from around about sixty currently is training about twelve ten so you know we're getting this technical squeeze and i think that that squeeze can actually get far more vicious against us right you know you've got same situation over and total global output of silver or something like seven hundred fifty million ounces and yet the short position with naked shorts these are on collateralized short positions as printed by wall street to make free money is in excess of a billion yes got actually more short contracts than the annual production of some are very similar in gold you've got more short in the market then there are actually being ounces produced by the world on an annual basis that's not economics ouster what do you call that i mean i mean one were to be fraud but is it just pure fraud or is there a any economic or financial justification at all this is no economic no financial justification it's just crazy the word i could use people are so bullish about the

dollar and that's that's what's driving it and sooner or later that's going to reverse because there is actually no real reason to be bullish about the dollar goes on perhaps as a bet you debatable on us treasuries and there are gay sequence so cool riskless investments in other currency such as japanese bought government bonds and german government bonds but that's about the only thing i mean we've got a trade deficit which is running at around about seven or eight hundred billion dollars a year. other currencies like the yen and the major cost like the end of the euro if they don't trade surpluses so the run of the play actually is going against the dollar and i suspect a little later on once these trade tariffs start to affect prices in america the fed's going to have a huge great problem because can it really raise race to do with a rising race a price. driven in part by tariffs and i think they've got

a real problem coming up on this and it's like you should be destabilizing i think rather than how i'm saying in terms of the dollar i want to talk about trade a second but just picking on this dollar idea for a moment with a snake and shorts and shorting in the marketplace and our right what i would consider to be a fraud you have a situation where investors come to a fork in the road and they can choose to go down the path of buying dollars or they can choose to buy gold but they're at the gate of the gold road is a naked short gun pointed to their skull and right a blow their brains out this is not symmetric market making this is not price discovery this is ridiculous they're there they're not buying dollars because they're crazy they're buying dollars because the path to gold is being guarded by the equivalent of a man with

a gun as paul krugman likes to say when describing american style capitalism he says it's basically just men with guns thank you paul krugman ellis close move over to the curve so we hear about a flattening yield curve and we'll talk about trade a second but i want to talk about the old curve what does this indicate alister should anyone be worried. well under normal circumstances a flat you normally would indicate there's a recession in the offing or a very at least very strong chance of a recession in the offing but we've never seen this situation before i mean the idea that it flat you please into recession basically comes about because nobody is borrowing money with long maturities simply because you know let's say the economy is no longer following through whatever whatever. but this time it's not quite like the you. the commies in just concentration that is

actually going like a train as you know powerless rice on this problem really is there's just so much money around the idea that you can compare a situation where there is a limited quantity of capital in the system which is a situation where there is over one hundred percent of deposit money any systems in america compared with the private sector g.d.p. i mean there's more dollars than g.d.p. in the private sector this is a this is not unprecedented situation and i do think that you can really look. indicators such as the status of the u.k. as has been reliable as being a reliable indication of what's going on but what we do know in the american economy is that skill shortages are beginning to impact labor markets. anybody who's a global in america basically is you know can get a joke so the economy is i think in a pretty advanced stage of its credit cycle i don't think we can really i mean you

keep talking about all this money sloshing around the system and the fact that we have failure of crisis governor at the same time you can't really call that money money has starkly is a store of value or a means of exchange but we're talking about family by the central bank that is for political favoritism and for political outcomes that's not money that those are coupons that are printed by a centralized autocracy to further their power structure but it's not quote money as i understand that term and the everything you're saying kind of buttresses that point the flattening ales curve is an economic indicator that would help you determine oh are bonds expensive or are they is a market but again we're not talking about money are we were talking at about a private coupe by issued by a club talk or say for the benefit of a plutocracy at that that command of a democracy. and they were all the result is

a lot of more polysyllabic words strung together in frick and awesome a sentence i have to repeat that i replied all right so see n.b.c. is worrying that the anti dollar awakening could be ruder and sooner than most economists predict in other words the world's not poor old by this funny cop on money that's not really money in the world are three checking the dollar. do you think that the increasing deployment of sanctions embargoes and cutting off nation from swift were result in total rejection of the dollar and a new financial order alister well time i think yes because really you don't weaponize it currency and deploys in that fashion like if you do that basically you just breath mistrust and we're seeing this with. the russians who are now got rid of their fuel their treasury salute not quite a while but they've reduced it to

