The Tucker Carlson Show - Iran War Expected to Spark Global Energy Crisis. Here’s What Americans Can Expect at the Pump.

00:00:00.600 The first thing to know about the two wars now in progress

00:00:03.540 in Ukraine and in Iran,

00:00:06.500 is that they're about energy

00:00:08.220 because Iran and the countries around Iran

00:00:11.440 produce about 20% of global oil supply.

00:00:15.700 Russia, meanwhile, produces about 12% of global oil supply.

00:00:19.500 So these are the biggest energy producing regions

00:00:21.380 in the world

00:00:22.240 and the wars have gravely affected their ability

00:00:25.040 to produce that energy and to ship it anywhere else

00:00:27.440 and to refine it for that matter.

00:00:29.120 So that's the first thing to know.

00:00:30.320 The second thing to know is that energy is the same as prosperity.

00:00:35.680 The more energy a country uses, the richer it is.

00:00:39.100 There is a one-to-one correlation between energy use and the size of your economy, GDP, roughly measured.

00:00:46.680 I mean, look at the list of the countries that consume the most energy and put it side-by-side the richest countries,

00:00:51.920 and they are directly connected.

00:00:53.760 The country that uses the most energy per capita on the planet is Qatar, which is also by most

00:01:00.300 measures the richest country. Tiny population, 350,000, massive natural gas supplies, huge

00:01:08.060 per capita wealth in that country, and huge per capita energy use, about roughly 19,000 kilowatt

00:01:16.660 hours per citizen. On the other end, the poorest country in the world, arguably South Sudan.

00:01:21.940 their energy use per capita 51 kilowatt hours the united states by the way about 12 000

00:01:30.460 kilowatt hours now for the past 15 or 20 years maybe 25 years elements of the american leadership

00:01:38.220 class have been scolding this country and the west for using too much energy we use too much

00:01:42.880 energy we're destroying the earth by using energy by the way bombing civilian population

00:01:47.460 somehow does not destroy the earth, but turning on the lights or having an MRI or driving a

00:01:53.580 suburban, that destroys the earth, say the people who put solar farms in the woods.

00:01:59.640 But that propaganda, as absurd as it is, has effectively hidden from many Americans the

00:02:07.060 direct correlation between the amount of energy they use and the lives they live, and that would

00:02:12.440 include their life expectancy and the likelihood their children will survive infancy.

00:02:17.180 And everything that is good or considered progress in our society,

00:02:21.120 all of it derives from one simple fact, we consume an awful lot of energy.

00:02:25.720 And to the extent we consume less energy, those facts will change.

00:02:29.160 In other words, we will become poorer.

00:02:30.740 Again, energy is the same as wealth.

00:02:34.520 So when a country uses less energy,

00:02:37.360 or when energy prices become unaffordable for the majority of the population,

00:02:40.220 that country by definition becomes poorer.

00:02:43.040 There's no debate about this.

00:02:44.200 This is the iron law.

00:02:46.420 of economics, of reality, of civilization.

00:02:50.380 Energy equals prosperity.

00:02:52.980 So if you take two steps back and you see one country,

00:02:57.480 the United States, waging two simultaneous wars,

00:03:01.120 one against Iran and the other against Russia,

00:03:02.920 and make no mistake, the United States is at war with Russia.

00:03:06.780 The Trump administration's intelligence from the CIA

00:03:10.060 and other intel agencies is being used by the Ukrainian government

00:03:12.620 to target drones and missiles.

00:03:13.980 so the u.s government us your tax dollars is at war with the government of russia whether you're

00:03:21.320 aware of that or not whether you wanted it or not and of course most americans don't

00:03:24.780 and the effect of that is what to destabilize the russian regime break up russia into

00:03:31.640 15 separate republics well no not yet the effect is to hike global energy prices because once again

00:03:40.520 And Russia is the producer of about 12% of global oil supply and about 5% of refined

00:03:47.740 petroleum products.

00:03:49.460 And the war the United States is waging against Russia at this stage through its proxies in

00:03:54.940 Western Europe and Ukraine is a war against energy.

00:03:59.000 About half of Russian refineries have been hit by missiles or drones targeted by the

00:04:04.920 United States.

00:04:06.780 So at some point you have to ask, like, why would we do that?

00:04:09.200 Why would the United States, under the previous president, blow up the Nord Stream pipeline, which was the source of cheap energy from Russia into Western Europe, our allies in Western Europe, countries that are occupied still by American troops 80 years later, our closest allies on the globe?

00:04:24.800 Why would we deprive them of cheap energy?

00:04:27.040 Who knows?

00:04:27.680 There's a story here, though, and someone should tell it.

00:04:30.360 and then in this war which began february 28th of course the central fact of iran is not whether

00:04:37.820 it has an active nuclear program or how many missiles it has or how many crowds in downtown

00:04:43.700 tehran chant mean things about israel or the united states i mean those are interesting data

00:04:47.860 points but they're not really the core fact of iran the core fact of iran is its geography and

00:04:52.840 the fact that it sits on the northern side of the strait of hormuz which is the opening famously at

00:04:58.780 the eastern end of the Persian Gulf, through which 20% of global energy flows.

00:05:02.800 And then if you look at a map, it curves around into a thing called the Red Sea.

00:05:07.260 And the Red Sea is the waterway over which another big percentage of global energy flows.

00:05:16.980 Without getting too boring about it, Saudi Arabia, which is probably the world's,

00:05:21.080 still the largest oil producer in the world, kind of thought ahead,

00:05:25.420 what if they closed the Strait of Hormuz at some point

00:05:28.060 and built a pipeline

00:05:29.000 on its territory into

00:05:32.040 the Red Sea so they wouldn't have

00:05:34.160 to send ships through the Strait of Hormuz. Well,

00:05:35.900 unfortunately,

00:05:37.580 across the water is a country called Yemen

00:05:39.780 and Yemen 0.82

00:05:42.080 is effectively an

00:05:44.060 enemy of Saudi Arabia

00:05:45.620 and the Houthi militants

00:05:48.020 who we were briefly at war with are of course proxies

00:05:50.060 of Iran and they are now

00:05:51.680 bombing shipping, attacking shipping

00:05:54.140 in the Red Sea.

00:05:56.140 And the main thing to know about energy shipping is that it's very expensive.

00:06:01.080 A super tanker full of petroleum, of crude oil, is worth about $350 million.

00:06:07.440 So you don't have to sink too many of these, maybe any.

00:06:10.700 You basically have to set a couple on fire or just threaten them.

00:06:13.200 And there's no insurance underwriter in the world who's going to guarantee

00:06:18.540 to pay back the owner of that ship if it sinks.

00:06:22.320 so you can't get insurance for your cargo and ship worth a total of 350 million dollars you're

00:06:28.140 probably not going to set sail so in other words instability itself even if no shots are fired or

00:06:35.940 drones launched is enough to end the flow of energy out of the strait through the red sea

00:06:43.900 and to the rest of the world primarily to asia but also to europe especially europe and to the

00:06:50.420 United States. And so what you're looking at is the single largest disruption in energy markets

00:06:59.020 since energy markets began. Nothing like this has ever happened. It began February 28th. The people

00:07:05.680 who had thought about this ahead of time, very much including people around the president,

00:07:10.280 his advisors, analysts at various intel agencies, they all knew this was going to happen.

00:07:16.360 and it did this war combined with the war that we are waging against russia in eastern europe

00:07:25.160 have completely shut down probably a quarter of the world's energy and what does that mean

00:07:33.900 well it means poverty and disaster and almost certainly famine in some places in africa because

00:07:40.760 of course half of all global fertilizer is derived from natural gas etc etc etc it means

00:07:48.000 a readjustment downward of the standard of living of people certainly in europe

00:07:54.540 almost certainly in the united states and definitely in parts of asia

00:07:59.540 so that is the main fact of these wars that's the fact that will affect the most number of lives

00:08:07.880 that's the fact that will precipitate shifts in power the fall of governments that's the main

00:08:14.360 thing to know about these wars and yet it's the one thing that almost nobody ever mentions and

00:08:19.200 to the extent public officials not just in this country but in europe talk about this war they

00:08:25.200 talk about the threat posed by islamic radicalism because there's really no religious extremism

00:08:31.080 in the United States, just pride flags everywhere. You can turn a person from a girl into a boy just

00:08:41.020 by wishing it so, but we're not religious extremists. In any case, they tell you that

00:08:45.580 this is really a war about ideology, but its net effect is on energy, which is to say GDP.

00:08:52.980 So when asked about this, it's interesting how they respond. So take a look at the Secretary

00:08:58.260 defense, this is in June, on a network Sunday show, is asked about energy and the effect of

00:09:05.100 this war on energy. And here's how the secretary, I beg your pardon, of war responds to the question.

00:09:10.500 Watch. We have a totally different energy dynamic around the world. By the way,

00:09:14.240 the way energy flows today, the straits will be nowhere near as relevant one to two years from

00:09:18.980 now because of the foresight of President Trump. He's made us energy independent at home. We're

00:09:23.520 a net exporter. Now Venezuela through our partnerships. Now we're killing foreign

00:09:27.760 terrorist leaders who have terrorized the american people the amount of drugs and gangs that came

00:09:31.980 yeah energy energy states of america prices are pretty high right now it's a huge deal so i don't

00:09:36.900 know that the independence is coming down and you've seen them they are so there's a lot in

00:09:42.840 that paragraph we started out with energy and then we got immediately to foreign terrorist leaders

00:09:46.980 who are terrorizing americans not clear who they are not clear who the foreign terrorist leaders

00:09:53.080 are also not clear who the americans who were terrorized by those foreign terrorist leaders

00:09:56.900 were. If you live in this country, it's probably a long time since anyone in line at the grocery

00:10:01.220 store mentioned four terror leaders. But in any case, it sort of jumped around. But let's move

00:10:05.340 to the beginning of that short speech. And there was a very specific point in there. And it was,

00:10:12.780 look, the Strait of Hormuz is effectively closed. Like, that's measurable. Everybody knows that.

00:10:17.620 It's been closed since April. You kind of can't lie about that. But it doesn't really matter

00:10:21.880 because the Strait of Hormuz is basically becoming irrelevant.

00:10:27.120 Like, really, who cares about the Strait of Hormuz?

