have to go backwards to go forwards, just go forwards. [SPEAKER_00]: But anyway, that's apparently their negotiating style. [SPEAKER_00]: We have to escalate so we could deescalate, right? [SPEAKER_00]: But anyway, so apparently that's what it looked like they were doing. [SPEAKER_00]: Well, although on Saturday, you didn't know that.

[SPEAKER_00]: It was like, okay, this is it. [SPEAKER_00]: The gloves are coming off. [SPEAKER_00]: Now we're getting serious. [SPEAKER_00]: So the markets are reacting over the weekend. [SPEAKER_00]: Of course it takes until Sunday before the markets are trading, although Bitcoin is already trading. [SPEAKER_00]: So Bitcoin already gets clobbered. [SPEAKER_00]: I mean, not dramatically, that like three or four percent.

[SPEAKER_00]: I mean, so Bitcoin's, I forget we're got down to 68,000, something like that, but it was like at 74,000. [SPEAKER_00]: So maybe it fell 5%. [SPEAKER_00]: I forget, but Bitcoin went down on this tough talk. [SPEAKER_00]: And then Sunday night, and S&P futures are down, several hundred points, oil is way up, oils back over a hundred, Brents back well over 110 bonds are getting killed.

[SPEAKER_00]: U.S. treasuries, the yield on the 10 year treasury got up to 4.4%. [SPEAKER_00]: The five year was almost five. [SPEAKER_00]: It was like 3.97, 3.98, gold's down, in fact, [SPEAKER_00]: by Monday morning, early Monday morning, you know, like three four in the morning, I forget gold almost hit 4,100. [SPEAKER_00]: It got down to like 4,120. [SPEAKER_00]: I mean, it was at 5,500.

[SPEAKER_00]: It was when the war broke out three three weeks ago or four weeks ago, never was gold hit 5,500. [SPEAKER_00]: And then Monday of this week, two days [SPEAKER_00]: on this news, on this, you know, escalation, dollar was up, so the markets are really, you know, moving on the escalation. [SPEAKER_00]: Now, of course, this is ridiculous when it comes to gold.

[SPEAKER_00]: This shows you how liquidity driven everything happens to be right now in this massive bubble that the Fed has inflated. [SPEAKER_00]: Gold goes down. [SPEAKER_00]: when the war gets escalated, but it goes up when it gets de-escalated, which is the opposite of what you would think. [SPEAKER_00]: You would think that when the war looks like it's going to be bigger and lasts longer and be more disruptive, you should want to buy gold.

[SPEAKER_00]: But if it looks like the war is over, you'd want to sell it, but the opposite is happening. [SPEAKER_00]: The longer it looks like the war is going to continue, the more people are selling gold. [SPEAKER_00]: I mean, if they declared peace tomorrow, the whole war is over, gold was sore. [SPEAKER_00]: That doesn't even seem to make any sense.

[SPEAKER_00]: And you know, part of it, too, is linked to the idea that the longer the war continues, the longer we're going to have to wait for the fed to cut rates. [SPEAKER_00]: and that elongated weight for the rate cut, that's what's weighing on gold, which is immat irrelevant, because the entire time the Fed is gonna be on hold, inflation's gonna be getting worse. [SPEAKER_00]: And so real interest rates are gonna keep going down, even if the Fed holds nominal interest rates the same.

[SPEAKER_00]: And if inflation goes from 3% to 6%, that's better for gold than inflation's staying where it is, and the Fed cutting. [SPEAKER_00]: because what's important for gold is real interest rates. [SPEAKER_00]: The nominal interest rates at the end of the day don't matter. [SPEAKER_00]: Even if the fed raises interest rates to 10%, if inflation is 30%, to 10% inflation interest rates matter. [SPEAKER_00]: No, you're negative 20%.

[SPEAKER_00]: You would want to buy gold even more aggressively if we had 10% interest rates and 30% inflation. [SPEAKER_00]: So, it's the real rate that is important, and the traders still don't get this. [SPEAKER_00]: Now, eventually, if the war goes on long enough, this is going to stop. [SPEAKER_00]: At some point, gold is going to start to go up when the escalation goes up. [SPEAKER_00]: But we haven't reached that point yet.

[SPEAKER_00]: But I think to pull back, if you look at the pull back to 4,100, that's about 40%.

[SPEAKER_00]: retracement of the entire rally if you measure the rally from the breakout at 2,000 right we asked that was really what we broke out so he went from 2,000 to 5,600 a 40% retracement is about 4,100 now as we're talking now and I'm gonna get to why this happened but goals back above 4500 so it's already bounced more than 10% from Monday morning's low [SPEAKER_00]: But that 40% of retracement is exactly the decline that we got the bull market in gold from 2001 to 2008.

[SPEAKER_00]: That bull market, we're going from under 300 to 1000. [SPEAKER_00]: The 40% retracement there was about what we did in between August of 08 and like November of 08. [SPEAKER_00]: During those four months, gold pullback, about 35%, which was a little bit bigger than the pullback that we've had so far, although this pullback was quicker. [SPEAKER_00]: gold's decline since we started the Iran war.

[SPEAKER_00]: It was a much faster decline than the one that was triggered by the 2008 financial crisis. [SPEAKER_00]: That's how sharp the decline was. [SPEAKER_00]: In fact, last week was the worst week gold's had since 1983. [SPEAKER_00]: so way before the OA financial crisis. [SPEAKER_00]: But if you look at the magnitude of the decline relative to the entire bull market, what we've already had in three weeks is about the same is what we had in four months of the financial crisis.

[SPEAKER_00]: But what's significant is after gold bottomed in November of 2020 of November 2008. [SPEAKER_00]: Now the stock market didn't bottom until [SPEAKER_00]: like February or January, February or March. [SPEAKER_00]: I forget of 09. [SPEAKER_00]: The stock market fell another 2223% after Goldbottoms. [SPEAKER_00]: But after Goldbottoms, within three years, it tripled. [SPEAKER_00]: Gold went to 1900.

[SPEAKER_00]: So if Gold does the same thing again as a 40% retracement and then triples, Gold's over 11,000. [SPEAKER_00]: Now, I actually think gold's going to go a lot higher than that. [SPEAKER_00]: I think the fundamentals are a lot better now than they were in 2011. [SPEAKER_00]: So if gold could triple after a 40% retracement back then, it can certainly do at least that if not more now, which is why everybody should take advantage of this decline.

[SPEAKER_00]: And by silver, in fact, silver went all the way down below 63. [SPEAKER_00]: members silver got to a hundred and twenty one or something like that. [SPEAKER_00]: So almost about a fifty percent decline in silver from its peak, not a retracement of the rally, but a complete, you know, fifty percent decline. [SPEAKER_00]: Silver right now is about seventy one and a half. [SPEAKER_00]: So about eight bucks higher than it was Monday morning.

[SPEAKER_00]: So better than again, ten percent bounce off of those lows. [SPEAKER_00]: But [SPEAKER_00]: I think that it's nuts that we're at war and the fundamentals for Golden Silver are better than they've ever been. [SPEAKER_00]: They were great before the war. [SPEAKER_00]: They're even better now that we have a war and I don't care if the war is over. [SPEAKER_00]: The war is damaging the U.S. economy. [SPEAKER_00]: Yes, the longer it goes on, the more the damage is going to be.

