October 27, 2025 • 28 mins
(October 27,2025)
Drugs, crime, and homeless plague MacArthur Park… can a fence fix it? Tech is a young man’s game! That’s why older people are getting facelifts like never before. Founder of Lear Capitol Kevin DeMerritt joins the show to talk about the rise in gold and silver.
Drugs, crime, and homeless plague MacArthur Park… can a fence fix it? Tech is a young man’s game! That’s why older people are getting facelifts like never before. Founder of Lear Capitol Kevin DeMerritt joins the show to talk about the rise in gold and silver.
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Episode Transcript
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Speaker 1 (00:00):
You're listening to bill Handle on demand from KFI AM
six forty.
Speaker 2 (00:06):
You are listening to the bill handle show.
Speaker 1 (00:10):
Cot cob crok col Coke cro Co cot Crook co Co.
Speaker 3 (00:19):
I am a nice man walking cyclepath talking, King of
majungleistic gangster, stalking, living life back a fire cracker KMFI
AM six forty bill Handle Here. It is a Monday morning,
October twenty seven. World Series Game three tonight, and we'll
see what happens. One to one tied at this point.
(00:40):
And air traffic controllers there's such a shortage that it's
getting shorter er unfortunately, so uh, flying is getting more
and more difficult. Also, the President is in Japan right now,
and it looks like the US or he and President
Jijing Ping the Ping my have looks like they cut
(01:02):
a deal for tariffs, tariff for re Leaf, and it's
not gonna be one hundred percent of TERRFF starting the
first on Chinese goods and the rare earths are now
back on the table to be shipped to the United States,
So it's looking pretty good. Have you ever been to
MacArthur Park in downtown La Kano is shaking his head. No, Well,
let me tell you what's fun about MacArthur Park are
(01:24):
there's more drug activity there than you could possibly imagine
a fun place. And this is a fairly little known secret,
is that more fake green cards are sold at MacArthur
Park than you could ever imagine. Matter of fact, our
housekeeper Maria has had a fake green card for many,
(01:47):
many years. Oh do the authorities listen to this show
m okay in the meantime and they're not even green anymore.
You know that green cards. By the way, Maria's citizen.
Just in case you want to know, there is more
crime around MacArthur Park than you can imagine. Now, MacArthur
(02:08):
car Park is an interesting place because it does two things.
Number one, it provides homeless people a place to stay
and to live right there on the grass. It also
provides a great place to buy drugs. You have a
large selection of drugs at reasonable prices around MacArthur Park.
(02:28):
And by the way, the cops are there and they
just this just happens right in front of the cops.
You also have street vendors cooking up their aware on
propane stoves, and you have people just selling goods out
of the trunks.
Speaker 2 (02:43):
Of their cars.
Speaker 3 (02:45):
So it's a vibrant place for Spanish speaking and I'm
going to guess many illegal undocumented people. I'm surprised that
MacArthur Park hasn't been swept up in these rates.
Speaker 1 (03:00):
You don't remember the tanks being out there and stuff
like that.
Speaker 2 (03:04):
I remember the demonstrations, but I don't remember coming in.
Speaker 1 (03:08):
They had military vehicles out there and baths showed up
and she was pissed.
Speaker 2 (03:12):
Hmmm, I don't remember that. But okay, I'm surprised you don't.
Speaker 1 (03:15):
Come in there miles from my house.
Speaker 2 (03:17):
Ah, so is that where you got your green card?
Speaker 1 (03:21):
Uh don't speak English.
Speaker 3 (03:23):
Okay, nicely done, by the way. That is about as
racist as you can possibly get.
Speaker 2 (03:27):
Thank you.
Speaker 1 (03:28):
Hey, I'm Mexican. I can do it.
Speaker 2 (03:30):
You get a pass anyway.
Speaker 3 (03:32):
What's happening is they're trying to figure out this is
not only a place for families, and we're talking about
English as the second language families Uh and uh Hispanic
for the most part, Hispanic people and lower socioeconomic levels.
So this has become a central place for them to
hang out, for them to deal with neighbors, et cetera.
(03:54):
I mean, it's just it's sort of town a town
center for these folks. But at the same time there's
a ton of crime. Matter of fact, what's really fun
is every few years when they drain MacArthur, the park,
the lake at MacArthur Park MacArthur Lake, it's wonderful to
see because they're always digging up a few bodies and
(04:15):
it's just great fun to see that. So here's what
the city Council's proposed, a fence all the way around
the park two point three million dollars. A fence that
will theoretically have keep the bad guys out, we'll keep
the good guys in.
Speaker 2 (04:36):
Police will still be there. And there's a.
Speaker 3 (04:38):
Lot of contention here because right now it's accessible to anybody.
And then the people that advocate the fence, they're saying,
we'll have places where people can go in, there'll be gates,
there'll be some kind of control. Businesses have a hard
time doing business around MacArthur Park. I mean, I just
don't get it. Isn't langers right there at MacArthur Park,
(05:00):
right across the street, and I don't. And so it's
an iconic Jewish deli that's been there for a zillion
years and the food is wonderful.
Speaker 1 (05:08):
Number nineteen Straw me, I'm right.
Speaker 2 (05:11):
Yeah, But how do you where do people park? I
haven't been.
Speaker 3 (05:15):
I've been to Langers I think twice in my life,
and I was a teenager at the time. It's been
around that that long. I mean, where do you park?
Where do you walk?
Speaker 2 (05:25):
All right?
Speaker 3 (05:25):
To get to Langers? Are you stepping over homeless people?
Speaker 2 (05:29):
Yeah?
Speaker 1 (05:29):
Pretty much. I passed by MacArthur Park all the time
and it's horrendous. It is an absolute blight, and it's
it's horrible what they've done to it, because it's really
a beautiful place and it's in a really neat location.
But the West Lake District is just horrific.
Speaker 2 (05:50):
And so the fence, you think of that that's going
to help, Neil.
Speaker 1 (05:53):
There are many fenced in parks in Los Angeles and
and I think it will. I mean, do you remember
the temporary fencing they put up at Echo Park. I do,
and that helped a lot. It kept the homeless from
sleeping there. It was controversial to some, but the fact
(06:14):
is it worked, and that was our park for a
long time. We would walk there all the time.
Speaker 3 (06:19):
And here is what's fun about Echo Park and MacArthur Park.
When they dredged the lakes, which lake produces the most
dead bodies.
Speaker 1 (06:29):
I will tell you that absolutely. Echo Park is a
gem in Los Angeles. They have the swan pedal boats.
It's gorgeous there. They just need to keep the riff
raf out.
Speaker 4 (06:44):
Well, that was the park that was completely taken over
a few years ago, remember, and then they put the
Echo Park and then they put the fence all the
way around and they cleared it out and took away
to tons and tons of trash. And like Neil just
said that they're making efforts to keep the park cleared
up out.
Speaker 2 (07:00):
Well, we'll see what happens.