00:10:29.180 It's just 20% of global energy.

00:10:31.700 No one really cares because the energy dynamic is changing.

00:10:36.320 Because we arrested Maduro and his wife

00:10:39.600 and put them in a cell in New York,

00:10:41.720 and so the energy dynamic is changing.

00:10:46.000 So, of course, in real life it doesn't mean anything

00:10:48.240 because it was spoken by someone who doesn't know anything.

00:10:50.300 But let's just take it seriously for one moment. So pre-war, which is to say on February 27th of

00:10:56.840 this year, about 20 million barrels of oil, not even including LNG, but let's just stick to

00:11:03.220 petroleum oil. About 20 million barrels per day were moving through the Strait of Hormuz. And

00:11:10.120 that number is zero in that range right now and has been pretty much since April.

00:11:16.120 so that's a huge amount of energy to make up for how are you going to do that well of course

00:11:24.360 with venezuela which we know from listening to the president has the largest oil reserves in

00:11:30.280 the world like dwarfing saudi arabia which is why venezuela is just so darn rich and why most

00:11:36.460 venezuelans have their own private 747 oh wait just kidding but in any case we've been told

00:11:41.140 that Venezuela has the most oil of any country in the world.

00:11:46.700 And I guess technically that may be true, but does it matter?

00:11:51.160 Well, it doesn't matter if the oil is still under the ground.

00:11:53.460 So how much oil is Venezuela exporting now?

00:11:57.800 Well, the good news is the number is up, up from what it was a year ago.

00:12:02.980 More oil is leaving Venezuela.

00:12:04.580 That is absolutely right than left a year ago.

00:12:07.320 What's the number?

00:12:07.920 Well, it's a little over a million barrels a day.

00:12:10.700 A million barrels a day.

00:12:12.180 Now, keep in mind, the Strait of Hormuz allowed 20 million barrels a day to go through 0.79

00:12:18.000 before the Trump administration decided to kill the elderly religious leader of Iran.

00:12:24.220 So that leaves 19 million barrels of oil, not including natural gas,

00:12:29.540 which is also kind of shut down in the Persian Gulf, mostly from Qatar, but not only.

00:12:35.160 But let's just stick to oil.

00:12:36.040 where do we get the extra 19 million barrels per day to make up for what we've lost in the

00:12:42.180 strait of Hormuz, which apparently no longer really matters? No hint, because there's no answer.

00:12:50.300 Because the real answer is we're not. As long as the strait stays closed, the rest of the world

00:12:56.880 is going to have to readjust to a deficit of at least 19 million barrels per day. And that's just

00:13:03.560 oil okay so that was the secretary of war's position and again we are often to killing 0.98

00:13:10.600 foreign terrorist leaders who are terrorizing americans the danger of islamic jihad or hamas 0.86

00:13:15.320 hezbollah you know america's greatest problems not the drug cartels that control new mexico but

00:13:21.900 hamas so what's interesting is that three days later that man's boss would be the president

00:13:30.280 of the united states was over in europe at the g7 was asked about the strait of hormuz this was you

00:13:36.240 may recall this was last month you may recall at that moment he was in the middle of explaining

00:13:41.120 that we were going to sign a memorandum of understanding perhaps we already had but

00:13:44.620 basically a framework that would get us to a peaceful non-violent settlement of this war and

00:13:52.140 he because he is donald trump whatever you think of him he has these moments of kind of amazing

00:13:58.560 candor and it's refreshing candor again whatever you think of the guy he sort of says things that

00:14:04.380 are obviously true from time to time and he said this three days after pete hegs said that trump

00:14:10.880 said this if i went out and continued to bomb them for another four just bomb the hell out of them

00:14:16.220 i get bad press on that no there's nothing i can do but what this does is it allows the ships to go

00:14:23.260 if we if we keep bombing those ships won't be going and you're talking about 500 600 700

00:14:29.960 million dollars a day it's a lot of money a lot of money that's why the world is okay it's liquid

00:14:36.580 it's fine also we run out of reserves in about four weeks you know there are reserves all over

00:14:41.540 the world and we would really run out and there'll be a time when you wouldn't be able to get it and

00:14:45.880 you want to see bedlam wait a second three days after the secretary of war not defense war

00:14:55.440 helpfully direct war three days after he told us on cbs and actually don't you know like who cares

00:15:02.940 about the straightforward moves there's the president of the united states saying actually

00:15:06.120 we got four weeks to go until we run out of oil you can't get any and then there's quote bedlam

00:15:11.960 People are just eating each other.

00:15:14.480 It's out of like a medieval woodcut.

00:15:17.680 People are just fighting in the street because they have no oil. 0.96

00:15:22.720 Bedlam.

00:15:24.380 Craziness.

00:15:26.540 Now, probably both of these are an exaggeration, but the latter, the president's assessment, is of course obviously closer to the truth.

00:15:33.740 and we know that because for the duration of this war a war over a strait that apparently doesn't

00:15:42.580 matter well then why are we fighting over it the united states has been in the process of draining

00:15:47.700 its strategic petroleum reserve something like 172 million barrels taken out of the spr since

00:15:56.140 this war began now why would we do that if we didn't need the energy if it didn't matter

00:16:00.680 if energy flows were changing in the world

00:16:04.040 and the Strait of Hormuz was becoming irrelevant,

00:16:06.860 probably wouldn't be drawing down

00:16:09.180 the Strategic Petroleum Reserve.

00:16:10.700 In fact, we probably wouldn't be fighting this war

00:16:11.900 in the first place.

00:16:12.780 We probably wouldn't even be talking about 0.94

00:16:15.000 a humiliating MOU with Iran 0.50

00:16:18.100 in which we admit we're powerless. 0.88

00:16:19.700 Why would we go through any of this

00:16:21.240 if we didn't very desperately need

00:16:23.860 to keep that straight open?

00:16:24.920 Well, of course, the answer is we wouldn't.

00:16:26.240 so if you ignore what people say as always and watch what they do a very clear picture emerges

00:16:37.240 and of course it's the picture of desperation it's the picture of a group of people who went into

00:16:42.820 a war with certain expectations hopes anyway delusions they told themselves certain things

00:16:50.800 were going to happen those things didn't happen and now they're desperate it's all very obvious

00:16:55.440 Again, you probably wouldn't drain your strategic petroleum reserve and get 18 million Americans killed and go through the whole drama of all of this if you didn't have to.

00:17:07.540 All of which leads to maybe the most interesting fact of this entire exercise, which is oil markets.

00:17:16.440 Now, if you grew up in the United States, you have learned the hard way that a lot of the things you were taught as a child were not true.

00:17:22.920 Diversity is not our strength, actually.

00:17:25.440 the government is not necessarily on your side etc etc etc but one thing you likely still believe

00:17:33.300 is that markets are real and you have every reason to believe that because markets as conceived or

00:17:40.780 as sold to the american public are completely transparent we can watch them on a ticker we

00:17:46.580 know exactly what the price of shares in any publicly traded company is doing at any moment

00:17:52.700 and in commodities, whether it's oil or gas or soybeans or wheat, doesn't matter. We can watch

00:17:58.820 it. And we know that fluctuations in price are driven, maybe not exclusively, but in the end,

00:18:05.920 primarily by the supply of whatever's being traded. The principle of supply and demand

00:18:13.760 governs markets. If something is scarce and much sought after, it's expensive, diamonds.

00:18:19.620 if something is abundant and has limited use sand on your beach it's cheap

00:18:25.840 supply and demand govern price

00:18:30.960 very few people from keynesians to austrians it doesn't matter what kind of economic theory you

00:18:39.800 buy into it doesn't matter if you're a dsa member or a neocon or a newt gingrich republican

00:18:46.060 you can understand how markets work because it's very very simple and you see that principle

00:18:53.080 reflected in daily life from the minute you wake up to the minute you go to bed

00:18:56.960 so it hasn't dawned on most people to suspect that commodities markets are rigged how could

00:19:03.460 you rig a commodities market an international commodities market it's not controlled by any

00:19:07.760 one person you don't think so how could that happen well it's time to start thinking deeply

00:19:15.000 about this and by the way for those who are interested in exploring this we recommend so

00:19:18.420 strongly a piece by ron unz came out a couple of days ago in the unz review you can find it online

00:19:23.780 last name is unz one of the deepest and most interesting thinkers uh in the united states

00:19:29.740 wrote a piece about what is happening in oil markets and again it's worth the read

00:19:33.520 but to summarize it in four sentences so the price of oil that the consumer understands mostly

00:19:41.780 if you're a CNBC watcher,

00:19:43.480 you judge it by something called the price of Brent crude.

00:19:45.860 Brent crude, there's a Brent oil field

00:19:47.880 near the Shetland Islands in the North Sea.

00:19:50.240 It's actually, I don't think, operating anymore.

00:19:52.080 But Brent crude is the name that oil traders use

00:19:56.380 for sweet, light crude.

00:19:57.920 That means less viscous, lower sulfur content,

00:20:02.280 easier to refine into gasoline and diesel.

00:20:05.720 It's the majority of oil traded in the West

00:20:10.060 is light sweet crude we call it brent crude so if you want to know what oil prices are you look up

00:20:16.960 something called the price of brent crude and it's kind of a commonly agreed upon measure in the west

00:20:22.900 for what oil costs and you can look it up on your phone it's like the price of gold or silver or any

00:20:27.180 other commodity and so when this war started the price was maybe 70 bucks something like that um

00:20:35.140 I think it was about 70 bucks, $72 or something like that.

00:20:37.700 That would be the end of February.

00:20:40.040 So again, the war is taking place

00:20:42.840 at the center of the global oil trade,

00:20:45.000 which is the Persian Gulf.

00:20:46.960 And so naturally the price went up.

00:20:48.660 And then in April, the strait is closed

00:20:50.200 and oil predictably shoots up to maybe get the number wrong,

00:20:54.320 but maybe 118, $118 a barrel for Brent crude.