[SPEAKER_00]: But there's going to be damage even after the war ends. [SPEAKER_00]: When the war is over, it's not going to be a great thing that we're going to have. [SPEAKER_00]: I think that Trump is going to promote it as this massive victory, no matter how badly we lose. [SPEAKER_00]: And not that we lose in a military sense that Iran defeats us, that that's not going to happen. [SPEAKER_00]: But we can lose in an economic sense.

[SPEAKER_00]: We can lose in a sense that we don't really accomplish anything. [SPEAKER_00]: In fact, I think Iran knows. [SPEAKER_00]: Iranian leaders know that they win the war just by surviving. [SPEAKER_00]: If the regime is intact at the end of this, then they've won.

[SPEAKER_00]: They because they've stood up to to to the big American Satan right if they're still in power if even if it's different people If it's the same basic regime just different players and who knows what they're gonna demand in fact if you look And I actually I'm jumping ahead of myself.

[SPEAKER_00]: So I don't really go out of get to that [SPEAKER_00]: But I think they know, I think the Iranians know that at the end of the day, the best weapon they have is the dollar, the stock market, the bond market, the oil price, the economy, the polls, that's going to determine when this war ends.

[SPEAKER_00]: I think that's what Trump is going to ultimately base his decision on, not based on what's going on in Iran or any so-called threat is going to be the threat to him politically and the Republican Party that's going to be guiding ultimately the outcome here. [SPEAKER_00]: And I think that Iranians probably know that and you know, and they probably think that eventually look, how many bombs can we have? [SPEAKER_00]: How many missiles?

[SPEAKER_00]: I mean, we're going to run out eventually. [SPEAKER_00]: right because Trump's already admitted that we've run out of things to bomb. [SPEAKER_00]: So how many more of these bombs are we going to drop if everything is already destroyed? [SPEAKER_00]: But in any event and apparently obviously not everything is destroyed because they still have stuff and they can make more stuff, right? [SPEAKER_00]: So they can make what we destroyed.

[SPEAKER_00]: But anyway, so let me get back [SPEAKER_00]: Trump set off this, you know, big move in the markets based on this ultimatum, then out of the blue on Monday morning before U.S. stock markets open. [SPEAKER_00]: He posts on true social, hey, great news. [SPEAKER_00]: We're making a lot of progress in our talks. [SPEAKER_00]: I think we're going to have a five day pause on this bombing of the power plants. [SPEAKER_00]: We're having really productive negotiations.

[SPEAKER_00]: I think we got to deal here. [SPEAKER_00]: This is great. [SPEAKER_00]: Now I forget exactly what it was. [SPEAKER_00]: But it was a complete opposite of the tweet. [SPEAKER_00]: on Saturday morning. [SPEAKER_00]: And of course, it contradicted everything Trump had been saying in the prior week about we're not going to negotiate. [SPEAKER_00]: There's nobody to negotiate with. [SPEAKER_00]: I ran wants to negotiate. [SPEAKER_00]: I ran wants to make a deal.

[SPEAKER_00]: I don't want to make a deal. [SPEAKER_00]: Screw them, unconditional surrender. [SPEAKER_00]: We're going to bomb you into oblivion. [SPEAKER_00]: You just got to give up, right, no deal. [SPEAKER_00]: That that's what he was saying before. [SPEAKER_00]: Now, of course, everybody says, well, you know, that's how we negotiate. [SPEAKER_00]: Right. [SPEAKER_00]: He's got to say all this stuff.

[SPEAKER_00]: And you know, so again, if that's the case, you can't believe what he's saying, maybe he has to lie in order to get what he wants, but why are we taking it seriously, we, you know, if we know that that's, that's his style. [SPEAKER_00]: But so now this comes out and it's a huge reversal. [SPEAKER_00]: Dow goes up like 1,000 points, 2,000 points. [SPEAKER_00]: I mean, it gave back some of the good, but it was a huge rally. [SPEAKER_00]: Oil dropped like 10 bucks, right?

[SPEAKER_00]: Oil was way up, it went way down. [SPEAKER_00]: Gold reversed, didn't really go positive, but gold was down like $250 before the post, and it recovered those losses. [SPEAKER_00]: Silver, which was down like $4, went positive a couple of bucks. [SPEAKER_00]: And I have a hard time believing that somebody didn't know that that post was coming and didn't make some bets.

[SPEAKER_00]: either in the S&P 500 futures or oil futures or currency futures and in fact now I'm hearing all those reports about mysterious large trades that were placed in the S&P in oil five minutes before that post very very large wagers of a size that nobody would make [SPEAKER_00]: just on a random hunch. [SPEAKER_00]: And why would you even have that random hunch? [SPEAKER_00]: Who the hell would know?

[SPEAKER_00]: The only way somebody would come in with that size at that particular time is if they knew exactly what was going to happen and they knew exactly the effect that it would have on the market.

[SPEAKER_00]: So I don't know if the reason [SPEAKER_00]: that post came out was so whoever had the inside information could make money or maybe Trump was just looking at the bond market going hippie, the stock market tanking, oil surging and he used true social post knowing that that post would lift the markets that that's the reason. [SPEAKER_00]: Because so far, the Iranians have denied that there's, you know, any talks or that they're making any progress.

[SPEAKER_00]: And again, I'm not going to necessarily believe what they say either. [SPEAKER_00]: But I can't believe what anybody says. [SPEAKER_00]: Anyway, I got another commercial break. [SPEAKER_00]: Stick around. [SPEAKER_00]: We'll be right back. [SPEAKER_00]: A social post about this great deal, this truce, this pause, whatever, remember that, he, that's what he did with terrorists, right?

[SPEAKER_00]: He would, he would threaten these big tariffs and then when the market started to react, he would pause whatever the tariffs were. [SPEAKER_00]: He had a deadline and then he would put it on pause. [SPEAKER_00]: And that's how he got the nickname taco, right? [SPEAKER_00]: Trump always chickens out, taco, because he would say something, and then the markets would react in a bad way, and so he would do it about face. [SPEAKER_00]: So the same thing is happening with the war.

[SPEAKER_00]: He lays down an ultimatum, the markets react badly, and then he withdraws it. [SPEAKER_00]: He always was a pause. [SPEAKER_00]: Well, and then he talks about how something greatest happening, he's having these great negotiations. [SPEAKER_00]: In fact, he said that the Iranians [SPEAKER_00]: Now, he didn't say what that gift is. [SPEAKER_00]: Now, I thought, I have a funny cartoon. [SPEAKER_00]: Somebody sent me this cartoon.

[SPEAKER_00]: And it was Donald Trump was on a psychiatrist office and he was lying on the couch and he was talking to the doctor. [SPEAKER_00]: And the doctor says, now, tell me, these are Iranians that you've been talking to. [SPEAKER_00]: Are they in the room with us now? [SPEAKER_00]: Who the hell knows? [SPEAKER_00]: We're saying all these countries were begging to make a deal with it. [SPEAKER_00]: Everybody was coming.