Speaker 3 (07:01):
There's a lot of contention on both sides that they're
going to be taking away a vibrant part of the city.
We'd illegal undocumented people and the street vendors and the.
Speaker 2 (07:14):
Drug dealers, and I kind of like the whole thing.
Speaker 3 (07:17):
It's just a fun place to go visit and whenever
I feel like I want to consider killing myself. Neil,
you definitely need this. Actually, frankly, I need this more
than most people do, and that is facelifts for men.
Facelifts for men should start doing commercials for those. So
(07:40):
where do you think what industry. Would you think what
financial sector would you think the most facelifts men are
getting in what what area?
Speaker 1 (07:54):
You'd think entertainment?
Speaker 2 (07:55):
Nope, nope, nope, it's tech.
Speaker 3 (07:58):
It's actually the high tech financial tech people investors. Why well,
there was a twenty twenty four talk a guy named
Keith robbles Is was asking advice from Peter Thiel, one
of the big big investors in the country. And the
advice he gave them you can't hire anyone over thirty.
(08:21):
So what's happening is guys in tech are spending thousands
of dollars on procedures like many facelifts, necklifts, I let
I lid lifts to basically just look younger. And there
are two reasons why it's these guys. Reason number one
is they've got the money. You know, people involved in
(08:44):
high tech and investment world have the money. For example,
there's a Beverly Hills plastic surgeon, doctor Ben t Lie,
charges one hundred and twenty five to one hundred and
fifty thousand dollars for a face and necklift, and he's
seen demand grow fivefold over the past five years, one
hundred percent a year.
Speaker 2 (09:03):
Can you imagine and there's a doctor.
Speaker 3 (09:07):
Andrew Barnett says his request for facelifts for men in
the tech world have jumped twenty five percent from COVID jewels,
COVID levels eye surgeries themselves, I LID surgeries up fifty percent.
Speaker 2 (09:21):
Now, there's two reasons, I said. Number one, they have
the money.
Speaker 3 (09:25):
The other reason is that a lot of people are
doing remote work. Used to come into the office, right
And if you have.
Speaker 2 (09:35):
The opportunity to do remote remote work.
Speaker 3 (09:38):
For example, let's say you Neil and I or Will
or whoever on the morning show. We all have home studios,
of course, but Neil and I have home studios and
you're on a monitor every day. There are cameras and
I'm looking at all of you and you're all looking
at me on the monitor. Well, I could turn off
the monitor for a couple of weeks. You guys will
(10:00):
be thrilled, thank you very much. But I could get
a facelift and you wouldn't know it until I come
back a couple of weeks later, three weeks later.
Speaker 2 (10:07):
And that's what's going on with these people.
Speaker 3 (10:10):
And so those are the two big reasons, and it
is so important for men now it's almost pass that
men get facelifts as much as women do. Have I
considered facelift? Well, yeah, yeah, if you think about it,
if you look at me, and this is hereditary my day.
(10:31):
I gave this to me, and I have this very
large wattle under my neck. I have a sort of
a turkey wattle which I read. Yeah, I know, well,
I paint red. I painted red every Thanksgiving, just to
make sure that no one notices it. The point is
(10:53):
what people say, is it used to be you look refreshed,
you look something about you, you look younger. Now it's
not a bad facelift. Now it is so common that
people just look at you. You go facelift. How much
did you pay for that?
Speaker 1 (11:13):
Sylvester Stallone, I don't know if he's had a face
lift or not, but man, it looks odd. I don't.
Speaker 3 (11:19):
Well, that's what facelifts, that's what that's that's the difference
between a good surgeon and not so good surgeon or
someone who uh.
Speaker 2 (11:29):
And we see this in women not so much.
Speaker 3 (11:31):
And man, although I have tell you there are people
out there David Copperfield.
Speaker 2 (11:37):
Have you seen him?
Speaker 5 (11:38):
Oh?
Speaker 1 (11:39):
Seriously, I have not.
Speaker 3 (11:40):
Oh, man, take a look at a picture of David Copperfield.
Speaker 1 (11:43):
If it looks like someone's pulling silly putty over their knee, like.
Speaker 2 (11:48):
Yeah, it's you could.
Speaker 3 (11:49):
It's unfortunately you can tell that stretched out look, and
it is you just get old. Just get old, relax.
You know you're who you are. Your eyelids get puffy,
so be it, and so your face drools a little bit,
it goes down a little bit. So it's not you
know what, it's not bad to look like a sharpei.
(12:11):
It is okay in life. It is natural to have
your like a beagle. You know, you have the jowls
that just drop down, and that's who we are, and
you have to have this artificial young look. That's Derey Gore. Now,
especially in the world of tech, because somehow, well maybe
(12:32):
it's because twelve year olds are now billionaires when they
form these these new tech companies. It used to be
you'd be in your fifties or sixties before you become
a billionaire.
Speaker 2 (12:42):
Now you do it before your teenage years.
Speaker 3 (12:45):
So maybe that's the reason people want to look that
much younger.
Speaker 2 (12:51):
Now I'm okay with the looking older. I don't care.
I don't care.
Speaker 3 (12:55):
Neil, you have to be okay, with it because you
have no choice.
Speaker 1 (12:59):
Well, I don't care. I'd like to be thinner, but
I don't care about you know, I'm already married. I
just she loves me for who I am.
Speaker 2 (13:10):
Wow.
Speaker 3 (13:12):
Yeah, you beauty and you're beautiful on your planet, I know.
Speaker 1 (13:17):
Yeah on the inside.
Speaker 5 (13:20):
You know.
Speaker 3 (13:21):
You know, my mother used to say when I when
I was single, my mother was desperate to have me
connect with someone because I didn't get married until.
Speaker 2 (13:27):
I was in my thirties.
Speaker 3 (13:29):
And my mother always uh hooked me up with someone.
Always have a friend of hers who had who had
a daughter, and she was a bill. I want you
to beat whatever, you know, my friend's daughter. And she
would say, and she has a beautiful face. Okay, there
(13:49):
it is what.
Speaker 1 (13:53):
I'm a face guy.
Speaker 3 (13:54):
Yeah, you know, you know, I don't mind three hundred
but I do mind three hundred pounds on top of
me having seen so that's all going to happen.
Speaker 1 (14:05):
NA bodies changed, But a face there's something about it
that even if it grows old, that it still has
its character. And I'm a face guy.
Speaker 3 (14:14):
Okay, we're done, like you're screwed completely, We're done.
Speaker 2 (14:18):
We're done. Finished. Now I have talked a whole lot
about gold.
Speaker 3 (14:23):
As you know, I do commercials for Lear Gold, and
what I want to do is introduce to you Kevin Demert,
who is a founder of Lear Capital.
Speaker 2 (14:31):
Now quick disclaimer here, all.
Speaker 3 (14:33):
Right, I do commercials for them, so know that before
I start the interview, and this will not be a commercial.
I'm bringing Kevin aboard because of his knowledge, vast knowledge
of the gold market.
