How To Play The Breakout In Gold & Silver | Andy Schectman

**Adam Taggart** (0:01)
And we should be live. Welcome to Thoughtful Money. I'm Thoughtful Money Founder and your host, Adam Taggart, welcoming you back for another week, sorry, monthly session with precious metals expert, Andy Schectman of Miles Franklin. He's here with me. Hey, Andy, how are you doing?

**Andy Schectman** (0:17)
Great, Adam.

**Adam Taggart** (0:18)
Thanks.

**Andy Schectman** (0:18)
Thanks for having me, buddy.

**Adam Taggart** (0:20)
Hey, look, not only do I just enjoy doing these monthly segments with you, Andy, but the feedback from the audience has been great. And actually, people have been clamoring to have you back on sooner than your normal monthly cadence, but we couldn't make that happen. So I'm glad we're finally making it now on the, I think it's been pretty much exactly a month since your last opinion. But the performance of the precious metals has been now in full breakout mode. So as you can imagine, lots of people curious to hear, what does Andy think about this? So I titled this video, how to play the breakout. And I'm curious, Andy, one, just your general thoughts. I mean, I think if I had told you at the beginning of this year, how much gold and silver would be up by September, I mean, I imagine you could have thought, yeah, that's in the realm of the possibility, but I think the realm of the possible. But I think you would have said, I'd be shocked if the year was that good. And so, you know, every day now, it's sort of like Christmas for gold, new record high, new record high, new record high, silver futures on the day we're talking here are over $43 an ounce. Finally, it's just a bonanza year for precious metals owners. So I guess, Andy, you know, is this what you've been waiting for, for much of your career? And how would you play it now, especially given how far the metals have moved so far this year?

**Andy Schectman** (1:50)
You know, I, as far as I'm concerned, we haven't really seen anything yet. I know that is hard for a lot of people to believe because the public is told that gold is risky, especially at these levels. But this is happening even as the central banks and the big money hoarded as a tier one asset. And look, when I'll break it down as simple as this, and we can get into the minutiae. But when the guys running the printing presses are the biggest buyers of gold and silver, this isn't speculation, but a signal. And more than that, and maybe what really I think pushes me over the edge here is that when the smartest institutional money here in the United States flips from net sellers to net buyers, you better pay attention. The United States has been a net exporter of gold for as long as I've been doing this for almost 36 years, and all of a sudden, we're the largest importer of gold in the world. And the bottom line is you shouldn't trust the government data to guide your moves in precious metals. Their incentives are to mislead you, not to protect you. That is incredibly true. But there is a million reasons in both gold and silver why I would argue this is just beginning. And I'm happy to go through every single one of them as we go through this. I honestly believe this is just beginning. And I know that sounds hard to believe.
But no, I think, yes, the performance has been spectacular. Both gold and silver approaching 40% for the year, the dollar down 11%.
What's more startling to me above all else is that you're getting nothing from the mainstream talking about this. And that to me should be a guide to people saying, well, jeez, if it's performing that well. In fact, you know, just one comment on that. You take a look at the S&P 500 as an example, which has had a massive run, one of the biggest runs ever in the history of the market. And this comes in at the, you know, in light of the greatest tech boom since the internet. And yet gold and silver have outperformed the rise in the S&P by a fourfold increase in the last six months. So while the S&P is up like 1600 points, it's only a 9% gain. You're up 37% year to date, four times that of the S&P's return. This is the strongest rally in decades for the S&P, and yet gold's up nearly four times the return of the S&P. And what's crazier to me, you know, amidst this massive AI boom, biggest tech story ever, you know, the markets may be celebrating AI, but gold is telling a different story where the confidence and the capital are actually moving at them. And I say, you know, where's journalistic integrity? You would think that gold reclassified tier one, massive inflows into the United States, becoming net importers four times the performance of the S&P over the last really five, six months. Since 2023, gold's up 100%. The S&P's up 67%. And where is, why isn't the media screaming about this? Why isn't the media saying, oh, by the way, silver is really beating everything this year, including Bitcoin. And by the way, the US government just reclassified it a strategic mineral. What? The US government just put a floor under the price of silver for y'all. And if you don't understand that, then I think that this nonsense of it being too expensive and being too risky is exactly the narrative that the big money who is wickedly accumulating it wants us all to believe. Yeah, we haven't seen anything yet, in my opinion, Adam.