[SPEAKER_00]: Everybody wants to make a deal with me They're lining up to make a deal a member back then I said, I think this is bullshit. [SPEAKER_00]: I said, I don't think anybody is Lining up to make any deals. [SPEAKER_00]: I think this is all in Trump's imagination that everybody is lining up to make a deal So now supposedly all the Iranians want to make deals. [SPEAKER_00]: They're all lining up to make deals. [SPEAKER_00]: Are they?

[SPEAKER_00]: I mean he was he wasn't being honest about the tariffs [SPEAKER_00]: Um, is he being honest about this? [SPEAKER_00]: I don't know again, you know, when you've cried wolf so many times, you know, what are we supposed to do? [SPEAKER_00]: Maybe there is a wolf, but how am I supposed to believe you, right? [SPEAKER_00]: Um, so anyway, now apparently, you know, they're, you know, we're supposed to be very optimistic. [SPEAKER_00]: And the Iranians were like, we did not all this.

[SPEAKER_00]: Now, apparently Trump has sent like a 16 point plan, like a truce to the Iranians. [SPEAKER_00]: Like these are our terms, right? [SPEAKER_00]: This is what we want for a ceasefire for an end of the war. [SPEAKER_00]: And for what I can tell, the Iranians have issued their own set of demands. [SPEAKER_00]: And the sides are as far apart as you can possibly be.

[SPEAKER_00]: Now, of course, when you negotiate, you both start with extreme positions and you meet somewhere in the middle.

[SPEAKER_00]: But if they're still at the point where they're at the extreme positions, then it doesn't seem like they've negotiated it all. [SPEAKER_00]: If both sides are at my way or the highway, I get everything you get nothing, how do you claim you've even made any progress? [SPEAKER_00]: Because what the Iranians basically want is the unconditional surrender of the United States. [SPEAKER_00]: That's really what it amounts to. [SPEAKER_00]: They want their own sovereignty recognized.

[SPEAKER_00]: They want to have complete sovereignty over the the the the the straight of her moves. [SPEAKER_00]: They want war reparations. [SPEAKER_00]: They want the U.S. government to pay them.

[SPEAKER_00]: for everything they destroyed now Trump already talked about making Iran great again he already kind of offered that but that was supposedly part of a whole regime change where you know the Iranians were going to get rid of the current regime and have this new independent western friendly democracy and then we were going to offer them aid but basically what the Iranians are saying no no we want you to write the check to this regime [SPEAKER_00]: Because we're not going anywhere.

[SPEAKER_00]: We're staying in power. [SPEAKER_00]: And so I, you know, forget all the things that they want, but it seems like they would be non-starters for Trump. [SPEAKER_00]: But so I don't think the war is any closer to being ended. [SPEAKER_00]: Then it was before Trump issued his ultimatum, let alone when he said that we're very close to the war being over. [SPEAKER_00]: And meanwhile, the straight is not open. [SPEAKER_00]: The ships are not passing.

[SPEAKER_00]: The damage to the oil market is ongoing and not getting not just oil. [SPEAKER_00]: More people now are starting to talk about fertilizer, which is going to be important. [SPEAKER_00]: And in fact, one of the things that's probably going to happen. [SPEAKER_00]: And very few people are even contemplating this. [SPEAKER_00]: Let's assume the war is over. [SPEAKER_00]: Let's assume.

[SPEAKER_00]: Let's assume Trump finds a graceful exit to surrender yet claim the greatest victory in the history of war. [SPEAKER_00]: I think Trump has already decided that he's the world's greatest general and any war that he starts is going to be the most glorious victory of any war, right?

[SPEAKER_00]: And so regardless of what happens, that's how it's going to be portrayed, right? [SPEAKER_00]: But let's say that happens, right? [SPEAKER_00]: We have this glorious spectacular victory. [SPEAKER_00]: And the straight opens back up and oil production can somehow get resumed. [SPEAKER_00]: A to the extent that a lot of countries have already started selling out of their strategic reserves, they're going to immediately want to replenish those reserves, thinking holy crap.

[SPEAKER_00]: There could be another shortage. [SPEAKER_00]: I mean, what if the golf gets closed down again a month later, we better rebuild our stock piles while we have a chance. [SPEAKER_00]: And in fact, even more so, this war, [SPEAKER_00]: Kind of like a COVID is a wake-up call that you got to stock up, not just on oil, but fertilizer, all kinds of strategic metals, everybody needs to stock up because you never know when a global supply chain can be disrupted.

[SPEAKER_00]: So I think you're going to see elevated demand across the board for all sorts of commodity. [SPEAKER_00]: So the prices are not going to go way down, even if the war is over. [SPEAKER_00]: They're still going to go up and of course you still have a bottleneck, a backlog of oil that was in produced because of the war, because if they can't ship it, they can't refine it, a lot of stuff got slowed down, just like with the COVID-19 and all that stuff in the supply.

[SPEAKER_00]: So you're going to have a problem with prices even if the war ends. [SPEAKER_00]: But of course, the longer it takes the bigger that problem is going to be, and the other problem is all the extra deficit spending, all the money printing, all the inflation that is going to be necessary to fund the war, which brings me to some economic data points that came out today that I want to discuss.

[SPEAKER_00]: One of them is on the weekly mortgages, the mortgage applications. [SPEAKER_00]: Because this just shows you what's going on and what is teetering, right, as a consequence here. [SPEAKER_00]: So last week, the index, the composite index for mortgage applications drop 10.9%. [SPEAKER_00]: purchases were still up. [SPEAKER_00]: Point nine, but refinances collapse by 18.5%.

[SPEAKER_00]: But this week, the index dropped 10 and a half percent, almost as much with a 5.4% decline in mortgage applications. [SPEAKER_00]: This is people buying homes. [SPEAKER_00]: And another 14.6% decline in re-fies below the 18.5% decline from the prior week.

[SPEAKER_00]: So they're plunging over the last two weeks. [SPEAKER_00]: why are revised collapsing because you can't refine anymore because mortgage rates are now moving higher. [SPEAKER_00]: One of the consequences of the war and rising inflation is higher mortgage rates. [SPEAKER_00]: And of course, everything associated with home ownership is going up. [SPEAKER_00]: The utility bills are going up, cost more for, you know, to heat your house.

[SPEAKER_00]: And the winner is going to cost more to cool it. [SPEAKER_00]: uh... your maintenance uh... your insurance everything related to home ownership is getting more expensive which means home prices have to come down because that's the only way you can afford to buy a house is if you get it cheaper uh... which is going to be the beginning of a financial crisis because if real estate prices dropped thirty percent nationwide what does that mean

[SPEAKER_00]: Not only do you wipe out the home equity of millions of homeowners, but you raise the probability that those homeowners will default on their mortgage. [SPEAKER_00]: And if they do, the lender is going to lose money because the collateral won't be there to repay the loans. [SPEAKER_00]: And of course, the U.S. government, the taxpayer, is on the hook.