Speaker 2 (14:49):
He's been doing this for.
Speaker 3 (14:50):
Decades and I have a lot of questions to ask
about what is going on with gold right now.
Speaker 2 (14:57):
So Kevin, thanks for joining us. Always appreciate.
Speaker 5 (15:01):
Eric, thanks for having me. Bill.
Speaker 2 (15:03):
Oh sure, okay.
Speaker 3 (15:04):
Question number one about gold, and that is stocks go down,
gold goes up. Stocks are in the stratosphere. Gold is
in the stratosphere.
Speaker 2 (15:16):
What is going on?
Speaker 6 (15:19):
Well, that's a that's a great question. And you know,
it used to be true that the gold market would offset,
you know, what the stock market was doing. So if
the stock market was following, gold would be going the
other way. And that was decades ago. But we're in
a completely different cycle right now. The stock market might
look strong on the surface, but under the hood, there's
record debt from the government side, there's a little bit
(15:41):
of consumer stress, there's geopolitical tensions, and I think it
kind of looks a little bit like a bubble we
saw back in you know, two thousand with dot coms
from the AI side. So today, I don't think gold's
reacting to just recession or booms. It's reacting to uncertainty
and risk of market over valuations, record government money printing,
and a dollar that's really been under pressure and falling
(16:01):
since two thousand. It's down about twenty seven percent. So
even when the economy looks good, investors are still hedging
and gold is reflecting that reality.
Speaker 3 (16:10):
No, when you talk about the economy and looking at realistically,
if the galler is down twenty seven percent over the
past few years, that tells us that there are big holes,
or at least there's a lot of softness in the economy.
I'm looking at the stock market numbers right now. The
doll is up two hundred and fifty points, is hitting
(16:33):
another record, and yet at the same time gold is
doing great. Are people just are they throwing away the
old formula where it just doesn't exist the way it
used to.
Speaker 6 (16:46):
Well, I don't know if they're throwing away the formula.
I think they're just more aware of what the formula is.
You know, back in two thousand when you had the
dot com crash, you know, people are just writing business
plans on the backs of napkins, and then you know
there's a stock worth a billion dollars. This time around,
there being a little bit more conservative saying, hey, yes,
the AI is probably more productive and going to be
(17:09):
like the Internet over the next five or six years.
But it still looks over valued. If you look at
all the metrics, even the Warren Buffett indicator, it's at
record highs that we haven't.
Speaker 5 (17:19):
Seen in the past, you.
Speaker 6 (17:20):
Know, forty years or all the way back to nineteen
twenty nine again, So I think there's nervousness on that part.
Then there's nervousness on the dollar part, because you know,
our desinitit just our debt just hit thirty eight thirty
seven trillion dollars. So there's a lot of things happening
in the market, and I think gold's just reflecting the
(17:40):
uncertainty that those things are creating a potential market correction
and you know, possibly the dollar not being the world's
reserve currency over the next ten years.
Speaker 3 (17:51):
All right, So let me ask you about gold because
I've talked to people that hold a lot of gold.
I hold some, and it's been a great investment for me.
I don't have a problem with that. But when I
think about it, what is gold actually good for?
Speaker 1 (18:04):
Right?
Speaker 2 (18:05):
Silver there is a very practical use.
Speaker 3 (18:08):
Silver is for batteries, silver is for the evs, it's
using communication gold other than putting gold foil on satellites.
So I mean, what is it actually used for that's practical?
Speaker 6 (18:25):
Well, it's really real money. So you know, that would
be like saying, what's bitcoin, you know, used for? It's
it's it's something that holds its value. So right now, gold,
in my personal opinion, isn't just telling, isn't just high.
It's telling a story. So right now, investors all over
the world, they're nervous. Inflations been sticky. Government debt, like
I said, has been skyrocketing. Central banks outside the United
(18:47):
States dates have been buying record amounts of gold. Why
because they want something real, something that doesn't rely on
political promises or digital numbers on the stream, and something
that they're holding that isn't falling twenty seven percent since
two thousand. So if you're holding you know, government treasuries
ten your treasuries, what are you.
Speaker 1 (19:07):
Making four percent?
Speaker 6 (19:08):
Well, the value of the dollars down twenty seven, you're
actually holding that paper money and losing money. So those
central banks have been selling off treasuries and buying gold.
So when you see gold hitting new highs, it's not random,
it's confidence leaving paper assets and moving into something more tangible.
Speaker 3 (19:23):
All right, Well, gold used to be well, currencies used
to be predicated on gold. In other words, the US reserves,
for example, were gold reserves. Money was backed up by
gold that disappeared what one hundred years ago or fifty
years ago? So why do we need gold when, for example,
our dollar is not based on gold, it's not passed
(19:45):
by gold.
Speaker 2 (19:45):
It's based on the faith and credit of the United States.
Speaker 3 (19:48):
So here again I'm asking what it seems ephemeral to
me that gold has that much value.
Speaker 6 (19:57):
Well, when you think about why they had gold the dollar,
it was because they couldn't print the dollar without buying
more gold. So a few back ten percent of the dollar.
Let's say, and you wanted to print up a billion dollars,
you had to put one hundred million. You had to
go out and buy one hundred million dollars worth of gold.
The reason Bill that they wanted to take us off
of that was because they didn't want to buy the gold.
They want to print money willy nilly. And if they're
(20:20):
going to do that every time they do it, the
dollar that you're actually holding this backed by the full
faith and credit of the United States Government, is worth less.
So here we are in two thousand and eight. You
had a crash in the market, the Great Recession, and
we had eight trillion dollars worth of government debt. We're
at thirty seven trillion dollars the value of gold, reflecting
(20:43):
the crash in the value of the dollar because they
printed up paper money. So you need something to offset
all of that money printing, and that's what gold does.
Speaker 2 (20:51):
All right.
Speaker 3 (20:51):
Kevin Demerit, founder of Layer Capital. Quick disclaimer, I do
commercials for Layer Capital, so I want you to know that,
and I do not view this as a commercial for Lear,
nor does Kevin. We're bringing Kevin aboard simply because it
is expertise, nationally known figure in the world of gold.
Speaker 2 (21:11):
Big time.
Speaker 3 (21:12):
All right, Kevin, let's talk about gold itself. What is
it about gold that makes it so valuable? There are
other minerals, and there are the things that traditionally people
could have said, Yeah, that's valuable, but gold is more.
What is it about gold itself that gives it its value?
Speaker 5 (21:33):
Yeah, I think there's three things.
Speaker 6 (21:34):
Number one, it costs something to pull it out of
the ground, so that gives it some value. Number Two,
it's been used as money for over five thousand years,
so it's very well known. And number three, it's divisible,
meaning that I can take an ounce of gold and
turn it into a tenth of an ounce of gold,
and you can barter with that. So I think those
are the things that are most important, and the most
(21:55):
important about all of them is that it has a
limited supply. So when you think about bitcoin, that's the
one everybody knows because it has that limited supply. When
people put more demand on a fixed supply, the prices
are going to go up. So unlike the government printing money,
if they had a fixed supply of money and it
can only grow at three or five percent a year,
(22:15):
we'd have a much stronger dollar.
