Tom welcomes Vince Lanci, Professor of MBA Finance, Commodity Portfolio Manager, and Publisher of the GoldFix Substack, discussed his concerns about the global economy and the implications for gold. Lanci noted a significant shift in his tone regarding gold, attributing it to a series of events and conversations that led him to believe China might be accelerating its plans to monetize gold. He highlighted China’s liberalization of gold ownership and the increasing purchases of gold by Chinese banks, indicating a strategic move by China to diversify its reserves and potentially challenge the US dollar’s dominance.

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Lanci also discussed the geopolitical tensions between the US and China, suggesting that China’s patience with the US has worn thin due to Trump’s rhetoric and actions. He mentioned China’s pushback against US policies and its strategic moves, such as aligning with India and other BRICS countries, as signs of a potential economic war. Lanci believes that the US is in a precarious position, unable to withstand a recession due to high stock valuations and the need to rebuild its manufacturing base. He argued that the US is creating a bubble to avoid a recession, which could lead to a significant economic crisis if China decides to escalate its gold strategy.

Lanci also touched on the role of oil in the global economy, noting that the traditional signal of geopolitical tension through oil prices has been broken. He suggested that investors should look at refined products like gasoline and diesel for better indicators of global unrest. Lanci believes that the US is prioritizing inflation over recession, as a recession could lead to a collapse in stock markets and a loss of confidence in the US economy. He advised investors to own a barbell portfolio, with one end focused on stocks and the other on gold and miners, to hedge against potential economic downturns.

Lanci also discussed the potential for stablecoins to play a significant role in the global economy, suggesting that they could be used to absorb excess liquidity and support the US dollar. He believes that stablecoins could be a force in the market, but their success will depend on the anchor tenants that adopt them. Lanci also noted the potential for gold to be revalued, which could instill confidence in the metal and lead to further price increases. He suggested that a revaluation of gold could be bullish for the metal, as it would encourage more companies to hold it and potentially lead to further price increases.

Timestamps:
00:00:00 – Introduction
00:01:15 – Gold Price Surge Concerns
00:02:27 – China BRICS Gold Liberalization
00:04:37 – Trump China Rhetoric Escalation
00:05:43 – US Manufacturing Rebuild Urgency
00:11:13 – Market Panic HQLA Insight
00:13:09 – Gold Tier One Capital
00:14:40 – Unlocking Gold HQLA Value
00:20:40 – China Gold Monetization Plan
00:22:24 – US Recession Vulnerability Analysis
00:25:58 – Oil Prices Geopolitical Signals
00:34:03 – Inflation Over Recession Preference
00:42:49 – Recommended Inflation Hedge Assets
00:57:23 – Stablecoins Debt Absorption Potential
01:04:13 – Silver Price Milestone Significance
01:08:40 – Concluding Thoughts

Guest Links:
Substack: https://vblgoldfix.substack.com/
X: https://x.com/Sorenthek
Zerohedge: https://tinyurl.com/3x72ndfc
LinkedIN: https://www.linkedin.com/in/vincentlanci/
X-Bullion: https://x.com/boobsbullion

Vince Lanci, a seasoned finance professional, has served as Managing Partner at Echobay Partners LLC since 2008. His expertise spans over three decades in metals trading, option analysis, and technology development.

In recent years, Mr. Lanci’s insights have been sought after by industry legends. He was invited to be a resident expert on precious metals and option analysis for Larry Benedict’s Opportunistic Trader project. In 2017, he co-authored a paper on Energy Volatility with Professor Robert Biolsi at the University of Connecticut.

Prior to his current role, from 2004 to 2008, Mr. Lanci served as Co-Head of Metals & Energy Trading for CiS Options LLC. During this tenure, he managed the long-short and volatility arbitrage portfolios for the parent Limited Partnership fund.

From 1993 to 2003, Mr. Lanci was the proprietor of Berard Capital LLC, where he led a team of option marketmakers. His earlier career included stints at Lehman Bros and Cooper Neff from 1987 to 1993, providing him with a solid foundation in finance.

In 2000, Mr. Lanci co-founded Whentech (originally named Upperhand Technologies LLC) with David Wender. As chief architect of the “Pit-Trader” user interface logic, he played a pivotal role in the company’s inception.

Mr. Lanci’s thought leadership extends beyond his professional engagements. He contributes regularly to Zerohedge, BBG, and RTRS. His expertise has also been showcased at Mondo Visione and NYC Mines & Money conferences. A firm believer in level playing fields for investors, he advocates for transparency and fairness in financial markets.