[SPEAKER_00]: for all this government-insured debt, and of course to the extent that the banks own it, right there in trouble, and we're covering them. [SPEAKER_00]: So this is another thing that's on the president's mind, because he has talked publicly about his desire to maintain high home prices and to make sure that they get even higher, because he wants to protect the home equity of his voters. [SPEAKER_00]: He does not want that home equity to vanish.

[SPEAKER_00]: which again is going to be a more important factor I think in determining when the war comes to an end.

[SPEAKER_00]: But the more significant numbers were the import export prices. [SPEAKER_00]: This is an early indication of what's going to happen to consumer prices. [SPEAKER_00]: Because this is exactly what happened. [SPEAKER_00]: So if you go back and listen to my podcasts from 2001, [SPEAKER_00]: This is before the big explosion in inflation when the Fed still had rates at zero. [SPEAKER_00]: And they were claiming there was no inflation.

[SPEAKER_00]: I was talking about import export prices. [SPEAKER_00]: I said, these are the key prices. [SPEAKER_00]: Look at what's happening to these prices because they're not manipulated. [SPEAKER_00]: They're not hedonically adjusted. [SPEAKER_00]: There's no substitution. [SPEAKER_00]: It is what it is. [SPEAKER_00]: And the tariffs are not in these prices. [SPEAKER_00]: These are just the raw prices.

[SPEAKER_00]: And so before you got that big spike in inflation, that the Fed declared was transitory, and only had to acknowledge, well, after the fact that they missed the boat on this, and they had a jack rates up. [SPEAKER_00]: You saw it in the import export prices. [SPEAKER_00]: That's where it showed up first. [SPEAKER_00]: and look at what is happening to import export prices. [SPEAKER_00]: That, you know, it's already happening in producer prices too. [SPEAKER_00]: They're moving again.

[SPEAKER_00]: That's a leading indicator of consumer prices. [SPEAKER_00]: But import export prices are a leading indicator of producer prices. [SPEAKER_00]: Producer prices are already rising rapidly before March. [SPEAKER_00]: In all the data that we have is from February and earlier. [SPEAKER_00]: The war started March 1st. [SPEAKER_00]: Oil prices are up 50% [SPEAKER_00]: Since March 1st, this month, none of that is in any of the February data or the January data that is screaming inflation.

[SPEAKER_00]: So import prices in February, shot up by 1.3%. [SPEAKER_00]: That's just one month, 1.3%. [SPEAKER_00]: export prices stuff that we produce and we sell abroad.

[SPEAKER_00]: Those prices jump by one point five percent in one month that I mean we're almost at the feds two percent target in a single month right because two months of that would be three percent for export prices and two point six percent for end point prices now if you analyze these prices right because when the government gives us the GDP numbers [SPEAKER_00]: Q4 GDP was .7. [SPEAKER_00]: That's annualized. [SPEAKER_00]: The actual increase was one fourth of that.

[SPEAKER_00]: So whenever the government reports a number that's supposed to be high like GDP growth, they annualized [SPEAKER_00]: when they say GDP grow grew by 0.7% and Q4, they mean if you take the rate that the economy grew in Q4 and you multiply it by 4 to analyze it, then it was 0.7. [SPEAKER_00]: Because just in the quarter, it was not even 0.2, less than 0.2 for the quarter. [SPEAKER_00]: But inflation, [SPEAKER_00]: they don't, they never annualize it.

[SPEAKER_00]: Well, if you take these price increases and multiply them by 12, because 1.3% increase in one month, you annualize it, you get 16.8%. [SPEAKER_00]: 1.5%, which is the export number, annualized that, you get 19.6%. [SPEAKER_00]: Imagine if the government says, export prices up, 19.6%. [SPEAKER_00]: Import prices up, 16.8%. [SPEAKER_00]: These are huge numbers, right? [SPEAKER_00]: They don't seem as huge when you only report the monthly increase and don't annualize it.

[SPEAKER_00]: But I'm analyzing it because that puts it in perspective. [SPEAKER_00]: That shows you how big a jump there was in one single month. [SPEAKER_00]: Now, you have to ask yourself, if import export prices rose that much in February. [SPEAKER_00]: How much are they going to be up in March when oil prices jump 50%. [SPEAKER_00]: The numbers could be much bigger in March. [SPEAKER_00]: Now, what are the producers going to do?

[SPEAKER_00]: Because they're going to have to buy these imports. [SPEAKER_00]: And that's going to mean their prices, their costs go way up. [SPEAKER_00]: What are they going to do? [SPEAKER_00]: Eat it? [SPEAKER_00]: No, they're going to pass it on to the consumer. [SPEAKER_00]: So all this is going to trickle down to the consumer. [SPEAKER_00]: It's all going to show up in consumer prices. [SPEAKER_00]: The number is going to be huge.

[SPEAKER_00]: Consumer price increases in 2026 will be the biggest jump since the one year, you know, I think it'll be bigger than every year of the Biden administration, maybe except one, but even then it might be worse. [SPEAKER_00]: 2026 could end up being [SPEAKER_00]: a bigger increase in consumer prices than any individual calendar year under Biden right and Trump likes to say, oh, we have the worst inflation ever under Biden. [SPEAKER_00]: Well, it's going to be worse under Trump.

[SPEAKER_00]: And I think one of the reasons we may be at war is because maybe Trump realized that this was going to be the case even without the war. [SPEAKER_00]: Had Trump not started a war, the inflation already in the system baked in this cake, and he helped bake it with the big beautiful bill with the massive increase in government spending that accompanied that. [SPEAKER_00]: And the rest of his economic policies, [SPEAKER_00]: This is why inflation was going to go up.

[SPEAKER_00]: But by starting the war, now Trump has an excuse, something to blame the higher prices on. [SPEAKER_00]: If the economy is in a recession, which it looked like it was going to be in one anyway, because the economy was weakening long before the war started. [SPEAKER_00]: Inflation was strengthening the economy was weakening. [SPEAKER_00]: Trump starts a war. [SPEAKER_00]: Now we get the news later, months, months later, probably before the midterm election inflation is high.

[SPEAKER_00]: The economy is weak, unemployment is spike. [SPEAKER_00]: Now Trump is like, well, this is all because of the war. [SPEAKER_00]: And you can't blame me for this. [SPEAKER_00]: I mean, I had no choice. [SPEAKER_00]: We had to do this. [SPEAKER_00]: We had a defeat the Iranians. [SPEAKER_00]: They were about to nuke us or whatever. [SPEAKER_00]: We had to do this. [SPEAKER_00]: This is for freedom. [SPEAKER_00]: And so this is just the sacrifice we all have to make.

[SPEAKER_00]: We all have to be willing to accept higher inflation because it's all transitory. [SPEAKER_00]: It's all going to go away. [SPEAKER_00]: As soon as we win this war, of course, everything is going to be great. [SPEAKER_00]: It's going to be morning in America. [SPEAKER_00]: It's going to be the golden age. [SPEAKER_00]: It's going to be a huge boom. [SPEAKER_00]: You know, it's just that we got it. [SPEAKER_00]: We got to just tough it up.