00:20:59.220 And that seemed honestly a little bit low

00:21:02.080 considering that 20 percent of global oil just got taken off the market wasn't flowing out of

00:21:07.420 the gulf and there was also extensive damage to oil extraction facilities to oil refineries

00:21:16.020 to petrochemical plants i mean there's a lot of damage you know not just to the oil wells but to

00:21:22.780 all the downstream uh machine machinery involved in in refining oil so anyway it seemed a little

00:21:31.760 bit low but at the end of april it reached what turned out to be its highest point and then it

00:21:36.660 did something quite amazing it went down there was a time this month with the straight basically

00:21:42.080 still closed when oil as priced on the brent crude market oil was cheaper by a few cents per barrel

00:21:52.180 than it was before the war started even though the straight was closed now you don't have to be

00:21:59.280 Larry Summers or a Harvard-trained economist to wonder, like, what the hell is that?

00:22:03.540 How could that possibly be? You take 20% of the supply

00:22:07.120 offline and the price goes down?

00:22:11.580 And you hear people say, well, China stopped importing a lot of oil.

00:22:15.200 True. But this is a market

00:22:18.500 and the people investing are basically making

00:22:23.140 a bet on what's going to happen in the future. These are futures.

00:22:25.740 so china can't stop buying gulf oil forever and there aren't an extra 20 million barrels a day

00:22:37.320 of oil anywhere on the planet that we can just like fire it up and be like okay we'll just

00:22:41.080 replace the oil with this so there's a global shortage of this commodity and the price goes down

00:22:45.480 so this and the run-ons piece has all kinds of different potential explanations for this

00:22:53.560 that are very interesting and you know it's not clear that we can settle on any one of them

00:22:59.900 but we can say unequivocally at this point that oil markets at least the Brent crude market

00:23:08.020 do not reflect reality which is to say they're fake and they're either being manipulated by

00:23:15.100 people. And as Ronan points out in his piece, that's not a crazy idea. I mean, GameStop,

00:23:23.780 famously publicly traded company that was tanking, became an incredibly valuable company because a

00:23:31.440 bunch of guys in their boxer shorts in their rec rooms decided to spike the price by buying

00:23:36.000 shares. Same with Hertz during COVID. So we have precedent for small, determined groups of people

00:23:43.740 manipulating public markets like that happens could it happen in a market this big and this

00:23:49.000 closely watched who knows another possible explanation is ai so it turns out one of the

00:23:56.440 many facts that you learn in watching this war that the majority of oil futures trading

00:24:01.140 i think about 70 is done by machines it's done by ai there's no people done automatically

00:24:08.760 in the way that we target drones and missiles now.

00:24:12.860 We just let the machine decide who to kill.

00:24:15.260 So apparently in futures markets, oil futures markets,

00:24:18.620 the machine decides when and how much to buy.

00:24:22.660 How does the machine make that decision?

00:24:24.760 Well, of course, the same way that AI makes all decisions

00:24:27.460 with the use of language.

00:24:29.380 And so one theory is that by making public statements

00:24:33.700 that the Strait of Hormuz is irrelevant

00:24:37.040 and the u.s government president trump have this completely under control

00:24:41.640 and that energy prices are not actually rising in fact they're going down when you look around

00:24:49.320 they are rising and by the way if you try to buy a barrel of oil let's say on on the internet it

00:24:56.020 tells you they're priced at 72 bucks or 84 i think it's 84 today can you actually buy a barrel of

00:25:01.880 oil for 84 bucks if I want to buy a barrel of sweet like crude for 84 dollars where would I

00:25:06.700 where would I find that and no news organization has bothered to actually like you know call the

00:25:13.220 biggest retailers around the world ask like what are you actually selling a barrel of oil for

00:25:17.840 no one's decided to do that for some reason probably because they all support this war

00:25:22.200 but if you were to do that you probably wouldn't find anybody who would sell you a barrel at the

00:25:27.700 price listed on the internet so the internet price is not the real price right by definition

00:25:32.520 but how did they get to that fake price in the first place and it may be

00:25:36.740 that the ai traders read news stories about the price of oil and prominent in those news stories

00:25:46.300 are statements from american officials saying actually prices are down they're never going to

00:25:51.540 go up this trading firm moves is irrelevant and they calculate their decisions about the future

00:25:59.960 price of oil based on those statements which of course are not only lies but probably made in the

00:26:04.740 first place in an effort to influence ai trading in oil futures if that makes sense in other words

00:26:12.400 you can speak the truth into existence because ai far from being smarter than people is actually 0.93

00:26:20.860 dumber even than kamala harris like that's possible though it sounds kind of shocking 0.76

00:26:27.780 so if you were going to do that what would you say well here's the secretary of interior doug 0.97

00:26:35.420 bergman by the way in the executive branch secretary of interior has more day-to-day

00:26:39.600 authority over oil questions the secretary of energy who's most americans think the secretary

00:26:44.480 of energy is about energy it's really about nukes but the secretary of interior has jurisdiction

00:26:50.520 over a lot of federal lands that produce oil and gas.

00:26:54.340 And so he's, and we have a Secretary of Interior

00:26:56.580 who's pretty knowledgeable on energy questions.

00:26:58.060 Again, Doug Burgum of North Dakota.

00:27:00.820 And with that in mind, the idea that it's possible

00:27:04.920 that Trump and those around him are trying to influence

00:27:07.840 computer-driven futures trading

00:27:11.160 by making false statements about energy, watch this.

00:27:14.640 Every barrel that goes out now gets replaced by 1.2.

00:27:18.440 So think of if 10 barrels go out, 12 barrels are going to come back in for the same price, already saving Americans billions of dollars because we've got business leaders like President Trump driving our energy policy.

00:27:31.460 right okay so energy prices have gone way down you may have noticed that oh wait no

00:27:37.960 the price of gasoline and diesel fuel and jet fuel and by the way electricity have all gone up a lot

00:27:45.260 in the last year a lot not a little bit a lot way outpacing inflation and of course in the end

00:27:52.580 driving inflation so energy prices have not gone down and for every barrel that goes out we get

00:27:58.980 two back or whatever what does that even mean well not explained and it probably doesn't need

00:28:02.480 to be explained because it may be read by these machine future traders as good news that they

00:28:08.940 factor into their calculation with the future price of oil thereby keeping the present price

00:28:13.360 down at least on paper and thereby creating a feedback loop where the people making decisions

00:28:19.560 keep the price artificially low not the actual price at which you can buy or sell the product

00:28:24.480 but the price reflected in markets which we thought were real but aren't and then those

00:28:30.840 same decision makers read the markets which they've manipulated and believe them oh yeah

00:28:39.020 and believe them so if you're trump last month you were saying we're about to run out of oil

00:28:44.800 the spr is almost dry these are salt caverns and we're getting to the salt part of the oil

00:28:50.180 like we can't even refine it it's too salty that was last month but subsequent to that oil prices

00:28:58.360 have gone up and down like they always do but they've gone pretty low because the markets have

00:29:04.000 been manipulated and it's entirely possible that trump and those around him are looking at this

00:29:08.900 and being like wow i thought this war was going to cause massive spikes in the price of energy

00:29:13.660 and because they're not calling around and asking people hey are gas prices up like what are you

00:29:20.540 paying per kilowatt hour at home have you noticed a change in the price of everything

00:29:24.700 all of which is affected by the price of energy instead of doing any of that they're just looking

00:29:30.020 at this one number brent crude pulling it up on their iphone and being like everything's fine 0.96

00:29:33.520 it's possible that's what's happening the dumbest and most dangerous feedback loop of all time

00:29:41.100 and then in effect is to get us back into not just a war but a ground war with iran it looks 0.93

00:29:50.300 like that is happening it's so crazy it's so crazy that even the israelis who are world famous for

00:30:00.020 reckless bloodthirsty behavior and there are partners in this venture keep in mind are now

00:30:05.480 saying i don't know i'm out and if you don't believe it watch this this is the secretary

00:30:13.500 the finance finance secretary of israel he's in the netanyahu cabinet very famous man

00:30:19.020 mr smotrich basically saying it looks like america's going back in this war but we're out

00:30:27.780 because you know what even i don't want to die for israel watch this

00:30:32.060 It takes a lot of, well, chutzpah,

00:31:00.660 To say something like that in public, if you were a cabinet minister in the government that the U.S. military is partnering with in this war, because you just saw what he said, and if you don't speak Hebrew, you can read the subtitles, he said, yeah, what the U.S. is doing is helpful to us.

00:31:16.000 We have no interest in a liberal government or a pro-Western government in Iran.

00:31:19.920 We don't care about the protesters.

00:31:21.260 We were weeping about, oh, they're killing protesters.

00:31:24.380 We never cared about that.

00:31:25.460 we want the country in a bloody generational civil war

00:31:29.240 so we don't have to deal with it 0.96

00:31:30.100 so we can take southern Lebanon and parts of Egypt 0.99

00:31:33.980 and kill the rest of the people in Gaza or whatever. 0.97

00:31:36.560 We don't want to be constrained by this country 0.95

00:31:39.840 on the other side of the Persian Gulf 1.00

00:31:41.040 so we want the United States to take them out 1.00

00:31:43.500 and we're happy about that.

00:31:44.860 It serves our interests.

00:31:45.440 He just said it.

00:31:46.560 But the one thing we're not going to do is die for it.

00:31:49.220 Yes, this is for Israel. 0.98

00:31:50.820 This war is for Israel. 0.61

00:31:52.600 But I'm not dying for Israel.