Speaker 5 (22:17):
Yeah.
Speaker 3 (22:17):
I've always wondered about that because at least gold you
can point to and touch, where bitcoin you can't, and
even dollar bills it's only paper, which you can do
anything with gold.
Speaker 2 (22:33):
That seems to be very different.
Speaker 3 (22:35):
But there's a historical aspect to gold that I've always
fascinated me.
Speaker 2 (22:40):
And why does it go up and down in value?
Speaker 3 (22:44):
There have been times I remember what I don't know,
a few decades ago, for twenty five years, gold didn't
go up, and then all of a sudden it comes
back and it explodes. So give us a little bit
of history of what gold has done here in this
country of the last hundred years.
Speaker 6 (23:00):
Let's say finds that you're talking about, Usually you're going
to have inflation, which means they're printing too much money.
I mean, the definition of inflation is too much money
chasing too few good So usually at the governments around
the world printing money.
Speaker 5 (23:12):
At a pace that's faster than.
Speaker 1 (23:14):
The economy is growing.
Speaker 6 (23:15):
So if the economy is growing at three percent and
you're printing money at seven percent, at some point you're
printing up so much money that you're going to add inflation.
You're going to have too much money chasing too few goods.
So if you look back in the eighties or seventies,
really that's when we had the hyperinflation inflation got up
to fifteen percent. This time around, we've gone from a data,
(23:36):
like I said, eight trillion dollars in two thousand and
eight to thirty seven trillion dollars. So you're going to
have a massive move in the gold price because you've
printed up a bunch of money, and some of that
money is going to find its way over to gold
that has the limited supply. You put an increased demand
on a fixed supply, it's going to go.
Speaker 5 (23:53):
Up in price.
Speaker 6 (23:54):
So the easiest way to look at the gold market,
which by the way, has an ninety two percent correlation
with the debt in the United States and ninety two
percent correlation with the value of gold to the debt
in the United States.
Speaker 5 (24:07):
You just look and say do I want to own gold?
Speaker 6 (24:10):
And all you have to believe is the government going
to continue to print money. If you believe it's going
to continue to print money at the pace that it's
been printing money to devalue the dollars that are already
out there, then the value of gold should increase as
the offset of the decrease in the value of the dollar.
It's really that simple. You don't have to be a
rocket scientist to figure out where the price of gold
(24:31):
is going most of the time. In the short term, yes,
in the long term not really.
Speaker 3 (24:35):
So do governments still buy gold? Does the United States
buy gold? Because it used to be gold reserves. We
talk about FOURT Knox, which has I think only in
the hundreds of millions of dollars of gold in it.
Speaker 2 (24:47):
I don't even know the figure. Are we buying gold
and why?
Speaker 6 (24:52):
Well, the US government has the largest reserve of gold
out of any country in the world, and we value
that gold at thirty two dollars an ounce, not anywhere
near the four thousand dollars announced that are trading ad today.
But other central banks around the world like China, Brazil, Russia, India,
a lot of other countries are purchasing gold right now.
Speaker 5 (25:12):
Bills.
Speaker 6 (25:12):
Matter of fact, this is the fourth year that we
had record amounts of gold purchases by central banks around
the world. And you have to remember something about central banks.
They're not day traders. They're not here to buy gold
today and sell it tomorrow. They buy gold and they
hold it for ten, fifteen, twenty years at a time.
So in the past two or three years they've been
purchasing somewhere between a quarter to almost fifty percent of
(25:34):
the entire mining supply that comes out of the ground
in a year. And the last time we saw that
would have been in the early seventies, right before a
lot of inflation happened. So the answer to the question is, yes,
central banks around the world are buying gold at record amounts.
Speaker 2 (25:47):
And does that include the United States?
Speaker 5 (25:51):
It doesn't include the United States.
Speaker 6 (25:53):
We already have, like I said, the world's largest reserve,
and we don't value it correctly.
Speaker 5 (25:58):
If you valued it at the the.
Speaker 6 (26:00):
Value that you're supposed to would be almost a half
a trillion dollars.
Speaker 5 (26:04):
So that give you some sort of an idea of
what our reserves are.
Speaker 6 (26:07):
And if you compare that to the other countries, they
are less than half of that.
Speaker 5 (26:11):
For the next biggest one, all right.
Speaker 2 (26:13):
Why don't we the government sell the goal?
Speaker 3 (26:15):
Then if it's a reserved to prop up the economy
or prop up the dollar, it would never be sold.
Speaker 6 (26:24):
Well, you know, that's a great question, and you should.
We should get the British government on the phone, because
they sold half of their gold reserves in two thousand
when gold was two hundred and fifty five dollars an ounce,
So that was the most idiotic move you could have
done compared to now four thousand. So most of the
time you don't see central banks selling a lot of gold.
They'll sell some here and there if there's war, maybe
(26:46):
Russia solt some and things like that, but for the
most part they kind of hold it very long term,
ten fifteen, twenty years. A matter of fact, in two thousand,
I don't know if you remember this, but I'm such
a big fan of yours in your radio program, and
I asked you if I could be on the program
in two thousand, and you told me, I'm going to
go talk to my friend Jim Kramer and ask him
what he thinks about gold. And Jim came back and said, hey,
(27:07):
I don't know about gold. That's exactly when gold was
two hundred and seventy five dollars an ounce, and here
we are at four thousand. So the gold market has
actually outproduced the stock market sent two thousand. If you
had to put a one hundred thousand dollars investment in gold,
if we worth eight hundred and thirty two thousand, one
hundred thousand dollars investment in this now would be worth
three hundred and fifty thousand, So give you some sort
(27:29):
of an idea.
Speaker 2 (27:30):
Yeah.
Speaker 3 (27:30):
On the other hand, next time I talked to someone
in the bitcoin business when bitcoin first came out, it
was I don't think eight bitcoin for a penny and
no when knew what's going on. I still don't trust
bitcoin because I don't trust crypto. Gold is real. I
mean I can touch it, you know, I can take
(27:52):
my goal. I can use it as a doorstop if
I have enough of it. Don't get bitcoin or crypto.
How do you feel about that in the gold business?
Speaker 5 (28:03):
Yeah, you know, here's the difference.
Speaker 6 (28:04):
I mean, the gold market has a five thousand year
track record and Dick Klain has a you know, twelve
year track record. I'm gonna stick with the one that
has a longer track record, and you know, see what happens,
see what, see what we get.
Speaker 5 (28:14):
In the next and fifteen years there?
Speaker 3 (28:17):
All right, Kevin, thank you for joining us. You gave
us a lot of information we didn't have before. Take
care of yourself. We'll talk again.
Speaker 5 (28:25):
Yeah, thanks for having me on.