[SPEAKER_00]: We, you know, we have this just happened like COVID. [SPEAKER_00]: Like something that just happened. [SPEAKER_00]: We had no choice. [SPEAKER_00]: We, we, we have to win this war at all costs. [SPEAKER_00]: And so it's going to be worth it. [SPEAKER_00]: Right. [SPEAKER_00]: He's got a scapegoat. [SPEAKER_00]: Now, he also has the Fed is a scapegoat. [SPEAKER_00]: He's got the Supreme Court for Nike knocking down his tariffs, but there's nothing like.

[SPEAKER_00]: accused Obama of doing even though Obama never actually did it Trump repeatedly said that Obama will start a war with Iran as a distraction from his own failures from the weakness in the economy.

[SPEAKER_00]: So we already in his mind thought that wars with Iran are good distractions for presidents that are dealing with weak economies and so maybe he got the bad news [SPEAKER_00]: from some of his people, hey, you know, things are getting bad, you know, we got we're in a lot of trouble here, inflation's going to spike up, the economy's going to tank, you know, we got the midterms coming up, it's a good time to start a war.

[SPEAKER_00]: I don't know if this is what happened because I have no proof. [SPEAKER_00]: I'm just saying that this is what's going to happen. [SPEAKER_00]: and even if Trump did not deliberately start the war as a distraction, he will use it as an excuse. [SPEAKER_00]: You better believe that the high inflation that we're going to experience, the economic weakness that we're going to experience is all going to be blamed on this war, marked by words.

[SPEAKER_00]: Anyway, I want to finish up today's podcast by talking about my legal battle. [SPEAKER_00]: Both of these relate to the bank, your Pacific Bank, which by the way, you know, was placed in receivership almost four years ago, it was on June 30th, 2022. [SPEAKER_00]: So this is March. [SPEAKER_00]: So in three months, it'll be four years since my bank was put in receivership. [SPEAKER_00]: I'm not sure exactly how many customers we had, 3, 4,000.

[SPEAKER_00]: I don't even think two dozen have gotten their money back yet. [SPEAKER_00]: Now, nobody got their money until the last maybe six months. [SPEAKER_00]: So it took over three years for the first customer to get the first penny out of my bank. [SPEAKER_00]: Now, my bank had no debt. [SPEAKER_00]: Made no loans, had no past new bills, completely solved, and maybe the most solving bank in the world, 100% reserve bank.

[SPEAKER_00]: The government puts it into receivership supposedly to protect customers that were having no threat. [SPEAKER_00]: And now the biggest threat to the bank's customers is the Puerto Rican government. [SPEAKER_00]: The receiver that they appointed. [SPEAKER_00]: And now this company can't then break the young and I don't even have time to go into all that. [SPEAKER_00]: I just want to give a quick update on status of a couple of lawsuits.

[SPEAKER_00]: So I filed a civil rights lawsuit against the IRS several different agents. [SPEAKER_00]: uh... the head of the a t o and australia uh... uh... will day simine work the head of the hmrc uh... his majesty's revenue service in the uk several reporters like math you goods into the new york times [SPEAKER_00]: Nick, Nick, Nick, Nick, Nick, Nick, Nick McKenzie of the age in the 60 minutes, right?

[SPEAKER_00]: So I have this huge conspiracy and I said these people conspired to frame my bank as a publicity stunt for the J5. [SPEAKER_00]: They deprived me of my property without due process. [SPEAKER_00]: The whole thing was a lie. [SPEAKER_00]: They sacrificed the customers for a lie. [SPEAKER_00]: they violated, they obstructed justice, they abused power, and I've got all the evidence. [SPEAKER_00]: I've got them dead to write.

[SPEAKER_00]: If you read my complaints, if you go to my website, ninefraw.com, I've already proved my case and I haven't even had to discover it. [SPEAKER_00]: So anyway, after like a year and a half, I filed my lawsuit in November of 2024. [SPEAKER_00]: So just this week, [SPEAKER_00]: The judge finally rules on all the motions to dismiss, because everybody I sued filed the motion to have the case dismissed, everybody.

[SPEAKER_00]: And the judge granted all the motions completely dismissed my case without ever giving me an opportunity to make it, to argue the law, but not only was everybody dismissed, every single person I sued was dismissed with prejudice. [SPEAKER_00]: Now, there's two ways, if you're not a lawyer, you can dismiss a case with prejudice or without prejudice. [SPEAKER_00]: Without prejudice means, look, we haven't ruled on the merits.

[SPEAKER_00]: We're just dismissing this case, but you know, the plaintiff is free to file the case again. [SPEAKER_00]: We're just, we're just throwing this out on a procedural error, whatever it is, but we're not making a statement on any of the merits. [SPEAKER_00]: And if you want to bring another action against the same responded for the same thing, you know, you go ahead and do it. [SPEAKER_00]: You can have another bite at the apple, right?

[SPEAKER_00]: We're, because we never actually heard the case. [SPEAKER_00]: When you dismiss with prejudice, it means the matter is decided and the [SPEAKER_00]: applicant me can never bring up the the allegations again ever in any other forum like they're off to hook their Scott free and that's what happened and the crazy part about it is most of the people who were dismissed with prejudice the reason they were dismissed the judge ruled I didn't serve them properly.

[SPEAKER_00]: Like, I didn't follow the correct procedures. [SPEAKER_00]: It was very hard to serve these people. [SPEAKER_00]: They were making it very difficult on purpose. [SPEAKER_00]: But here's the crazy part. [SPEAKER_00]: If you received the notice that you were sued and you were able to file a motion with the court where I sued you.

[SPEAKER_00]: and say, hey, I know I'm being sued, but I want you to dismiss the lawsuit because the way I got a hold of the suit somehow wasn't quite the way the Hague, whatever it was required it. [SPEAKER_00]: You obviously know you were sued. [SPEAKER_00]: The purpose of service is if you sue somebody, they got to know that they were sued. [SPEAKER_00]: Because otherwise, what you just went by default, I can't sue you in secret.

[SPEAKER_00]: I need to put you on notice that you've been sued, so you can respond so you can mount a defense.

[SPEAKER_00]: Well, if you mount a defense, if you file a motion to dismiss the lawsuit by definition, you know that you've been sued. [SPEAKER_00]: You knew exactly where to file your motion to dismiss because you have a copy of my complaint. [SPEAKER_00]: Yet despite that, they still say, well, we're gonna throw it out because there was not proper service. [SPEAKER_00]: Okay, let's say that that was, I didn't, you know, somehow the service was improper.

[SPEAKER_00]: Okay, give me a chance to serve them again. [SPEAKER_00]: The judge says you can never serve them again, Mr. Schiff. [SPEAKER_00]: You didn't do it right the first time. [SPEAKER_00]: So we're going to dismiss it with prejudice. [SPEAKER_00]: So you can never serve them. [SPEAKER_00]: It doesn't matter what they've done wrong. [SPEAKER_00]: Even if everything you alleged is true, you can never bring these allegations again against these individuals.