00:31:53.980 amazing you could say something like this

00:31:57.340 it's unclear that there's a single american leader this honest hopefully not this evil but

00:32:06.520 leaving moral judgments aside this honest this direct what was the last time an american leader

00:32:11.280 said anything that straightforward in public ever it never happens and this laser focused on his

00:32:19.080 own country's interest now that's a criminal country that's committing genocides you know

00:32:23.240 you don't want to be that country obviously but you would like leaders who are willing to say

00:32:29.480 unapologetically i'm in this for my team meanwhile the entire house of representatives every

00:32:37.480 republican but seven today minutes ago just voted to merge merge the u.s military the 1.5 trillion

00:32:47.060 dollar a year u.s military with the tiny reserve force idf does that help us no of course helps

00:32:53.680 them merge american intelligence the 19 intel agencies with massad what of course

00:33:04.480 basically a humiliation ritual whatever you want is real if it hurts us that's fine actually it

00:33:12.640 feels good to sacrifice for you it's like everyone in the entire government is mike huckabee now

00:33:17.640 craven self-hating

00:33:20.280 so there is something sort of nice about seeing

00:33:28.860 a government minister say yeah my people are not dying for this but as most just said happy

00:33:35.320 to see americans die for it and of course they are and more will apparently because the president

00:33:41.700 appears to have convinced himself completely that because he arrested maduro in january

00:33:46.700 we don't need well what's the what's the real number if you combine persian gulf

00:33:53.780 and the saudi pipeline into the red sea both of which could be closed

00:33:58.240 25 of all global energy offline we don't need it here's trump today in fact if you combine us

00:34:07.160 and venezuela we have about 62 of the world's oil market so we don't need straits we don't need

00:34:14.740 anything there's no measurement by which i mean not to like but i mean it's like it's crazy if

00:34:24.340 you combine america and venezuela we have 62 of the world energy market is it's not even clear

00:34:28.980 what that means but in no sense is that true venezuela and the united states don't produce

00:34:33.960 62 percent of the world's oil they don't buy 62 percent of the world's oil nothing i mean nothing

00:34:38.800 about that is real once again venezuela exports as of right now a little over 1 million barrels a

00:34:45.900 day 20 million barrels a day went through this traded for moves out of the persian gulf that

00:34:50.320 no longer happens we're 19 million barrels of oil short just in the persian gulf that does not

00:34:58.920 include what's happening in eastern europe that does not include apparently the now the closure

00:35:03.260 of the red sea so this is a crisis and every american will feel it europe will be crushed

00:35:13.520 when winter comes and there's not enough natural gas to heat london which is exactly where we're

00:35:19.280 moving thanks to the trump administration and the biden administration before it

00:35:22.880 it's going to be impossible even to care what the ai generated brent crude futures say

00:35:32.580 No one will care because reality itself will intervene.

00:35:41.300 And in the end, always, that's what matters.

00:35:45.360 Just because the battles stop doesn't mean war stops hurting the people who fight them.

00:35:50.920 No, for many veterans, the effects of what they've been asked to do continue long after they return home.

00:35:56.840 They're injured physically and psychologically, and those injuries can last a lifetime.

00:36:01.780 Groups like the Hunter 7 Foundation are here to help them.

00:36:05.280 Hunter 7 Foundation works to identify, to study, and to address

00:36:08.060 the long-term health effects of toxic exposure during military service

00:36:12.460 to help veterans get care, get answers, and advocate for their health and their future.

00:36:17.820 It's a nonprofit. Hunter 7 relies on the support from other proud American companies,

00:36:22.380 and Black Rifle is one of those.

00:36:24.280 Black Rifle Coffee proudly supports organizations that stand up for soldiers

00:36:28.140 who risked their lives because no veteran should have to fight for their health by themselves.

00:36:34.160 They should have the entire country's support.

00:36:36.620 To learn more about this good cause, find resources for yourself or a loved one,

00:36:40.300 or help support the mission, visit hunter7.org today.

00:36:44.520 That's hunter7.org.

00:36:46.720 Chris Martinson deals in reality full-time.

00:36:49.240 He is a reality-based energy researcher, one of the most respected in this country,

00:36:55.520 one of the most honest and we are grateful to have him join us now to give us an overview of

00:37:01.040 where exactly we are um chris thanks so much for doing this i i got a little uh excited there and

00:37:08.720 i wonder if you think i overstated the case you have much more knowledge on the subject than i

00:37:13.100 ever will well tucker thanks so much for the opportunity to come here and um yeah this is

00:37:17.840 my passion it's my mission because if anything you understated it um energy is life energy is

00:37:24.460 our economy the path we're on is headed for complete disaster at this point in time and the

00:37:30.680 people who are driving us there as you hinted at uh not my first rodeo i've seen these people in

00:37:35.280 operation what they did to libya what they've done to the middle east generally um they don't

00:37:39.880 do consequences and unfortunately this is reality we're talking about and you've been talking about 0.56

00:37:44.240 the markets and there's these narratives that they push and if they can just pretend for a little bit

00:37:48.420 longer it'll all sort of sort itself out but this is different these are molecules this is physics

00:37:53.500 this is very simple stuff exactly exactly it but it's all you know physical reality is so 0.99

00:38:01.720 unfashionable it's so well it's so unfashionable you got transgenderism but it's i think since the 0.98

00:38:07.260 invention of the internet people just imagine that things happen electricity is created dams are 1.00

00:38:13.740 built you know the world just sort of moves supply chains organically organize themselves

00:38:19.600 or whatever like they have no sense of how things actually work so you do what does this mean for

00:38:25.060 the life of americans and europeans well it's unfortunately it means the same thing it kind of

00:38:30.640 always means they're going to have these people who are going to accidentally wreck some stuff

00:38:33.700 uh and energy costs will go through the roof and then it's going to be the poor people the poor

00:38:38.860 countries are going to you know have the worst run of that as they start out but we're looking at 1.00

00:38:43.420 something here that could very easily upend our economy in a big big way so you mentioned in your

00:38:48.600 intro, there's a sort of straight line relationship between how much energy and economy uses and how

00:38:53.900 big it ends up being, you know, it's like a straight line on this chart. Yes. And that's

00:38:57.260 a really powerful chart because we've all grown up in an age of amazing energy abundance. I'm

00:39:02.420 absolutely thrilled with it. I'm a conservative. I would love for us to keep this prosperity we

00:39:06.800 have, but I fear that the people who are making decisions, they've, they've lost that grounding.

00:39:12.020 They don't understand that. I don't know. They're like three generations from anybody who had dirt

00:39:15.280 under their fingernails, right? It's been too long. So once we get grounded back in that though,

00:39:20.640 here's a simple thing. The world was consuming just oil, just crude oil. That's the tasty stuff.

00:39:25.900 We turned that into jet fuel, diesel, kerosene, um, and deck gasoline. And so that we were burning

00:39:31.760 about 80 consuming, burning 86 million barrels a day before the war started. And now we're missing

00:39:38.340 for sure about 12. That's just missing, missing. Cause they did some workarounds here and there.

00:39:43.340 well the question is when was the last time the world globe was burning 12 million barrels a day

00:39:48.880 less that brings us to 74 so we go on our little chart and we look back we find out that number is

00:39:53.760 2011 the world was burning 74 million barrels a day problem the world's economy was 36 percent

00:40:02.260 smaller back then and so this is what i work really hard at is because i do what i call put

00:40:07.120 on my energy goggles and it means when i go out i don't just see a a maddening infuriating traffic

00:40:13.060 jam i just see energy i see people burning oil like gasoline i see cars that took oil and diesel

00:40:19.780 to manufacture them i see jets flying i see bridges that need to be repaired and all of this

00:40:24.220 is just energy right and it just sort of makes sense right so the economy requires people to do

00:40:30.620 things like we all have to do some work even if we have a service job we're still doing work

00:40:34.320 well work requires energy and so therefore the economy requires energy we can just put those

00:40:39.580 pieces together and so when you have less energy flowing through an economy by definition it starts

00:40:46.500 to skinny down it gets simpler um which is a euphemism for it craters and so we're actually

00:40:52.660 risking the cratering of the world economy trump saying oh we're insulated i know we broke that

00:40:57.740 stuff over there but we'll be fine over here i just how's that going to play in you know diplomatic

00:41:02.240 circles as it goes on i mean we've we're about to unleash we the united states with israel

00:41:07.320 we're about to unleash the worst catastrophe on economies and financial markets and potentially 0.78

00:41:14.640 because of the impact on fertilizers and other stuff maybe even food maybe even famines things

00:41:19.820 like that this is what's at risk and i wish we were having serious conversations not hegseth

00:41:24.580 jokingly saying we don't even need a straight it's so cartoonish i i don't even know how to

00:41:29.620 words sometimes so let let's just um assess specifically what that would mean for the u.s

00:41:38.700 like you often hear the president but not just the president politicians going back at least 10 years

00:41:44.720 say this country is energy independent it's a net exporter of oil so if the country's a net

00:41:52.700 exporter of oil what is is that true i don't think it is true but i'll defer to you and what

00:41:57.980 does that mean does it mean we can set the price of oil like why is that relevant will you explain

00:42:02.140 the system for people who might be confused yeah this this detail is important so um when i was

00:42:07.660 growing up uh petroleum and oil were synonyms you could use them interchangeably and nobody would

00:42:12.600 get confused and they're just like remember under covid suddenly the cdc lost the thread on what's

00:42:17.280 herd immunity or a vaccine yes they started changing definitions so sometime about 10 12

00:42:22.480 years ago that our doe energy information administration decided you know what we're just

00:42:28.280 going to change the definition here a little bit we're going to call petroleum anything that comes

00:42:32.140 out of the ground that you can set on fire right um so oil is the thing we really care about now

00:42:37.320 because we're doing all this shale oil drilling very exciting and doing all this shale gas

00:42:41.360 extraction we have a lot of this stuff called natural gas liquids okay that's propane works

00:42:45.880 great in my grill i love it butane it's good in the lighter um ethane turns into plastics all that

00:42:51.720 but they lumped all that together and said oh when you put all of this stuff in one pile on a net

00:42:56.800 basis we're an exporter problem these aren't fungible you don't decide one day i'm going to

00:43:02.100 put gasoline in my car or maybe i'll put butane in my car right they're just not they don't have

00:43:06.800 very different purposes those natural gas liquids they're industrial we use them they're fantastic

00:43:11.780 they're industrial we have way too many of them we export a ton of them because we can't use them

00:43:15.400 fine we're still a net importer of crude oil and even more to the point we get all this stuff out

00:43:22.480 of the shale basins right you got the permian you know you got places like that the bakken in north

00:43:26.800 dakota so that stuff that comes out is really light and it's really sweet and it doesn't go

00:43:31.720 into our refinery so we package that up in ships and we send a good chunk of that away and then we

00:43:36.500 import heavier stuff from canada from venezuela but also the world and so to your point this idea

00:43:43.360 that we'll just insulate ourselves from the world is untrue whatever we're paying for jet fuel here

00:43:48.340 has a big relationship to what they're paying for jet fuel in europe because it's open to the

00:43:52.760 highest bidder and if it's worth it to put it on a ship and sell it to europe that's exactly what's

00:43:57.300 going to happen unless we do something really catastrophic which is you know close down our