Speaker 3 (28:27):
Sure, Kevin Demericu, I knows his stuff. I'll tell you that, man,
you knows gold like very few people do. We're done,
all right, Finish Finney.
Speaker 2 (28:34):
You've been listening to The Bill Handle Show.
Speaker 3 (28:36):
Catch My Show Monday through Friday, six am to nine am,
and anytime on demand on the iHeartRadio app
You're listening to bill Handle on demand from KFI AM
six forty.
Speaker 2 (00:06):
You are listening to the bill handle show.
Speaker 1 (00:10):
Cot cob crok col Coke cro Co cot Crook co Co.
Speaker 3 (00:19):
I am a nice man walking cyclepath talking, King of
majungleistic gangster, stalking, living life back a fire cracker KMFI
AM six forty bill Handle Here. It is a Monday morning,
October twenty seven. World Series Game three tonight, and we'll
see what happens. One to one tied at this point.
(00:40):
And air traffic controllers there's such a shortage that it's
getting shorter er unfortunately, so uh, flying is getting more
and more difficult. Also, the President is in Japan right now,
and it looks like the US or he and President
Jijing Ping the Ping my have looks like they cut
(01:02):
a deal for tariffs, tariff for re Leaf, and it's
not gonna be one hundred percent of TERRFF starting the
first on Chinese goods and the rare earths are now
back on the table to be shipped to the United States,
So it's looking pretty good. Have you ever been to
MacArthur Park in downtown La Kano is shaking his head. No, Well,
let me tell you what's fun about MacArthur Park are
(01:24):
there's more drug activity there than you could possibly imagine
a fun place. And this is a fairly little known secret,
is that more fake green cards are sold at MacArthur
Park than you could ever imagine. Matter of fact, our
housekeeper Maria has had a fake green card for many,
(01:47):
many years. Oh do the authorities listen to this show
m okay in the meantime and they're not even green anymore.
You know that green cards. By the way, Maria's citizen.
Just in case you want to know, there is more
crime around MacArthur Park than you can imagine. Now, MacArthur
(02:08):
car Park is an interesting place because it does two things.
Number one, it provides homeless people a place to stay
and to live right there on the grass. It also
provides a great place to buy drugs. You have a
large selection of drugs at reasonable prices around MacArthur Park.
(02:28):
And by the way, the cops are there and they
just this just happens right in front of the cops.
You also have street vendors cooking up their aware on
propane stoves, and you have people just selling goods out
of the trunks.
Speaker 2 (02:43):
Of their cars.
Speaker 3 (02:45):
So it's a vibrant place for Spanish speaking and I'm
going to guess many illegal undocumented people. I'm surprised that
MacArthur Park hasn't been swept up in these rates.
Speaker 1 (03:00):
You don't remember the tanks being out there and stuff
like that.
Speaker 2 (03:04):
I remember the demonstrations, but I don't remember coming in.
Speaker 1 (03:08):
They had military vehicles out there and baths showed up
and she was pissed.
Speaker 2 (03:12):
Hmmm, I don't remember that. But okay, I'm surprised you don't.
Speaker 1 (03:15):
Come in there miles from my house.
Speaker 2 (03:17):
Ah, so is that where you got your green card?
Speaker 1 (03:21):
Uh don't speak English.
Speaker 3 (03:23):
Okay, nicely done, by the way. That is about as
racist as you can possibly get.
Speaker 2 (03:27):
Thank you.
Speaker 1 (03:28):
Hey, I'm Mexican. I can do it.
Speaker 2 (03:30):
You get a pass anyway.
Speaker 3 (03:32):
What's happening is they're trying to figure out this is
not only a place for families, and we're talking about
English as the second language families Uh and uh Hispanic
for the most part, Hispanic people and lower socioeconomic levels.
So this has become a central place for them to
hang out, for them to deal with neighbors, et cetera.
(03:54):
I mean, it's just it's sort of town a town
center for these folks. But at the same time there's
a ton of crime. Matter of fact, what's really fun
is every few years when they drain MacArthur, the park,
the lake at MacArthur Park MacArthur Lake, it's wonderful to
see because they're always digging up a few bodies and
(04:15):
it's just great fun to see that. So here's what
the city Council's proposed, a fence all the way around
the park two point three million dollars. A fence that
will theoretically have keep the bad guys out, we'll keep
the good guys in.
Speaker 2 (04:36):
Police will still be there. And there's a.
Speaker 3 (04:38):
Lot of contention here because right now it's accessible to anybody.
And then the people that advocate the fence, they're saying,
we'll have places where people can go in, there'll be gates,
there'll be some kind of control. Businesses have a hard
time doing business around MacArthur Park. I mean, I just
don't get it. Isn't langers right there at MacArthur Park,
(05:00):
right across the street, and I don't. And so it's
an iconic Jewish deli that's been there for a zillion
years and the food is wonderful.
Speaker 1 (05:08):
Number nineteen Straw me, I'm right.
Speaker 2 (05:11):
Yeah, But how do you where do people park? I
haven't been.
Speaker 3 (05:15):
I've been to Langers I think twice in my life,
and I was a teenager at the time. It's been
around that that long. I mean, where do you park?
Where do you walk?
Speaker 2 (05:25):
All right?
Speaker 3 (05:25):
To get to Langers? Are you stepping over homeless people?
Speaker 2 (05:29):
Yeah?
Speaker 1 (05:29):
Pretty much. I passed by MacArthur Park all the time
and it's horrendous. It is an absolute blight, and it's
it's horrible what they've done to it, because it's really
a beautiful place and it's in a really neat location.
But the West Lake District is just horrific.
Speaker 2 (05:50):
And so the fence, you think of that that's going
to help, Neil.
Speaker 1 (05:53):
There are many fenced in parks in Los Angeles and
and I think it will. I mean, do you remember
the temporary fencing they put up at Echo Park. I do,
and that helped a lot. It kept the homeless from
sleeping there. It was controversial to some, but the fact
(06:14):
is it worked, and that was our park for a
long time. We would walk there all the time.
Speaker 3 (06:19):
And here is what's fun about Echo Park and MacArthur Park.
When they dredged the lakes, which lake produces the most
dead bodies.
Speaker 1 (06:29):
I will tell you that absolutely. Echo Park is a
gem in Los Angeles. They have the swan pedal boats.
It's gorgeous there. They just need to keep the riff
raf out.
Speaker 4 (06:44):
Well, that was the park that was completely taken over
a few years ago, remember, and then they put the
Echo Park and then they put the fence all the
way around and they cleared it out and took away
to tons and tons of trash. And like Neil just
said that they're making efforts to keep the park cleared
up out.
Speaker 2 (07:00):
Well, we'll see what happens.
Speaker 3 (07:01):
There's a lot of contention on both sides that they're
going to be taking away a vibrant part of the city.
We'd illegal undocumented people and the street vendors and the.
Speaker 2 (07:14):
Drug dealers, and I kind of like the whole thing.