[SPEAKER_00]: And they did the same thing with the U.S. government. [SPEAKER_00]: But the main reason they dismissed my case against the U.S. government, and against OSIF, was they said sovereign immunity. [SPEAKER_00]: Hey, it doesn't matter, even if everything you're saying is true, even if the government did all these bad things, you can't sue them because they have sovereign immunity. [SPEAKER_00]: Now, it's not true. [SPEAKER_00]: There isn't blank and sovereign immunity.

[SPEAKER_00]: I mean, we had reasons. [SPEAKER_00]: But what are the things I pointed out to the judge? [SPEAKER_00]: I was suing to repair the damage done to my reputation. [SPEAKER_00]: I was suing for justice for the truth to come out. [SPEAKER_00]: I wanted to redeem myself. [SPEAKER_00]: I wanted this criminal conduct of government agents exposed. [SPEAKER_00]: And so I was using the lawsuit. [SPEAKER_00]: as a way of exposing this, to get discovery, to take depositions.

[SPEAKER_00]: I didn't care if I actually won any money. [SPEAKER_00]: Yes, I sued for money, but I sued for more than money. [SPEAKER_00]: And so what the court could have done is allowed the case. [SPEAKER_00]: And I [SPEAKER_00]: could have won my lawsuit and then they could have said, oh, yes, we lost, shift one, but we don't have to pay. [SPEAKER_00]: To sovereign immunity is just about having to write a check. [SPEAKER_00]: It's not about being held accountable.

[SPEAKER_00]: I can still use the courts to clear my name.

[SPEAKER_00]: right to show that the bank did nothing wrong that it was a it was a criminal conspiracy among governments even if I can't get the images because these criminals have sovereign immunity you still can't keep me out of court but not only did they throw it out of court on that but they said that these agents um... it's dismissed without prejudice you can never sue these agents again no matter what and part of the problem was and they also said

[SPEAKER_00]: that I, that I included some FOIA evidence because at one point, the judge said, oh, we're gonna throw out your case because it wasn't specific enough because you didn't have this that and the other thing. [SPEAKER_00]: And my lawyers said, look, we don't need to have all that stuff at the pleading stage. [SPEAKER_00]: We don't have to provide all the evidence to win the case at the pleading.

[SPEAKER_00]: But despite that, we included all this extra evidence that they said was missing. [SPEAKER_00]: And then the judge said, oh, I didn't even include that extra evidence because you didn't submit it initially. [SPEAKER_00]: Well, I couldn't have submitted it initially, because I didn't even have it. [SPEAKER_00]: Because the government didn't even produce it, [SPEAKER_00]: until later, because of my foyer requests, which brings me to my second lawsuit.

[SPEAKER_00]: So it's not all bad news. [SPEAKER_00]: Oh, and by the way, I am going to appeal this ruling. [SPEAKER_00]: Now, this is the first thing I have to do is submit a motion for reconsideration. [SPEAKER_00]: And I'm sure it will be denied because I'm submitting it to the same judge, the same corrupt federal judge here in Puerto Rico, who I'm sure is corrupt, like just about everybody else here in Puerto Rico.

[SPEAKER_00]: But anyway, but I'll get to appeal it, you know, I forget what circuit will hear it, but I might have a better shot, you know, with appeal judges, because this, you know, this is ridiculous what this, this, uh, a lower court judge, a ruled. [SPEAKER_00]: And in fact, he even said that some of the dismissals with prejudice were the result of leading economies, like just to streamline the process, like, hey, let's just dismiss everybody with, I mean, it's just pure nonsense.

[SPEAKER_00]: But my other lawsuit that I filed even earlier, I filed this one like two years ago. [SPEAKER_00]: Over two years ago, is my foil lawsuit against the IRS. [SPEAKER_00]: So immediately after. [SPEAKER_00]: The, the OSF sees my bank and they had this press conference and the IRS was there and, you know, implying my bank was guilty of all the crimes they knew it didn't commit. [SPEAKER_00]: I immediately started putting in FOIA requests to the government freedom of information.

[SPEAKER_00]: I wanted documents, emails, conversations. [SPEAKER_00]: I wanted to know like how this whole press conference was orchestrated. [SPEAKER_00]: you know, why it happened, you know, because the the ocean commissioner was all in favor of me selling the bank and had blessed the sale.

[SPEAKER_00]: And then abruptly just without any warning, just did it about face and through the bank into receivership and issued a cease of the system, all irregular, all without warning, all unprecedented. [SPEAKER_00]: And I'm like, well, why did this happen? [SPEAKER_00]: It's not just a random thing. [SPEAKER_00]: violated the foil laws, and they didn't produce the documents that I needed. [SPEAKER_00]: Now they produce some, but almost all of what they provided was redacted.

[SPEAKER_00]: So I couldn't actually read it. [SPEAKER_00]: So they gave me hundreds and hundreds of pages of information that they claimed was responsive to my FOIA request. [SPEAKER_00]: But then they redacted it so I couldn't read any of it. [SPEAKER_00]: And all this is up on nine fraud. [SPEAKER_00]: If you go up there and you read FOIA evidence, new FOIA evidence, I got about four separate productions. [SPEAKER_00]: And it's almost all redacted.

[SPEAKER_00]: but the little bit of stuff they didn't redact had smoking guns where I found out that four months before the bank was shut down the IRS was conspiring with OSF to shut it down they had planned it in advance. [SPEAKER_00]: They were coordinating it with Australia, with the UK. [SPEAKER_00]: It was a big media campaign. [SPEAKER_00]: They were really excited to try to frame my bank to take credit for shutting it down [SPEAKER_00]: the J5.

[SPEAKER_00]: So I got enough information to really prove my case. [SPEAKER_00]: And in fact, it was the initial foyer production that I got in April of 2024. [SPEAKER_00]: That was the reason I even filed my case because I had no evidence. [SPEAKER_00]: I just had a hunch. [SPEAKER_00]: And my lawyer said, like, you can't file a lawsuit based on a hunch. [SPEAKER_00]: You need to have some proof. [SPEAKER_00]: And I finally got some proof. [SPEAKER_00]: in April of 2024.

[SPEAKER_00]: So I filed months later, you know, took some time to get the lawyer on Bob, you know, filed to file everything.

[SPEAKER_00]: But I acted relatively quickly. [SPEAKER_00]: And part of the objections, of course, they tried to claim I waited too long because the statute of limitations was a year. [SPEAKER_00]: And I waited like two years. [SPEAKER_00]: Well, I would have filed a lot sooner, had they honestly answered my FOIA requests initially. [SPEAKER_00]: It took forever to get the original response.

[SPEAKER_00]: But so much [SPEAKER_00]: Then I had other foyer requests where the government just said, look, it's this is so broad. [SPEAKER_00]: We're not even going to look for the stuff. [SPEAKER_00]: And I say, it's not broad. [SPEAKER_00]: I'm very specific in what I want. [SPEAKER_00]: How can you tell me it's too broad? [SPEAKER_00]: And they say, well, tough. [SPEAKER_00]: So normally, [SPEAKER_00]: People will go away.