00:44:01.820 borders to exports that would be a bad idea for a country with a hundred billion dollars last month

00:44:06.740 trade deficit because like nah we're going to keep all our good stuff we're going to send you

00:44:10.440 our treasuries you know we're good you know it's going to be a terrible idea what would happen if

00:44:16.140 we did that i mean there at some point there will be pressure because the public has been told for

00:44:21.020 a generation that we have an abundance of petroleum as you said the definition is not what they

00:44:27.780 thought it was but you know we're an exporter so people are going to say well it's eight dollars

00:44:32.520 for a gallon of unleaded what why are we selling this abroad why can't we just keep it here so

00:44:37.580 if politicians decided okay we're going to do that we're going to stop petroleum exports what

00:44:44.160 would that mean well um first off you'd have a heck of a legal battle on your hands um because

00:44:50.660 that would sort of break the fundamental contract that we have with uh how business operates second

00:44:55.460 we have legitimate contracts for lng for other petroleum products things like that that would

00:45:00.500 have to get broken but more to the point it would isolate us really badly in a time when um we need

00:45:06.260 this at least the appearance if not the reality of free trade happening where things go freely

00:45:11.260 across our borders to take one portion of that and shut it down um i think would be as damaging as

00:45:16.660 when in uh was a february 2022 when the united states treasury under biden decided to freeze

00:45:22.300 russia's sovereign assets reserves they're neither sovereign nor reserves under that scenario

00:45:27.580 and that kicked off a whole lot of things where people started walking away from the dollar we

00:45:32.440 started to see the treasuries weren't getting bid gold started to spike there are real consequences

00:45:36.660 to actions like that um and so i just think that would be it would be very destabilizing would be

00:45:43.340 the kindest term i could put here so that's not likely to happen you think hope not home ownership

00:45:50.480 has always been at the center of the american dream is an actual asset a place people work

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00:46:38.020 home loans for a reason. So get out of credit card debt. I mean, it is just crazy to borrow money.

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00:47:00.780 How high could gas get?

00:47:03.900 You know, I get asked this a lot.

00:47:05.360 So there's a little thought experiment.

00:47:07.680 So imagine like, you know, I've got a Nissan Pathfinder.

00:47:10.940 It's totally dry.

00:47:11.800 I put a gallon of gas in there and then I drive it until it runs out.

00:47:15.540 And then I have to turn around and push it home.

00:47:17.700 Question, how much is that worth?

00:47:18.960 because i'm about 22 miles away from home probably take me i don't know three weeks to do that so

00:47:23.840 people will pay a lot for gasoline people will pay a lot for diesel it could easily get to three

00:47:31.200 four hundred dollars a barrel and people who are riding little scooters you know all over bangkok

00:47:36.280 they're still going to be paying that because they're using it so efficiently in their in their

00:47:40.400 markets but it's worth every penny of that i have a farm i have a tractor you know i'm hay baling i

00:47:46.200 would really rather not go back to hand hay baling i would pay a lot personally for a gallon so the

00:47:50.080 question is what's it worth it's severely underpriced at this point in time in terms of its

00:47:54.840 actual worth that's okay we've had a lot of it got a little lazy with the whole thing but um

00:48:00.180 you know could we would people pay 200 easy a barrel 300 easy 400 yes absolutely what would

00:48:07.280 that mean for gasoline and diesel prices like how would that be reflected at the pump the fabled

00:48:12.440 pump the pump well you know this is interesting because we have the the quoted price of oil the

00:48:16.940 futures price right 85 right ish now for wti maybe 95 for brent um but on the other end of that i

00:48:23.660 don't put oil in my car i put gasoline in my car so the question is after it goes to the refiner

00:48:29.120 how much of those products worth right now okay so if you in rotterdam this morning wanted to buy

00:48:33.820 a barrel of jet fuel you had to pay 158 dollars if you want to buy a barrel of diesel same market

00:48:39.960 about $148. So that's what it's actually selling for. Well, what's the point of having a Brent

00:48:48.520 market, WTI, West Texas? What's the point of those numbers if they don't correspond to reality?

00:48:58.300 It's narrative control. It's really, I think that's what we're down to at this point in time.

00:49:02.740 So I've been watching markets for a long time. And I used to trade futures and my specialty was

00:49:09.280 gold also silver and i didn't dabble in oil all that much but they all operate kind of the same

00:49:13.660 and so the futures market were this awesome invention that allows speculators to really

00:49:19.560 be very dominant in setting the price for things not discovering the price i'm using this

00:49:24.020 terminology careful they set the prices for things so right now on a daily basis in the oil market

00:49:29.340 you're a producer i'm a consumer you're an oil company i'm a refinery right that would be the

00:49:36.040 actual price discovery mechanism we come to some agreement um that would be a one-to-one

00:49:40.820 relationship however on top of that we've allowed because our regulators fell asleep at the wheel

00:49:45.720 we've allowed the speculators in that story to become 50 times larger on a signal basis

00:49:50.240 than the actual deal that happens on at the bottom so when you have a 50 to 1 margin it's

00:49:56.180 the paper that's setting the price up there right now and we've watched this for years

00:50:00.860 it's one 30 in the morning. And this is happening with oil now constantly one 32 o'clock in the

00:50:06.160 morning when there's almost no trading happening, everybody's asleep. And all of a sudden somebody

00:50:10.500 will come in and I've seen this several times now and suddenly sell a million and a half barrels of

00:50:14.680 oil in a single one minute window. And it just crushes the price. And they do this over and

00:50:19.640 over again. And then of course you have all these algos and they're mostly momentum. A lot of them

00:50:23.080 are momentum algos. And so they're like, Oh look, prices are falling. So they pile on and you get 0.97

00:50:28.860 the whole sort of herd moving in a direction and it's just completely fake it's it's been this way

00:50:33.500 for a while and i think it's because i mean you've probably seen the same clips right trump comes out

00:50:37.620 he's like oh people told me oil is going to be 300 it's only 70 and the stock market's up

00:50:41.980 those are really important narrative moments for him to be able to say look i did this thing and

00:50:47.580 markets approve of it if they didn't stocks wouldn't be so high and oil wouldn't be so low

00:50:51.960 right i think that's the point of this stuff it's political narrative shaping right now so it's

00:50:57.600 lying because the price of something is the point at which the transaction occurs what's it worth

00:51:03.880 what will you pay for it i mean that that's that's what a market i mean correct me i'm not the

00:51:07.520 economist here you are but like right so if if i say the price of something is five dollars

00:51:14.920 but nobody would buy it for five dollars it's not worth five this is so nuts it's just not real at

00:51:22.780 all it's a lie so why isn't there an effort among policymakers or even the media to discover and

00:51:31.120 publicize the price of oil the price of oil is what people are buying it for i yeah it's a big

00:51:37.660 big mystery so here here's the thing you mentioned the most important thing there's like if you get

00:51:40.880 take economics there's one chart they call it the pq chart price supply demand right there's a curve

00:51:46.000 you can point to it that's how it's supposed to work um right now we're holding the price

00:51:51.780 lower than actual supplies, right? So what's happening is demand is too high. And so we're

00:51:59.980 burning through our stockpiles right now. And if you want to see something alarming, just look at

00:52:03.540 the actual amount of crude oil we have stored in the United States. That would be the SPR plus

00:52:08.300 commercial inventories. Or we could look at how much diesel do we have in tanks kicking around?

00:52:12.600 Hey, or how much gasoline do we have in tanks? And all of these are just powering low. Now,

00:52:18.400 why is that because the price is too low the only way you can get price you know supply and demand

00:52:23.320 matched again is you have to use prices so prices rise enough people decide i'm not gonna drive my

00:52:28.280 car today we'll take a lesser vacation whatever that's how this thing sorts itself out alternatively

00:52:34.500 and i'm really worried about this in a post-covid cisa telling us who's essential and not environment

00:52:39.020 that we're just going to run this down tucker until we get to

00:52:42.280 scary minimums and then we're going to have government rationing temps they're going to

00:52:48.640 try and decide who gets it you're not important you are imagine that amongst california democrats

00:52:53.880 that'll be amazing um but i think this is where this is going is we're actually just going to

00:52:58.020 sail into into absolute minimum and then the crisis comes out and i'm starting to wonder if

00:53:04.320 that hasn't been the point all along flesh that out so the point of this destroying global

00:53:12.340 energy supplies and capacity including refining the point of that i mean clearly there's a point

00:53:21.220 the united states is fighting a war against russia aimed at russia's energy sector and the united

00:53:25.420 states is doing that the trump administration is fighting a war against russia against russia's

00:53:30.360 energy sector and and knowing what it's doing and then it started this word knowing what would

00:53:36.540 happen that the lng ports in qatar would be hit etc etc etc so like you think the u.s government

00:53:44.000 the trump administration wants rationing maybe that i'm not sure if that's the ultimate end goal

00:53:51.140 but so february 28th we conduct this you know decapitation strike right killed killed iran's

00:53:58.740 version of the pope and that's how i was going to work out right so we do that on the 2nd of march

00:54:04.220 is when ukraine with some help obviously started really dialing in on russian refineries and oil

00:54:10.440 depots and this is very poorly reported i feel in our country but you know it's all over twitter and

00:54:15.520 other places but you can see and they were very effective they were blowing up all kinds of

00:54:19.660 refineries and big black smoky things they had even like struck right downtown in moscow and

00:54:24.260 took out their main refinery. And as of three days ago, every single major refinery in Russia

00:54:29.860 had been attacked at least once. None had been missed. And this is very effective. And some of

00:54:34.560 them were 1500 miles all the way inland. And that's not something Ukraine could do on its own

00:54:39.560 because Russia has mobile air defense units. And so you have to thread all these needles to get

00:54:43.600 your little buzzy drones all the way over there. But they, you know, they're getting that targeting

00:54:47.240 information. And so all that's going on. And then also poorly reported, probably the single

00:54:53.080 greatest loss of merchant marine vessels in the sea of azov in the black sea because of drone

00:54:58.040 attacks by ukraine on russian shipping any kind of ships ferries little merchant barges you know

00:55:03.460 oil tankers whatever if it's a ship it's it's getting hit and um and then of late we've really

00:55:10.160 stepped it up because uh russia has the their version of amazon's called wild berries and