Speaker 3 (07:17):
It's just a fun place to go visit and whenever
I feel like I want to consider killing myself. Neil,
you definitely need this. Actually, frankly, I need this more
than most people do, and that is facelifts for men.
Facelifts for men should start doing commercials for those. So
(07:40):
where do you think what industry. Would you think what
financial sector would you think the most facelifts men are
getting in what what area?
Speaker 1 (07:54):
You'd think entertainment?
Speaker 2 (07:55):
Nope, nope, nope, it's tech.
Speaker 3 (07:58):
It's actually the high tech financial tech people investors. Why well,
there was a twenty twenty four talk a guy named
Keith robbles Is was asking advice from Peter Thiel, one
of the big big investors in the country. And the
advice he gave them you can't hire anyone over thirty.
(08:21):
So what's happening is guys in tech are spending thousands
of dollars on procedures like many facelifts, necklifts, I let
I lid lifts to basically just look younger. And there
are two reasons why it's these guys. Reason number one
is they've got the money. You know, people involved in
(08:44):
high tech and investment world have the money. For example,
there's a Beverly Hills plastic surgeon, doctor Ben t Lie,
charges one hundred and twenty five to one hundred and
fifty thousand dollars for a face and necklift, and he's
seen demand grow fivefold over the past five years, one
hundred percent a year.
Speaker 2 (09:03):
Can you imagine and there's a doctor.
Speaker 3 (09:07):
Andrew Barnett says his request for facelifts for men in
the tech world have jumped twenty five percent from COVID jewels,
COVID levels eye surgeries themselves, I LID surgeries up fifty percent.
Speaker 2 (09:21):
Now, there's two reasons, I said. Number one, they have
the money.
Speaker 3 (09:25):
The other reason is that a lot of people are
doing remote work. Used to come into the office, right
And if you have.
Speaker 2 (09:35):
The opportunity to do remote remote work.
Speaker 3 (09:38):
For example, let's say you Neil and I or Will
or whoever on the morning show. We all have home studios,
of course, but Neil and I have home studios and
you're on a monitor every day. There are cameras and
I'm looking at all of you and you're all looking
at me on the monitor. Well, I could turn off
the monitor for a couple of weeks. You guys will
(10:00):
be thrilled, thank you very much. But I could get
a facelift and you wouldn't know it until I come
back a couple of weeks later, three weeks later.
Speaker 2 (10:07):
And that's what's going on with these people.
Speaker 3 (10:10):
And so those are the two big reasons, and it
is so important for men now it's almost pass that
men get facelifts as much as women do. Have I
considered facelift? Well, yeah, yeah, if you think about it,
if you look at me, and this is hereditary my day.
(10:31):
I gave this to me, and I have this very
large wattle under my neck. I have a sort of
a turkey wattle which I read. Yeah, I know, well,
I paint red. I painted red every Thanksgiving, just to
make sure that no one notices it. The point is
(10:53):
what people say, is it used to be you look refreshed,
you look something about you, you look younger. Now it's
not a bad facelift. Now it is so common that
people just look at you. You go facelift. How much
did you pay for that?
Speaker 1 (11:13):
Sylvester Stallone, I don't know if he's had a face
lift or not, but man, it looks odd. I don't.
Speaker 3 (11:19):
Well, that's what facelifts, that's what that's that's the difference
between a good surgeon and not so good surgeon or
someone who uh.
Speaker 2 (11:29):
And we see this in women not so much.
Speaker 3 (11:31):
And man, although I have tell you there are people
out there David Copperfield.
Speaker 2 (11:37):
Have you seen him?
Speaker 5 (11:38):
Oh?
Speaker 1 (11:39):
Seriously, I have not.
Speaker 3 (11:40):
Oh, man, take a look at a picture of David Copperfield.
Speaker 1 (11:43):
If it looks like someone's pulling silly putty over their knee, like.
Speaker 2 (11:48):
Yeah, it's you could.
Speaker 3 (11:49):
It's unfortunately you can tell that stretched out look, and
it is you just get old. Just get old, relax.
You know you're who you are. Your eyelids get puffy,
so be it, and so your face drools a little bit,
it goes down a little bit. So it's not you
know what, it's not bad to look like a sharpei.
(12:11):
It is okay in life. It is natural to have
your like a beagle. You know, you have the jowls
that just drop down, and that's who we are, and
you have to have this artificial young look. That's Derey Gore. Now,
especially in the world of tech, because somehow, well maybe
(12:32):
it's because twelve year olds are now billionaires when they
form these these new tech companies. It used to be
you'd be in your fifties or sixties before you become
a billionaire.
Speaker 2 (12:42):
Now you do it before your teenage years.
Speaker 3 (12:45):
So maybe that's the reason people want to look that
much younger.
Speaker 2 (12:51):
Now I'm okay with the looking older. I don't care.
I don't care.
Speaker 3 (12:55):
Neil, you have to be okay, with it because you
have no choice.
Speaker 1 (12:59):
Well, I don't care. I'd like to be thinner, but
I don't care about you know, I'm already married. I
just she loves me for who I am.
Speaker 2 (13:10):
Wow.
Speaker 3 (13:12):
Yeah, you beauty and you're beautiful on your planet, I know.
Speaker 1 (13:17):
Yeah on the inside.
Speaker 5 (13:20):
You know.
Speaker 3 (13:21):
You know, my mother used to say when I when
I was single, my mother was desperate to have me
connect with someone because I didn't get married until.
Speaker 2 (13:27):
I was in my thirties.
Speaker 3 (13:29):
And my mother always uh hooked me up with someone.
Always have a friend of hers who had who had
a daughter, and she was a bill. I want you
to beat whatever, you know, my friend's daughter. And she
would say, and she has a beautiful face. Okay, there
(13:49):
it is what.
Speaker 1 (13:53):
I'm a face guy.
Speaker 3 (13:54):
Yeah, you know, you know, I don't mind three hundred
but I do mind three hundred pounds on top of
me having seen so that's all going to happen.
Speaker 1 (14:05):
NA bodies changed, But a face there's something about it
that even if it grows old, that it still has
its character. And I'm a face guy.
Speaker 3 (14:14):
Okay, we're done, like you're screwed completely, We're done.
Speaker 2 (14:18):
We're done. Finished. Now I have talked a whole lot
about gold.
Speaker 3 (14:23):
As you know, I do commercials for Lear Gold, and
what I want to do is introduce to you Kevin Demert,
who is a founder of Lear Capital.
Speaker 2 (14:31):
Now quick disclaimer here, all.
Speaker 3 (14:33):
Right, I do commercials for them, so know that before
I start the interview, and this will not be a commercial.
I'm bringing Kevin aboard because of his knowledge, vast knowledge
of the gold market.
Speaker 2 (14:49):
He's been doing this for.
Speaker 3 (14:50):
Decades and I have a lot of questions to ask
about what is going on with gold right now.
Speaker 2 (14:57):
So Kevin, thanks for joining us. Always appreciate.
Speaker 5 (15:01):
Eric, thanks for having me. Bill.