[SPEAKER_00]: When the IRS, the government, when you ask for information, they say, sorry, you can't have it or they redact it all, most people will go away. [SPEAKER_00]: Not me. [SPEAKER_00]: I hired a lawyer. [SPEAKER_00]: I paid them, though, whatever I'm in, 100,000, 200, I don't know. [SPEAKER_00]: I mean, I'm bending so much money on lawyers now. [SPEAKER_00]: It's like, it's like, it doesn't even matter. [SPEAKER_00]: I'm like the government with deficit spending.

[SPEAKER_00]: I just spend it on these lawyers. [SPEAKER_00]: Anyway, [SPEAKER_00]: So I have a lawyer and I sue him and I finally got the results today about about two hours ago. [SPEAKER_00]: You could see where. [SPEAKER_00]: Maybe it was a little more. [SPEAKER_00]: I was posting it on X. I finally got to the decision and the judge ruled in my favor. [SPEAKER_00]: The judge said, shift is right.

[SPEAKER_00]: that the government's exceptions don't apply, which is what I said, they were using exceptions to redact material that did not apply to the material that I was asking for. [SPEAKER_00]: The government was lying. [SPEAKER_00]: They were just making up exemptions because they didn't want me to see what they were adapted.

[SPEAKER_00]: Now. [SPEAKER_00]: From my perspective, if what I did see was that bad, I can only imagine how much worse the stuff that they didn't want me to see was. [SPEAKER_00]: I mean, worse from their perspective, great from my perspective. [SPEAKER_00]: I think it's going to expose even more illegal activity at the very top of the IRS, the Australian ATO, HMRC in the UK. [SPEAKER_00]: So the judge says, no, you got to supply shift with all these pages of information without the redactions.

[SPEAKER_00]: The IRS has now been ordered to do this. [SPEAKER_00]: Hundreds and hundreds of pages that I couldn't see, I'll be able to see. [SPEAKER_00]: In addition, I had another FOIA request where the government said it was too broad. [SPEAKER_00]: And the judge said, no, it wasn't. [SPEAKER_00]: He was very specific, go get on what he asked for. [SPEAKER_00]: So I won there, too.

[SPEAKER_00]: So the government has to supply all the material that they were adapted to me in a way that I can read it. [SPEAKER_00]: And they got to go get a whole bunch of extra material and provide that to me, too, without redacting it. [SPEAKER_00]: So this is going to be huge. [SPEAKER_00]: Unfortunately, [SPEAKER_00]: I might not be able to sue anybody because all the people I would be suing have now been dismissed with prejudice.

[SPEAKER_00]: So even if I find more evidence of crimes that they committed, they're off the hook. [SPEAKER_00]: That's the ironic part about it. [SPEAKER_00]: One of the reasons I wanted this information was to use it in my lawsuit. [SPEAKER_00]: Now if I get it, I got nobody to sue because they've all been released. [SPEAKER_00]: with prejudice. [SPEAKER_00]: But at least I can put it out there. [SPEAKER_00]: Now, they're not released from criminal prosecution.

[SPEAKER_00]: If I have more evidence of IRS agents committing crimes, hopefully the justice department will go after them. [SPEAKER_00]: Now, [SPEAKER_00]: So far, they don't even want to investigate it, but if I already do the entire investigation for them, if I hand them the evidence on a silver platter of this massive abuse of power and obstruction of justice at the highest ranks of the IRS, are they going to do nothing about it?

[SPEAKER_00]: So I'm going to get this information in less the government appeals it, which is a risk here. [SPEAKER_00]: The IRS may be so worried about this information being made public because it's so damaging. [SPEAKER_00]: that they're going to have to appeal this and then they're going to have to get to the appellate court and they're going to have to say, look guys, you got to reverse this.

[SPEAKER_00]: You cannot uphold this because if we have to provide shift with this information, a lot of high up people in the government are going down. [SPEAKER_00]: So you judges, you need to protect corrupt government officials, government officials who break the law, you have to make sure that the public doesn't realize they broke the law. [SPEAKER_00]: Now, of course, that's the opposite of why we have courts. [SPEAKER_00]: Courts are supposed to protect the people from government.

[SPEAKER_00]: The courts are supposed to hold the government accountable because they're not above the law. [SPEAKER_00]: Who holds the government accountable the legal system, the courts, that's the checks and balances.

[SPEAKER_00]: but what's happened in America and certainly with the federal judge in Puerto Rico that dismissed my valid civil rights lawsuit where I could actually prove my case and in fact one of the ironies of the whole thing and I posted this on nine fraud so if you go to my website nine fraud dot com I posted this judges uh... opinion [SPEAKER_00]: in the in this case in the FOIA case. [SPEAKER_00]: I haven't posted the opinion jet. [SPEAKER_00]: I don't think in my civil rights case.

[SPEAKER_00]: I got to get that stuff up there. [SPEAKER_00]: I don't think I posted that yet. [SPEAKER_00]: There was just four separate rulings that we're working on the appeal now. [SPEAKER_00]: But I posted the entire thing. [SPEAKER_00]: So it's the last, it's the most recent exhibit on nine fraud. [SPEAKER_00]: But the very first line, [SPEAKER_00]: in the opinion. [SPEAKER_00]: The judge says, Peter Schiff found it a bank.

[SPEAKER_00]: That bank was shut down by a group of international countries because of suspicion of tax evasion. [SPEAKER_00]: So in other words, the judge bought the entire PR stunt, too. [SPEAKER_00]: The judge believes that my bank was shut down because of tax evasion. [SPEAKER_00]: When there was no tax evasion at all, they admitted that. [SPEAKER_00]: They couldn't indict anybody for that. [SPEAKER_00]: They tried for two years.

[SPEAKER_00]: The OST of Commissioners said that there was no evidence at the bank. [SPEAKER_00]: I helped customers evade taxes or laundry money, yet the judge recognized that that's why my bank was shut down. [SPEAKER_00]: But also what was interesting, he didn't write that my bank was shut down because it was guilty of tax evasion. [SPEAKER_00]: He wrote my bank was shut down because of suspicions of tax evasion, wait a minute. [SPEAKER_00]: a suspicion. [SPEAKER_00]: That's all they had.

[SPEAKER_00]: They shut my bank down because they suspected. [SPEAKER_00]: I mean, that's like, say, yeah, we executed this guy because we suspected he committed murder. [SPEAKER_00]: What did you skip, like, the trial, all the evidence, all the findings of guilt. [SPEAKER_00]: How do you carry out the punishment? [SPEAKER_00]: Simply because you have a suspicion.

[SPEAKER_00]: right well what what if you're wrong i mean just because you suspect something doesn't mean it's true i mean hey we have a hunch okay go out and follow up on that prove it he didn't say they shut down my bank because it was guilty or it facilitated or it was found to have committed tax evasion he said my bank was shut down because they suspected

[SPEAKER_00]: And in fact, it's even worse with my bank because by the time they shut my bank down, they no longer suspected it did anything wrong. [SPEAKER_00]: They knew for a fact it did not. [SPEAKER_00]: I will give them the benefit of the doubt that when they started the investigation of my bank and it actually started in the Netherlands in 2018, it eventually moved to the U.S. [SPEAKER_00]: in a criminal grand jury in Sacramento in 2020.