00:55:14.400 they have these huge distribution warehouses and they have six massive distribution warehouses

00:55:19.360 oops now they have four because four of them have been completely attacked this is an economic

00:55:24.160 attack and of course the scary part with this is that russia just i don't know what was a few

00:55:28.440 months ago they they um they revamped their nuclear doctrine to say you know it used to be a

00:55:34.780 uh we would only respond if attacked with nukes but we're widening that to say we can use them

00:55:40.100 if we're facing an existential threat and the thing that drives me nuts is as we're poking the

00:55:45.680 bear nobody's bothered to come out and explain to me what's the upside here what do we get out of

00:55:50.640 this what's the point of this why are we do why is the trump administration doing this they told us

00:55:54.720 they were going to end the war they told me they were going to end the war and the cia is providing

00:55:58.700 an nsa are providing targeting to warehouses and refineries like i don't know like what is the what

00:56:05.640 is the point i don't know the answer do you know it seems to be to provoke a reaction i'm just

00:56:10.640 having you know i just got to speculate like anybody but i know it's dangerous i know that

00:56:14.720 if those things were happening to us we would respond pretty vigorously muscularly i bet so it

00:56:21.160 feels that feels dangerous but it's just the timing of it that a the strait gets closed down

00:56:25.440 straight up removes b russia really starts to get dialed up now c we've pushed it all the way to the

00:56:30.980 point that the bobble and deb straight and they're on the red sea is now closed and so you said it

00:56:35.720 before i don't i no longer trust a thing anybody says what are they doing so they've said oh we've

00:56:41.260 tried to get this memorandum of understanding which is an understanding about how you're going

00:56:44.940 to get to an understanding it's not even a thing but you know and we couldn't even abide by that

00:56:49.000 right and so what are we doing everything we've been doing is to further inflame this war get

00:56:55.760 caught in a little bit deeper trump has been talking about you know escalating constantly

00:56:59.800 at this point in time oh if you strike a ship we'll blow up a plant right um and and uh so the

00:57:06.820 actions are they're trying to keep it closed and here's the part that i'm worried about is i don't

00:57:12.040 think they i think they know not what they do i don't think they understand the relationship

00:57:17.700 between how an economy is undergirded by energy i think they just think it's all intangible it's

00:57:25.240 all it's all narratives right i truly feel like there's people who live in a world of reality

00:57:28.840 oh yes and then there are these abstractionists and they live in an abstract world it's all just

00:57:32.840 yeah yeah and so what happens if we push down that abstract world well you know as ann ran said

00:57:39.380 you can ignore reality but you can't ignore the consequences of ignoring reality and you know i

00:57:44.660 almost have to have a little chuckle because it's really dark like like what they're doing

00:57:47.920 if i could communicate to people clearly is they are risking everything everything that we hold dear

00:57:54.880 about our way of life about the ease of our lives about the jobs we do um where the future is going

00:58:01.980 what we tell our children it's and we're not having really any serious conversations outside

00:58:06.620 of say this podcast and others like it so is the world getting more stable or less stable

00:58:11.880 that's a rhetorical question we're not in charge of the world unfortunately but you are in charge

00:58:18.600 of in fact responsible for your own family and your savings so the dollar has lost nearly a third

00:58:24.820 of its purchasing power since 2020 that's crazy the dollar has lost nearly a third of its purchasing

00:58:30.300 power in six years. You know what hasn't? Gold. Gold has been a trusted store of value for

00:58:36.400 thousands of years. And that's one reason you should think about gold right now.

00:58:40.540 It's about 25% below its high from earlier this year, which is amazing.

00:58:45.540 Some of the world's biggest financial institutions are making the move because

00:58:49.260 gold relative to its power and endurance as a medium of exchange is pretty cheap right now.

00:58:55.480 Central banks are reducing their reliance on treasuries and increasing their holdings of, yes, gold.

00:59:01.540 They're not alone.

00:59:02.800 Individual investors are doing the same.

00:59:04.460 Ray Dalio, founder of the world's largest hedge fund and a friend of ours, recommends holding up to 15% of your portfolio in gold.

00:59:13.000 We've long believed in gold.

00:59:14.660 We've been vindicated.

00:59:15.820 We started Battalion Metals to give Americans an honest, fair-priced way to buy metals, gold and silver, because a lot of these companies are scams.

00:59:24.760 Ours is not.

00:59:25.480 you know we have like three points over spot we'll ship it to your house battalion metals.com

00:59:32.080 slash tucker is the place to go to learn more about buying metals gold and silver precious

00:59:37.580 metals iras secure storage all of it battalion metals.com slash tucker i don't think there are

00:59:45.400 any i i don't i don't think there are any and people throw this stuff out unchallenged no

00:59:51.320 actually we're gonna we have venezuelan oil now so we have more than enough oil and by the way if

00:59:57.460 you wouldn't mind explaining why that probably isn't true what does that mean when they tell us

01:00:03.480 that we now have all of venezuela's oil so we don't need oil from the persian gulf yeah so oil

01:00:09.560 is uh oil's not saying like water water's kind of water maybe salt water and fresh water so we

01:00:14.560 understand those are different well oil has like 900 different flavors right yes and the venezuela

01:00:19.880 has a lot of oil but it's you're gonna use the little quotation marks in the air oil uh and the

01:00:24.760 reason for that is that um they have two fields they have the merry field which we're currently

01:00:29.120 drawing from it's nice it's very heavy it's sour which means it has sulfur in it actually sulfur

01:00:32.880 sounds bad because we call it sour but it's actually tasty in the sense that we use it for

01:00:36.240 all kinds of things right so yes that's actually high value oil the rest of it is in this stuff

01:00:40.380 called the orinoco belt it's a big belt but it's not oil like you couldn't like the easiest way to

01:00:45.940 get out of the ground is with a spatula right uh it just doesn't flow it's like it's really tar

01:00:50.680 it's like a it's basically imagine a really hot road it's august day it's like asphalt yep yeah

01:00:56.920 it's pretty much asphalt and it's packed with asphaltines a component of that so uh it's

01:01:02.480 hideously expensive to get that stuff out of the ground you have to do all kinds of very

01:01:05.420 fun things you have to either use steam which means you have to create steam so you have to

01:01:09.140 build a power plant on site inject it down there or you have to put a diluent down some kind of

01:01:14.240 solvent that you just inject in the ground and suck it back out again it's tricky um so remember

01:01:19.840 uh trump goes down there and he brings in all the exxon and all these people gets mad at them

01:01:24.200 because he said go down there and get that oil boys and they said it's it's uninvestable because

01:01:28.740 there's probably 100 150 billion that would have to be invested down there and um defending an oil

01:01:35.540 infrastructure in iraq is relatively easy because it's all flat desert yes um defending oil

01:01:40.820 infrastructure in the jungle is a whole different beast if things go south on you so they said you

01:01:45.640 can't do that unless you give us security guarantees and that's that wait that's awkward

01:01:49.580 how do we do that so they couldn't come to any agreement and trump just got mad at exxon

01:01:52.740 um but it's not trivial and it's very expensive and if we started today with complete security

01:01:59.040 guarantees and also um contract guarantees in a socialist regime they took maduro out but the

01:02:05.000 whole rest of the structure remained intact so i'm not real clear what happened there um

01:02:08.720 it would still take five to ten years to get that flowing um and we don't have five to ten years

01:02:14.580 we've got like two or three more months here would if it was flowing at full force would it

01:02:20.100 compensate for the 19 million missing barrels of oil a day through the straight hard to imagine

01:02:28.020 here's as close as comparable is um the the bitume and the tar sands canada likes they've

01:02:33.300 rebranded it oil sands but all that beautiful stuff up in alberta a very capital intensive

01:02:38.000 over you know the past 15 years they've managed to bring that up to a very respectable 4.67 million

01:02:43.800 barrels a day of flow but it took tens if not hundreds of billions of capital it takes a long

01:02:49.220 time you don't just turn a tap on and it kind of comes out you have to each chunk of the field has

01:02:54.980 to have pipes put in it and infrastructure and steam and all kinds of stuff it's just listen

01:02:59.960 i i if that's comparable i would say if you could be as stable as canada i would imagine in the next

01:03:06.740 15 years you could probably get that up to four or five million barrels a day if they're comparable

01:03:11.000 and it's listen i'm simplifying a lot i'll have some oil people calling me up and yelling at me

01:03:14.560 but just to keep it sort of roughly comparable four or five million barrels a day under best

01:03:22.740 case circumstances with political stability security and massive hundred billion dollar

01:03:29.680 infrastructure investments you get it to five million barrels a day we're 20 million barrels

01:03:35.560 a day offline so like there's kind of no way around i don't care what doug burgum or the

01:03:41.200 secretary of war says there's no way around the reality that like we are short uh awful lot of oil

01:03:48.860 in the global markets so what so i mean that's just like is that if i'm misreading this that's

01:03:54.560 that's the fact right yeah that's the fact and and i guess um again the administration officials

01:04:02.160 i've seen they kind of keep going shrugging and going well we'll be relatively okay um but what

01:04:07.640 that really what they're really saying is um the person you know the country that we're going to

01:04:11.060 hit the most is the largest importer of oil is china and china may decide it has to say something

01:04:16.660 about this at some point in time they've been very quiet so far pretty suspicious but

01:04:20.940 it was may 13th trump goes over brings over tim cook and all these other elon musk ceo types

01:04:26.400 and it was shortly after that that they really dialed back their imports so i'm pretty sure

01:04:31.300 there's a quid pro quo the quid was we'll stop importing for a while i don't know what the pro

01:04:36.720 quo was you know was it taiwan we don't know we'll have to figure that out later um but china can't do

01:04:41.880 that forever they've been i think a little fairly gracious so far um but they are starting to re-import

01:04:47.800 and bring their imports back up and and they can't have this area shut down for the next year

01:04:53.340 it just they're gonna they're gonna have to intervene in some meaningful way i would imagine

01:04:58.380 because again energy is everything and they know that they've got these beautiful five-year sets

01:05:03.760 of five-year plans and their energy policy actually when i read it i weep because i wish my country

01:05:08.200 had one it was so comprehensive um it's very thoughtful it only brings on alternative energy

01:05:13.640 slowly up to a certain percentage and they're pursuing nukes and alternative nukes and small