Speaker 2 (15:03):
Oh sure, okay.
Speaker 3 (15:04):
Question number one about gold, and that is stocks go down,
gold goes up. Stocks are in the stratosphere. Gold is
in the stratosphere.
Speaker 2 (15:16):
What is going on?
Speaker 6 (15:19):
Well, that's a that's a great question. And you know,
it used to be true that the gold market would offset,
you know, what the stock market was doing. So if
the stock market was following, gold would be going the
other way. And that was decades ago. But we're in
a completely different cycle right now. The stock market might
look strong on the surface, but under the hood, there's
record debt from the government side, there's a little bit
(15:41):
of consumer stress, there's geopolitical tensions, and I think it
kind of looks a little bit like a bubble we
saw back in you know, two thousand with dot coms
from the AI side. So today, I don't think gold's
reacting to just recession or booms. It's reacting to uncertainty
and risk of market over valuations, record government money printing,
and a dollar that's really been under pressure and falling
(16:01):
since two thousand. It's down about twenty seven percent. So
even when the economy looks good, investors are still hedging
and gold is reflecting that reality.
Speaker 3 (16:10):
No, when you talk about the economy and looking at realistically,
if the galler is down twenty seven percent over the
past few years, that tells us that there are big holes,
or at least there's a lot of softness in the economy.
I'm looking at the stock market numbers right now. The
doll is up two hundred and fifty points, is hitting
(16:33):
another record, and yet at the same time gold is
doing great. Are people just are they throwing away the
old formula where it just doesn't exist the way it
used to.
Speaker 6 (16:46):
Well, I don't know if they're throwing away the formula.
I think they're just more aware of what the formula is.
You know, back in two thousand when you had the
dot com crash, you know, people are just writing business
plans on the backs of napkins, and then you know
there's a stock worth a billion dollars. This time around,
there being a little bit more conservative saying, hey, yes,
the AI is probably more productive and going to be
(17:09):
like the Internet over the next five or six years.
But it still looks over valued. If you look at
all the metrics, even the Warren Buffett indicator, it's at
record highs that we haven't.
Speaker 5 (17:19):
Seen in the past, you.
Speaker 6 (17:20):
Know, forty years or all the way back to nineteen
twenty nine again, So I think there's nervousness on that part.
Then there's nervousness on the dollar part, because you know,
our desinitit just our debt just hit thirty eight thirty
seven trillion dollars. So there's a lot of things happening
in the market, and I think gold's just reflecting the
(17:40):
uncertainty that those things are creating a potential market correction
and you know, possibly the dollar not being the world's
reserve currency over the next ten years.
Speaker 3 (17:51):
All right, So let me ask you about gold because
I've talked to people that hold a lot of gold.
I hold some, and it's been a great investment for me.
I don't have a problem with that. But when I
think about it, what is gold actually good for?
Speaker 1 (18:04):
Right?
Speaker 2 (18:05):
Silver there is a very practical use.
Speaker 3 (18:08):
Silver is for batteries, silver is for the evs, it's
using communication gold other than putting gold foil on satellites.
So I mean, what is it actually used for that's practical?
Speaker 6 (18:25):
Well, it's really real money. So you know, that would
be like saying, what's bitcoin, you know, used for? It's
it's it's something that holds its value. So right now, gold,
in my personal opinion, isn't just telling, isn't just high.
It's telling a story. So right now, investors all over
the world, they're nervous. Inflations been sticky. Government debt, like
I said, has been skyrocketing. Central banks outside the United
(18:47):
States dates have been buying record amounts of gold. Why
because they want something real, something that doesn't rely on
political promises or digital numbers on the stream, and something
that they're holding that isn't falling twenty seven percent since
two thousand. So if you're holding you know, government treasuries
ten your treasuries, what are you.
Speaker 1 (19:07):
Making four percent?
Speaker 6 (19:08):
Well, the value of the dollars down twenty seven, you're
actually holding that paper money and losing money. So those
central banks have been selling off treasuries and buying gold.
So when you see gold hitting new highs, it's not random,
it's confidence leaving paper assets and moving into something more tangible.
Speaker 3 (19:23):
All right, Well, gold used to be well, currencies used
to be predicated on gold. In other words, the US reserves,
for example, were gold reserves. Money was backed up by
gold that disappeared what one hundred years ago or fifty
years ago? So why do we need gold when, for example,
our dollar is not based on gold, it's not passed
(19:45):
by gold.
Speaker 2 (19:45):
It's based on the faith and credit of the United States.
Speaker 3 (19:48):
So here again I'm asking what it seems ephemeral to
me that gold has that much value.
Speaker 6 (19:57):
Well, when you think about why they had gold the dollar,
it was because they couldn't print the dollar without buying
more gold. So a few back ten percent of the dollar.
Let's say, and you wanted to print up a billion dollars,
you had to put one hundred million. You had to
go out and buy one hundred million dollars worth of gold.
The reason Bill that they wanted to take us off
of that was because they didn't want to buy the gold.
They want to print money willy nilly. And if they're
(20:20):
going to do that every time they do it, the
dollar that you're actually holding this backed by the full
faith and credit of the United States Government, is worth less.
So here we are in two thousand and eight. You
had a crash in the market, the Great Recession, and
we had eight trillion dollars worth of government debt. We're
at thirty seven trillion dollars the value of gold, reflecting
(20:43):
the crash in the value of the dollar because they
printed up paper money. So you need something to offset
all of that money printing, and that's what gold does.
Speaker 2 (20:51):
All right.
Speaker 3 (20:51):
Kevin Demerit, founder of Layer Capital. Quick disclaimer, I do
commercials for Layer Capital, so I want you to know that,
and I do not view this as a commercial for Lear,
nor does Kevin. We're bringing Kevin aboard simply because it
is expertise, nationally known figure in the world of gold.
Speaker 2 (21:11):
Big time.
Speaker 3 (21:12):
All right, Kevin, let's talk about gold itself. What is
it about gold that makes it so valuable? There are
other minerals, and there are the things that traditionally people
could have said, Yeah, that's valuable, but gold is more.
What is it about gold itself that gives it its value?
Speaker 5 (21:33):
Yeah, I think there's three things.
Speaker 6 (21:34):
Number one, it costs something to pull it out of
the ground, so that gives it some value. Number Two,
it's been used as money for over five thousand years,
so it's very well known. And number three, it's divisible,
meaning that I can take an ounce of gold and
turn it into a tenth of an ounce of gold,
and you can barter with that. So I think those
are the things that are most important, and the most
(21:55):
important about all of them is that it has a
limited supply. So when you think about bitcoin, that's the
one everybody knows because it has that limited supply. When
people put more demand on a fixed supply, the prices
are going to go up. So unlike the government printing money,
if they had a fixed supply of money and it
can only grow at three or five percent a year,
(22:15):
we'd have a much stronger dollar.
Speaker 5 (22:17):
Yeah.