[SPEAKER_00]: So I will give the government to benefit the doubt that before the investigation started they suspected something might be going on. [SPEAKER_00]: Now what did they base that on? [SPEAKER_00]: Who the hell knows? [SPEAKER_00]: I think they just base it on me, Peter Schiff. [SPEAKER_00]: He must be doing something wrong. [SPEAKER_00]: He doesn't like government. [SPEAKER_00]: He doesn't like taxes. [SPEAKER_00]: He doesn't like all these regulations.

[SPEAKER_00]: So he must be violating them. [SPEAKER_00]: He must be doing all this bad stuff. [SPEAKER_00]: And look, he's Erwin Schiff's son, right? [SPEAKER_00]: How could he not be a criminal? [SPEAKER_00]: Because his father was a criminal. [SPEAKER_00]: So he must be a criminal. [SPEAKER_00]: Because the sins of the fathers, while we should always visit them on the sons, right? [SPEAKER_00]: That was their perspective. [SPEAKER_00]: I'll give them the benefit of that doubt.

[SPEAKER_00]: For whatever reason, they thought that maybe I was doing something wrong. [SPEAKER_00]: But by the time they actually shut my bank down, four years after they started investigating it, more than two years after the grand jury convened and they found no evidence whatsoever that we did anything wrong and I gave them hundreds of thousands of documents on thousands [SPEAKER_00]: of customers, they interviewed bank employees. [SPEAKER_00]: This was a huge investigation.

[SPEAKER_00]: Cost me the bank spent over a million dollars complying with all their requests. [SPEAKER_00]: So this was a thriller and investigation that you can have. [SPEAKER_00]: And not just one country. [SPEAKER_00]: It's investigated by Australia. [SPEAKER_00]: Investigated by... [SPEAKER_00]: Britain investigated by Canada. [SPEAKER_00]: All these countries investigated my bank. [SPEAKER_00]: Not a single employee was charged.

[SPEAKER_00]: I mean, it's not only it was like, they didn't convict them. [SPEAKER_00]: They didn't even charge them. [SPEAKER_00]: They didn't even find enough information to charge us with a crime. [SPEAKER_00]: Let alone convince the jury that we actually committed it. [SPEAKER_00]: They couldn't even drum up enough evidence to charge anybody. [SPEAKER_00]: Not only were no bank [SPEAKER_00]: None of the customers to date. [SPEAKER_00]: I have not heard.

[SPEAKER_00]: This is, you know, four years after the bank is shut down, six years after the investigation, the criminal investigation, but really going back to 2018. [SPEAKER_00]: So eight years they've investigated my customers of my bank for eight years. [SPEAKER_00]: And to my knowledge, not a single one has been charged. [SPEAKER_00]: Again, not convicted, charged. [SPEAKER_00]: No charges filed against anybody. [SPEAKER_00]: So they know that my bank didn't do anything wrong.

[SPEAKER_00]: Yet they set it down anyway. [SPEAKER_00]: So they didn't shut it down because they suspected it of tax evasion. [SPEAKER_00]: They knew that it didn't help anybody evade taxes. [SPEAKER_00]: They shut it down. [SPEAKER_00]: for a publicity stunt, they shut it down because they needed a win, they needed something to brag about, they needed some trophy, they needed a feather in a cap that had no feathers.

[SPEAKER_00]: And so they took down my bank, they sacrificed me, my constitutional rights, the rights of all of my customers, so they can promote a lie, so they can turn a failed investigation into a fake success. [SPEAKER_00]: So hopefully, [SPEAKER_00]: They don't appeal this thing. [SPEAKER_00]: Hopefully I get the smoking guns that they tried so hard to keep me from seeing. [SPEAKER_00]: Because first the IRS broke the law and then they broke the law again with the coverup.

[SPEAKER_00]: Well, they've been covering up these crimes for years. [SPEAKER_00]: And I finally got a federal judge in DC willing to call them out. [SPEAKER_00]: It's very rare. [SPEAKER_00]: You know, my lawyer was like, you know, he's hardly, he's like, this is going to be great for me. [SPEAKER_00]: I actually sued the IRS in one since that never happens. [SPEAKER_00]: I was like, well, why do you tell me that when I hired you?

[SPEAKER_00]: You know, it's like, but yeah, this is like a first. [SPEAKER_00]: Somebody beat them because they were so wrong. [SPEAKER_00]: This case, and I would beat if I, my civil rights lawsuit that was thrown out. [SPEAKER_00]: If I ever got it to trial, I would win, because I've got all the proof, even without discovery. [SPEAKER_00]: That's how guilty the government is. [SPEAKER_00]: That's how guilty these reporters, and everybody, again, look for yourself.

[SPEAKER_00]: I wish I discussed all this at length on Tucker Carlson, and the whole thing got cut out. [SPEAKER_00]: I had a long discussion I spoke for over a half hour about what happened in my bank, and none of it made it on Tucker's show. [SPEAKER_00]: He said that there was some audio problem and so the whole thing had to get cut out.

[SPEAKER_00]: But I mean, I want to get this out there, but if I can actually get even more evidence of these crimes, so I'm hopeful there, that's the one thing.

[SPEAKER_00]: And that's not a victory just for me, it's for everybody, it's for the American public because we have to hold corrupt government officials accountable because that's where corruption [SPEAKER_00]: is the most damaging, not when people are corrupt in the private sector, when they're corrupt in government, because government has power. [SPEAKER_00]: Private individuals don't. [SPEAKER_00]: And so that's where we need to check it.

[SPEAKER_00]: That's where the courts are the most important to reign in the government, to keep them accountable, to make sure that we're a nation of laws, not a nation of men. [SPEAKER_00]: And so this is a small step in that direction. [SPEAKER_00]: So again, I'll keep everybody updated on the status, but make sure again, check out my9fraud.com. [SPEAKER_00]: It's either 9 and I any or just number 9 fraught. [SPEAKER_00]: I got both URLs.

[SPEAKER_00]: and you can read all this stuff and you know, show your friends about it. [SPEAKER_00]: And in the meantime, again, don't forget buy some gold and silver before we rush up to new highs, before the markets realize that winter lose this war, gold's going higher. [SPEAKER_00]: And the longer it continues, the more bullish it is, the spite how the markets are trading. [SPEAKER_00]: And these gold stocks they are the best buys.

[SPEAKER_00]: they came down dramatically as a result of this. [SPEAKER_00]: All of this is noise. [SPEAKER_00]: Not of this is going to matter to the massive profits. [SPEAKER_00]: These gold mining companies are going to be earning for years and years to come. [SPEAKER_00]: Even though gold prices have come down, there's still $4,500. [SPEAKER_00]: Yes, silver has come down. [SPEAKER_00]: It's $70.

[SPEAKER_00]: These are great prices and these mining companies are going to make a fortune and they're going to make even more money because the market is going to move to new highs. [SPEAKER_00]: And I think before the end of the year, so this is just a very small bump in a long road. [SPEAKER_00]: We've got a long way to go and I think the destination again is going to make the bumpy ride worth it. [SPEAKER_00]: Bye for now.