01:05:18.060 nukes and thorium reactors and a plank of their energy policy is have good relations with the

01:05:24.140 people we get our oil from germany could take a lesson from that book right um you know and uh

01:05:29.440 so they're obviously dialed in on energy they know its importance um and eventually they're

01:05:34.880 going to have to intervene here i think if we continue to mess this up how long till american

01:05:40.880 consumers are shocked by what they see because of rising oil energy prices well um we're going to

01:05:48.180 be shocked here i think we both live in new england um heating oil is up 84 percent from this time

01:05:53.180 last year uh and i i live around people who are going to be very hurt by that and um it's that's

01:06:01.220 going to be tough it's going higher than that uh new york harbor is a place where we have they sell

01:06:06.240 in five districts the new york harbor district for diesel just hit its all-time high just last week

01:06:12.140 so we're going to be seeing 550 a gallon diesel again here very shortly those numbers are just

01:06:17.200 going to keep going up yeah and keep in mind there's been a organized and concerted effort to

01:06:24.380 discourage the use of wood stoves for the last 25 years yeah don't have a wood stove it pollutes

01:06:30.140 you know just heating oil that's the answer lp gas um wow okay so do you think um gasoline which

01:06:39.360 is the i think the most common retail measure of energy prices i mean are you going to see six

01:06:44.320 dollar a gallon gasoline before labor day or this year do you think yeah i really do so i'm tracking

01:06:51.980 these every week we got another raft of numbers if you can believe them i'm not sure what i can

01:06:56.040 believe anymore tucker i'm honestly i don't know um you know would it be beyond this administration

01:07:01.200 to fudge the numbers and say we have more gasoline in stores than we do sure uh well within the realm

01:07:06.260 of possible but if we can believe the numbers as they are we see that all of our actual stocks and

01:07:11.060 inventories are going down now this was tragically comedical when trump came out and said we're gonna

01:07:17.760 go after the retailers for gouging on gas it's like oh dude that's not how this market works at

01:07:21.960 all the the 7-eleven is a price taker the guy with the big tanker shows up tells him what the

01:07:26.740 that costs and he's also a price taker he goes to the distribution center and they're price takers

01:07:31.260 and so the people like there's no one person you can say is gouging the refiners sell to the

01:07:36.080 highest bidder the highest bidder has the need to buy at that price so that they can supply the

01:07:41.100 people who are depending on them and that's how it works um so there's no gouging at this point in

01:07:46.640 time but we're going to see a lot higher prices because again all those inventories are just

01:07:51.660 screaming downwards and so there comes a point where i think we just have kind of like how did

01:07:56.720 hemingway go broke you know slowly then all at once i think we're going to slowly people are

01:08:02.000 going to start waking up that there's a there's a real crisis here these are shocking levels of

01:08:06.400 inventory and eventually there's this mad scramble and that's the all at once part of this but you

01:08:12.820 know 2022 america imposed sanctions on russia russian tankers and all that stuff and so there

01:08:18.300 was the thought that maybe three million barrels a day might come offline and that was enough to

01:08:22.420 send oil from then about 80 to 120 where it stood for five months right and then it turned out oh

01:08:27.980 after the news settled in they're like ah it wasn't such a big deal because russia ended up

01:08:31.760 using shadow tankers and selling it in india yeah exactly yeah it's no big deal so actually

01:08:37.220 there wasn't any real impact to the oil markets and here we are now today with inarguably not

01:08:43.800 just the largest energy shock ever but by literally whole factors right so we had the

01:08:49.900 oil embargo starts in october 1973 runs till march of 74 and what they did was they they didn't they

01:08:57.580 didn't stop selling to the whole world they said i don't know why norway's trapped up in this but

01:09:01.740 they said we're not selling oil to the u.s or norway i still don't know how norway got tangled

01:09:05.520 up in that and then what they did was they agreed as a group of opec nations or arab nations at that

01:09:10.780 time that they were going to reduce their production by five percent per month so by the

01:09:16.160 end of the whole thing the world was short nine percent of its oil right and that was enough to

01:09:20.800 take oil basically from 370 a barrel to 33 it was a 10 10 bagger right and that created a huge shock

01:09:27.600 And then we had the double wave of inflation that happened in the 70s. And it took Paul Volcker coming out and ramming interest rates to 21 percent in order to pinch that second hump of inflation.

01:09:39.000 I mean, can you imagine what would happen if we had to fight inflation that way? So there was a huge learning from that.

01:09:45.400 And I believe that the lesson was, oh, if we can just keep the price of oil down, we can minimize the shock.

01:09:50.480 and so they're doing that and the problem is while they're doing that the price is too low

01:09:56.060 even though it feels high it's still too low to truly match supply and demand and so supplies

01:10:02.080 are just being run down so now we've run through you know the iea said go ahead release 400 million

01:10:08.280 barrels all you you know g7 countries and we were a big chunk of that we're almost half of that

01:10:12.620 um we had all this stuff that iran had stored up in tankers that they suddenly released to the

01:10:17.340 world we had all the russian stuff that suddenly got released all those tankers we had all these

01:10:20.420 tankers that were in motion at the time the war started it took them a month or two to get to

01:10:24.660 where they're going so we had all of that to sort of work through now that's all gone and even if

01:10:30.920 the strait opened up right now you know we would not get to 21 million barrels a day again till

01:10:37.020 probably a year from now for three separate reasons which you mentioned one there's we don't

01:10:42.060 unknown damage to the actual oil fields because they just had to shut them off and that's that's

01:10:46.220 bad that's not how you treat oil wells and so we'll see when they turn them back on how much

01:10:51.340 damage happened two they got to fix all the stuff that got uh tuned up right so refineries got hit

01:10:57.260 and loading docks got hit and oil platforms and all that and probably one of the biggest things

01:11:02.620 is just unbolloxing the um all the tech all the shipping right because it wasn't just oil tankers

01:11:08.960 coming out there were cargo containers and bulkhead carriers and all this stuff and that

01:11:14.080 That whole perfectly choreographed, just-in-time symphony of thousands of ships going hither

01:11:20.120 and yon, that all got completely shredded.

01:11:23.180 So that all has to sort of be reformulated and rebuilt.

01:11:26.580 Shipping experts I talk to say minimum three, four months just to sort of uncork that and

01:11:30.980 figure out where things are.

01:11:32.020 And that's if and only if my magic finger snap made things stable and insurable and,

01:11:37.620 you know, believably so.

01:11:40.180 And I don't think we're anywhere close to that.

01:11:42.320 literally nowhere close to that now for i feel like many americans recall or have read about

01:11:50.080 the oil shock of 1973 which as you just said had downstream consequences that lasted almost a

01:11:56.260 decade and changed the country changed how we manufacture cars changed the culture changed the

01:12:01.340 birth rate like it it really was a big deal though it was much smaller than what we're facing now

01:12:05.500 very few people remember why that happened do you remember why do you remember why opec shut us out

01:12:11.080 and norway and doorway um well you know there was just uh i guess what i think israel was involved

01:12:18.220 yeah that's exactly right because we sided with israel in the yom kippur war of 1973 that's

01:12:22.820 exactly why so we paid a huge price in 1970 i mean not to be pedantic about it but it's just a fact

01:12:28.780 we paid a huge price in 1973 for our support for israel which was not to our strategic benefit it

01:12:35.820 was for sentimental or other reasons maybe darker reasons but it wasn't like we were getting anything

01:12:40.740 out of it we didn't we lost and once again 50 years later it's a replay but 10x i just i just

01:12:48.840 can't help but notice that yeah um even then though i feel like there was more reality sort of

01:12:57.480 in the system we live in a super unreal time right now i can't believe like trump can just

01:13:01.200 say things like oh we've completely beaten them militarily well then why can't we stop any of

01:13:05.920 those missiles or drones you know it's just it's then why are we drawing down the sbr if the

01:13:11.200 strait of hormuz doesn't mean anything it's it's yeah it's just and and we're we're the journalists

01:13:17.020 i mean just ask a follow-up question you know i did see on with pete hegseth department of war

01:13:22.340 i struggle with that too um you know saying but prices are high lady you ain't seen nothing yet

01:13:28.160 um we are just getting started on this this could get a lot higher and and here's my concern

01:13:33.500 the destination doesn't bother me if you said hey we have to find out how to live with like

01:13:38.460 you know 13 less energy and we've got five years to sort it out and prices will climb to give us

01:13:44.180 that's fine um the destination doesn't bother me we'll sort it out but it's the pace of change

01:13:49.940 that gets you right and so if we just slam into this and oil or gasoline something goes from 5

01:13:54.980 to 15 or whatever it's going to do suddenly um that's where the shock happens that's where the

01:13:59.740 damage happens that's where the uncontrolled things happen and this is why i i research and

01:14:04.460 i look at neither of these two things independently i always look at energy and the economy and so

01:14:09.240 here's what we have to understand the united states in 1973 had some debt not 39 trillion

01:14:15.380 dollars of debt right with a structural deficit of two to three trillion per year for the next

01:14:22.620 10 years right just by law nothing we can do about that it's all baked in the cake

01:14:26.120 with derivatives uh numbering one to two quadrillion depending on how you count these

01:14:32.820 things nobody knows what they are don't ask me but literally nobody understands how the whole

01:14:36.760 thing operates but what they do is they provide insurance tucker at a moment when um you don't

01:14:41.940 really need it you know but but if things get a little out of parameters they say like you know

01:14:46.960 interest rates suddenly do something really crazy like they did in the long-term capital management

01:14:50.700 um they had all these fancy derivatives and all of a sudden oops you know russian bonds went a

01:14:54.700 little further than they thought in the wrong direction and boom six billion out the window

01:14:58.040 and alan greenspan had to fix it you know um if these derivative markets freeze up what we're

01:15:03.260 going to see is the complete freezing of our financial system in markets and that'd be very

01:15:10.200 bad um and you know sort of my dark horse candidate for kicking all this off is going to 0.77

01:15:14.660 be japan their yen is weakening really a lot right now and they're trying hard to make that

01:15:19.800 not happen and also they've lost control of their bonds and the yields are spiking higher and that's

01:15:25.240 a very rare combination to lose control of both the price of your money and and and your interest

01:15:32.160 rates uh you know that's um so that could be a situation where if that really starts to spiral