a pretty low level i guess will it be buying instead of being buying gold i think that they've actually got the right side dish and i says i suspect is the dollar gets into trouble the russian if you like the raising folks for the russian economy is likely to improve quite significantly i think they know what they're doing it does make sense i mean precisely as you say max the pay the money the surat is just that is just a bear is just currency. it does not retain it is value and death toll in the long run it's of no use i mean people just don't seem to understand that since the nixon crisis would show all the way to the end if they ended the bretton woods arrangement the dollar against goat is lost ninety seven and a half percent of this actually now that means this is literally any tune up a cent of the one hundred seventy one dollars left measured in go. and i would say

the minute it goes that expensive so we're not exactly taking a you know as the worst moment to value the dollar die right now so get out the whole general first second segment and pick your brain some more if that's ok that's my pleasure and that's going to do it for this edition of the kaiser report with me max kaiser and stacy herbert like to thank our extra special guest from old blighty allison macleod of gold money if you want to catch us on twitter it's kaiser report until next time.

seemed wrong. just don't hold. me. to see. this thing come to. an engagement because betrayal. when some find themselves worlds apart we choose to look for common ground. they're out of power now that how can other part of the club know that that not a lot of the money out of the money that they wouldn't let in germany. this was a good time to. try to move their i'm job of myanmar. no none of that out loud you know how little money not how far north they're going

to our south or expending and they're all people we believe just a little bit here. bottom of my case i live out the bubble so jolly well are all the moment i've got a mother how do it all the kids there is a lot of them and i'm a little work in my building let's pull out the pink i don't want to put our other motorists party where they're at all the mother while there they're . to get you know that you're going to the gym.

opposing rallies take the german city of camden by storm triggered by a local man's death only to rest for the suspects. also this hour pre-election polls in sweden show a growing split over migrant numbers as euro skeptic and right wing parties rattle the ruling social democrats. and the power of dialogue washington declassifies hours of conversation between former u.s. and russian presidents bill clinton and. a very warm welcome to the program from myself and the whole crew here at r t h q in moscow thanks for joining us this hour. the german city of camden continues to

be hit with far right rallies which have mostly been met with counterprotest as well they started after a local man was stabbed to death by people the police described as being a various nationalities here's how it all unfolded.

several anti migrant groups arranged a so-called silent march this saturday in protest against chancellor merkel's policies are on or was there. the demonstration was organized by alternative for germany now they explained to me that the the far right group proclaiming that organized demonstrations in the beginning of the week that they had council and joined in no said that they were going to join in with the demonstration. they got it as the right wing opposition party here in germany i spoke to to see. me and they told me what they thought about the on going situation here the demonstrations and what they expected of the demonstrations that we've seen all owing not now we've heard people describe them as far right i think they would be fair to say some of the symbols they were being thrown out with all right

we saw straight home so. how do. you allow yourself. well we don't allow i also talk with this it's an open demonstration of several different writing to somebody freely we can control who comes to our advantage. if someone does something our loss will be trying to isolate them hand them over to the police because they're not a problem. we have between six and eight thousand normal citizens normal demonstrators are among them between home and ten people showing a greeting many many to many but that is what i want to tell you. that you cannot blame. six to eight thousand normal citizens for having meddled among them you can blame them for a woman things we can see is coming so they are very keen to make sure that there is no no protests that are being allowed to get close to them and one of the

organizers is that dreaming and shouting at the press that they need to move away. this is the price we have to talk about you what are you twenty why are you pushing me all the way. and what you're seeing for the demonstration from the day is a large crowd that's been gathering steadily at the end of the street. the capitalists you can see that part spread so right along the street that they are being kept away as possible by the incredibly large police presence become to say that the right is not welcome. anywhere. in germany people of all colors and races would love that germany is a place where people can come to feel safe to to flee the country so they're from.