Speaker 3 (22:17):
I've always wondered about that because at least gold you
can point to and touch, where bitcoin you can't, and
even dollar bills it's only paper, which you can do
anything with gold.
Speaker 2 (22:33):
That seems to be very different.
Speaker 3 (22:35):
But there's a historical aspect to gold that I've always
fascinated me.
Speaker 2 (22:40):
And why does it go up and down in value?
Speaker 3 (22:44):
There have been times I remember what I don't know,
a few decades ago, for twenty five years, gold didn't
go up, and then all of a sudden it comes
back and it explodes. So give us a little bit
of history of what gold has done here in this
country of the last hundred years.
Speaker 6 (23:00):
Let's say finds that you're talking about, Usually you're going
to have inflation, which means they're printing too much money.
I mean, the definition of inflation is too much money
chasing too few good So usually at the governments around
the world printing money.
Speaker 5 (23:12):
At a pace that's faster than.
Speaker 1 (23:14):
The economy is growing.
Speaker 6 (23:15):
So if the economy is growing at three percent and
you're printing money at seven percent, at some point you're
printing up so much money that you're going to add inflation.
You're going to have too much money chasing too few goods.
So if you look back in the eighties or seventies,
really that's when we had the hyperinflation inflation got up
to fifteen percent. This time around, we've gone from a data,
(23:36):
like I said, eight trillion dollars in two thousand and
eight to thirty seven trillion dollars. So you're going to
have a massive move in the gold price because you've
printed up a bunch of money, and some of that
money is going to find its way over to gold
that has the limited supply. You put an increased demand
on a fixed supply, it's going to go.
Speaker 5 (23:53):
Up in price.
Speaker 6 (23:54):
So the easiest way to look at the gold market,
which by the way, has an ninety two percent correlation
with the debt in the United States and ninety two
percent correlation with the value of gold to the debt
in the United States.
Speaker 5 (24:07):
You just look and say do I want to own gold?
Speaker 6 (24:10):
And all you have to believe is the government going
to continue to print money. If you believe it's going
to continue to print money at the pace that it's
been printing money to devalue the dollars that are already
out there, then the value of gold should increase as
the offset of the decrease in the value of the dollar.
It's really that simple. You don't have to be a
rocket scientist to figure out where the price of gold
(24:31):
is going most of the time. In the short term, yes,
in the long term not really.
Speaker 3 (24:35):
So do governments still buy gold? Does the United States
buy gold? Because it used to be gold reserves. We
talk about FOURT Knox, which has I think only in
the hundreds of millions of dollars of gold in it.
Speaker 2 (24:47):
I don't even know the figure. Are we buying gold
and why?
Speaker 6 (24:52):
Well, the US government has the largest reserve of gold
out of any country in the world, and we value
that gold at thirty two dollars an ounce, not anywhere
near the four thousand dollars announced that are trading ad today.
But other central banks around the world like China, Brazil, Russia, India,
a lot of other countries are purchasing gold right now.
Speaker 5 (25:12):
Bills.
Speaker 6 (25:12):
Matter of fact, this is the fourth year that we
had record amounts of gold purchases by central banks around
the world. And you have to remember something about central banks.
They're not day traders. They're not here to buy gold
today and sell it tomorrow. They buy gold and they
hold it for ten, fifteen, twenty years at a time.
So in the past two or three years they've been
purchasing somewhere between a quarter to almost fifty percent of
(25:34):
the entire mining supply that comes out of the ground
in a year. And the last time we saw that
would have been in the early seventies, right before a
lot of inflation happened. So the answer to the question is, yes,
central banks around the world are buying gold at record amounts.
Speaker 2 (25:47):
And does that include the United States?
Speaker 5 (25:51):
It doesn't include the United States.
Speaker 6 (25:53):
We already have, like I said, the world's largest reserve,
and we don't value it correctly.
Speaker 5 (25:58):
If you valued it at the the.
Speaker 6 (26:00):
Value that you're supposed to would be almost a half
a trillion dollars.
Speaker 5 (26:04):
So that give you some sort of an idea of
what our reserves are.
Speaker 6 (26:07):
And if you compare that to the other countries, they
are less than half of that.
Speaker 5 (26:11):
For the next biggest one, all right.
Speaker 2 (26:13):
Why don't we the government sell the goal?
Speaker 3 (26:15):
Then if it's a reserved to prop up the economy
or prop up the dollar, it would never be sold.
Speaker 6 (26:24):
Well, you know, that's a great question, and you should.
We should get the British government on the phone, because
they sold half of their gold reserves in two thousand
when gold was two hundred and fifty five dollars an ounce,
So that was the most idiotic move you could have
done compared to now four thousand. So most of the
time you don't see central banks selling a lot of gold.
They'll sell some here and there if there's war, maybe
(26:46):
Russia solt some and things like that, but for the
most part they kind of hold it very long term,
ten fifteen, twenty years. A matter of fact, in two thousand,
I don't know if you remember this, but I'm such
a big fan of yours in your radio program, and
I asked you if I could be on the program
in two thousand, and you told me, I'm going to
go talk to my friend Jim Kramer and ask him
what he thinks about gold. And Jim came back and said, hey,
(27:07):
I don't know about gold. That's exactly when gold was
two hundred and seventy five dollars an ounce, and here
we are at four thousand. So the gold market has
actually outproduced the stock market sent two thousand. If you
had to put a one hundred thousand dollars investment in gold,
if we worth eight hundred and thirty two thousand, one
hundred thousand dollars investment in this now would be worth
three hundred and fifty thousand, So give you some sort
(27:29):
of an idea.
Speaker 2 (27:30):
Yeah.
Speaker 3 (27:30):
On the other hand, next time I talked to someone
in the bitcoin business when bitcoin first came out, it
was I don't think eight bitcoin for a penny and
no when knew what's going on. I still don't trust
bitcoin because I don't trust crypto. Gold is real. I
mean I can touch it, you know, I can take
(27:52):
my goal. I can use it as a doorstop if
I have enough of it. Don't get bitcoin or crypto.
How do you feel about that in the gold business?
Speaker 5 (28:03):
Yeah, you know, here's the difference.
Speaker 6 (28:04):
I mean, the gold market has a five thousand year
track record and Dick Klain has a you know, twelve
year track record. I'm gonna stick with the one that
has a longer track record, and you know, see what happens,
see what, see what we get.
Speaker 5 (28:14):
In the next and fifteen years there?
Speaker 3 (28:17):
All right, Kevin, thank you for joining us. You gave
us a lot of information we didn't have before. Take
care of yourself. We'll talk again.
Speaker 5 (28:25):
Yeah, thanks for having me on.
Speaker 3 (28:27):
Sure, Kevin Demericu, I knows his stuff. I'll tell you that, man,
you knows gold like very few people do. We're done,
all right, Finish Finney.
Speaker 2 (28:34):
You've been listening to The Bill Handle Show.
Speaker 3 (28:36):
Catch My Show Monday through Friday, six am to nine am,
and anytime on demand on the iHeartRadio app
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