Bitcoin & Stocks Are Going Higher (The Money Printer Is Coming) | Darius Dale

SPEAKER_1 (0:00)

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Darius Dale (0:15)

And so you have this powerful talent for earnings at the same time you're getting, you have this problem that keeps requiring policy intervention in the form of financial oppression or monetary debasement. That is a reason for stocks to be at or near all-time highs, and it's one of the reasons why we think stocks will go to make significant highs from here over the next 12 to 18 months in our view. We don't think this bull market is over.

Anthony Pompliano (0:36)

What would stop it?

Darius Dale (0:37)

What would stop it?

Anthony Pompliano (0:38)

What's going on guys? Today we get a great conversation with Darius Dale. In this conversation, we talk about the Bessent bluff, the Bessent bazooka. What's going on with interest rates? What's going on at the Fed? What's going on at the treasury? What's going on in the economy? How all of this is tied together and why so many people are upset, yet so many people are getting so rich. All of this is tied together in a way that you probably don't understand, but if you listen to this conversation, you will. Here's my latest conversation with Darius Dale.

All right, Darius, I want to talk about the Bessent bluff.

You like that, huh? You like that, no one used that one yet. Is he bluffing or is he got the goods? Can he intervene in the market and get everyone back on sides or is it just a bluff?

Darius Dale (1:18)

I apologize in advance, Scott.

Anthony Pompliano (1:22)

You didn't think that was coming, huh?

Darius Dale (1:23)

No, no, no, look, you know, I'm here to speak my mind and say what the data lead me to tell people. And ultimately, I think your characterization is partially accurate. I don't think it's fully accurate because I do believe we're in a fiscal dominance regime and ultimately, if the bluff fails, then he's got backup. And we know what backup looks like. It can either take the form of an expansion of reserve management purchases by the Federal Reserve. We could see, we're going to see, in our opinion, a substantial degree of relaxation of bank regulation that will create the balance sheet capacity for them to address this kind of supply-demand balance in the Treasury bond market.

And if that's not the preferred path or if that bank deregulation process takes too long, you could actually see the Fed come out. You could see Bessent sort of direct the Fed to come out and essentially say, hey, look, we need to get the cap yields at a certain level in order to achieve our, they'll make it up. They make it all this stuff up the whole time, by the way. They'll make up, this is what we need to do to achieve our price stability mandate or our labor mandate or our moderate long-term interest rate mandate, which by the way, that's the Fed's third congressionally stated mandate that no one ever talks about.

Anthony Pompliano (2:31)

So there's the Bessent bluff, but I think it's backed up by the Bessent bazooka.

Darius Dale (2:38)

What's the bazooka?

Anthony Pompliano (2:39)

That he has unlimited firepower.

Darius Dale (2:41)

This man brought a butter knife to a gunfight. What are you talking about? Six billion dollars of buybacks?

Anthony Pompliano (2:46)

Yeah, because all he's doing, he's just testing. He's like, I think of it kind of, people think of the US government as like America's army in a war. And what we learned over the last 25 years, one, we shouldn't be in foreign wars, another topic, but is the insurgents, they understand something that America had a hard time learning for a while. What they used to do is, let's say that there's a base somewhere in the Middle East. They would test. So maybe they send one guy over, he takes a couple shots, runs away.

How'd they react? What'd they do? Did they all of a sudden get up and go full security? Did they send someone after them? What weapons did they have? What vehicles? How many people?

Next day, somebody else from a different angle. And they just kept kind of prodding and prodding and prod, and then they would learn. And then they would start to understand who they were up against. And as Americans, we knew what they were doing. It's not, you know, you're not that stupid. You're like, all right, that guy just shot at me. That guy's got a camera.