01:15:37.220 out of control they're gonna have to do something and that would mean closing markets shutting

01:15:42.420 things down you know and what would that look like you know we'll wake up one day and they'll

01:15:46.500 say oh you know terrible things happened at nomura bank but don't worry it's very temporary oh

01:15:51.140 actually japan's gonna have to shut their nikkei down for just a couple days actually hang on we're

01:15:55.380 gonna have to shut down one of our banks over here for a little while and then it'll be wednesday

01:15:59.140 and they'll be like we can't open it this is how this is going to sort of play out at some point

01:16:02.580 but that's because we allowed you know we had the great financial crisis and they're like oh that

01:16:07.760 was a terrible idea we had all these collateralized debt obligations and you know all that stuff we

01:16:11.560 shouldn't have done that so learned our lesson today derivatives exactly like that are still

01:16:17.800 saturated through the market they're twice as large as they were back then no lessons learned

01:16:22.420 except they did write some laws that if the banks get in trouble they're going to take your bank

01:16:26.160 account uh to help make them whole again they did they did write some laws so they got that done

01:16:30.680 it's it's of course theft at scale let me just ask though i mean japan is the biggest or one of

01:16:36.080 biggest holders of u.s treasuries so what effect does that have on treasuries well it has a lot

01:16:44.360 so japan is going to have to sell those treasuries just to begin defending its currency right because

01:16:48.640 they're going to need to that that would be part one but part two is japan imports 100 percent of

01:16:53.980 its hydrocarbons it has no domestic reserves so as the price of oil goes up and oil products goes up

01:16:59.500 they're going to have to buy those at higher and higher and higher yen costs so the poor people

01:17:04.380 of japan are getting hit with a double whammy right first their yen is weakening that imports

01:17:08.360 inflation second when they have to buy oil that's also going up in price it's with a weaker currency

01:17:14.180 so they're going to be feeling it um sort of at a 2x rate of speed and that creates social unrest

01:17:19.560 political problems it's it's going to create a lot of pressure to do something um and unfortunately

01:17:26.900 there's not a lot that can be done for as long as the strait of removes remains closed i predict a

01:17:32.980 bailout by china thereby neutralizing the japan problem which is one of china's biggest problems

01:17:37.720 and they're you know obviously historically um japan occupied a huge part of china for a long

01:17:44.040 time and chinese haven't forgotten it and they're concerned about japan they don't want american 0.64

01:17:48.480 troops in japan they don't want japan to have a nuclear weapon and a desperate japan is good for 0.68

01:17:55.180 china that's just my guess yeah let me ask you about um and i hate i don't want to get too dark 0.90

01:18:02.400 with this but like the hope of the u.s economy at this point the entire future of the state of

01:18:07.360 california is all predicated on the success of ai and ai doesn't famously produce anything it

01:18:15.540 doesn't you know you don't make anything with ai you really just consume energy and ai like bitcoin

01:18:20.200 mining is just a function of energy like what's the price of energy how in the world are you going

01:18:26.980 to transform our economy from a manufacturing economy to an AI cryptocurrency economy with

01:18:33.720 energy prices like this? How does that work? This is one of these big sour notes. I can't

01:18:40.820 figure this one out, Tucker. But I just wrote a huge report on AI, my most recent one. I call it

01:18:46.640 the Renaissance Report, which is overselling myself. I just have unmanaged adult ADHD.

01:18:51.620 That's the spirit.

01:18:52.880 Yeah.

01:18:53.840 But AI itself is very concerning because we've thrown trillions of dollars of CapEx at this.

01:18:59.580 So it's kind of all in. 0.94

01:19:00.720 We have to beat China, right? 0.98

01:19:02.220 Okay, that's the story. 0.90

01:19:03.920 But if we were really serious about this, let's say we've got some idea that what we're going to do is we're going to get God in a box, right?

01:19:09.720 And we have to get God in a box first, and then we'll be able to run this whole thing.

01:19:14.820 but the implicit assumption baked in there is we're going to have these data centers and they're

01:19:18.680 now permanent part of our architecture going forward. All right. They take a lot of energy,

01:19:23.300 right? I call them toasters that don't make toast and they make videos, but they just,

01:19:27.560 they just basically just turn natural gas into waste heat. You know, that's what they do. Um,

01:19:33.200 and so you would think if you had a comprehensive, beautiful five-year plan of

01:19:37.440 energy strategy, somebody would be gone. Where's the energy for that coming from? Well, now wander

01:19:42.760 with me over to the world where actually our own energy information agency administration the eia

01:19:48.500 says we're kind of at peak oil right now the shale beds of all sort of they've done what they can

01:19:53.920 they don't go to tomorrow you know zero by tuesday but there's we're not going to be putting more on

01:19:58.760 going forward and similarly natural gas there's a lot there but it's kind of wouldn't you know it's

01:20:03.600 kind of bumping along and okay so you would think somebody would be saying look we need these boxes

01:20:07.940 permanently this can be part of our control grid it's how we conduct business it's going to be

01:20:12.140 woven into everything we're all going to have digital ids and and if the if this ai system

01:20:16.740 goes down wow we're really screwed we won't know how to get people on flights we won't know how to

01:20:20.820 distribute you know lorries to walmart everything breaks right so you'd think wow we should have a

01:20:26.940 comprehensive plan well first we we're not going to have natural gas forever it all too like all

01:20:32.540 good things runs out so you we would be doing something smart we would be you would know that

01:20:37.680 they were serious about this if they were slapping in small modular nukes and nuclear

01:20:41.900 plants all over the place because that's the answer for that nukes make beautiful electricity

01:20:45.700 a big fan of them but we're not doing that right not at scale and we haven't even figured out where

01:20:52.140 we're going to get the uranium from to continue operating our own so it's it's almost it's this

01:20:56.800 very unserious thing tucker which i can't figure out it feels like they don't care about the future

01:21:01.500 they just there's some goal line they're trying to just like furiously cross over with the with

01:21:07.200 the football i don't i feel that way too i felt that way since really since trump's inauguration

01:21:13.660 and i then i realized the goal line was the iran regime change effort like that's everything in

01:21:19.760 retrospect about the staffing and the administration the transition all of it was designed to make

01:21:26.760 february 28th possible but what i haven't figured out is what the point of that was

01:21:30.920 do you have a thought i wrestle with this all the time you know it's yeah what do you do you

01:21:40.960 pick it's either really rank incompetence or it's malevolence but malevolence on a scale that

01:21:48.760 doesn't have a lot of precedent in history i mean that we know of i mean a lot of history

01:21:52.940 most history is unrecorded but to the extent that we know what previous empires did and why

01:21:59.120 nothing like this has ever happened at this scale including in the 20th century where you

01:22:05.160 clearly the u.s government or elements within the u.s government are trying to destroy global

01:22:10.580 energy markets which as you said at the very outset is a one-to-one correlation to the

01:22:16.120 strength of the economy gdp so like prosperity why would you why would you wipe out civilization

01:22:22.080 why are you trying to do that like what is this all right well for what it's worth my ponderings

01:22:28.440 and i'm i i reserve the right to change this in 10 minutes but here's what i came up with so

01:22:32.600 back in 2016 there was this cheesy little wef video right and the first thing was you'll own

01:22:38.880 nothing and be happy and and that got a lot of airtime famous right yes yeah number four was

01:22:43.420 you'll eat less meat you know and here we are with like you know alpha gal ticks running around

01:22:48.060 and you know hamburger at seven a pound and then but number eight was the one that caught me the

01:22:53.000 most because this one really bothered me and number eight was by 2030 western values will

01:22:57.640 have been tested to the breaking point now why western values why not chinese values why not

01:23:03.740 african values you know and ever since then i've had this strong sense that my country is under

01:23:08.620 attack right kids don't know they're confused about gender we don't even have a border anymore

01:23:14.100 um the pillars of of everything like morality like pete hexath saying it's totally okay to

01:23:20.180 take boats in the caribbean as long as we suspect the running drugs just summarily execute them

01:23:24.080 these are not christian values they're not my western values they're not western values we

01:23:29.460 only punish the guilty period i mean that's the essence of western values you punish the guilty

01:23:34.220 you spare the innocent you don't kill innocent people that's why we're different from stalin's 0.51

01:23:38.380 russia and from the mongols and like that is that is the west so we're different from israel which

01:23:42.800 is not part of the west so yeah that's that's i've never heard that before can you restate that

01:23:48.680 in the world economic forum 2016 they put this little video up yep yep and it's western values

01:23:56.260 would be tested to the breaking point and so people's you know i'm this kind of a guy if

01:24:05.520 somebody says they're going to do something and then it happens i'm thinking maybe they did it

01:24:09.500 you know it's just how i'm constructed in this story so so that's a legal principle yeah

01:24:15.500 well it's it's something i live by but um it this has been you know just watching this unfold

01:24:22.140 so on the one hand this is all just errors of judgment and late stage empire and things rot

01:24:27.920 and fall apart okay um on the other hand you say it's just too deliberate so so um you know in my

01:24:33.900 community at peak prosperity we have a framework we use we call it the easy hard framework right

01:24:37.560 developed by one of my one of my um uh subscribers and so here it goes like this

01:24:41.820 if something's easy well the elites want it and if it's hard they don't really want it so i've

01:24:49.680 been astonished at how easy it was for these flock cameras to suddenly appear everywhere

01:24:53.460 you know hundred thousand of them every one of them requiring municipal decisions i'm i work on

01:24:58.800 in the local town offices down here in my my spare time um nothing's easy at this level but

01:25:04.200 somehow a hundred thousand cameras went up and that's all about invading our right to privacy

01:25:08.100 right our our sense of privacy fourth amendment you know just to be secure in my persons from

01:25:13.760 searches and seizures and uh and somehow that was easy now if on my farm i wanted to dig a pond

01:25:19.880 which would support life and if you dig a hole in the ground and water goes in it everything

01:25:23.600 shows up magically that would be very hard it'd be super hard right you know if i wanted to do

01:25:31.320 that that'd be very hard but if i wanted to go down to home depot and buy pesticides and spray

01:25:35.080 i'm all over my property yeah go for it how much you have at it so i kind of feel like this easy

01:25:40.620 hard framework when i start looking at this way the easy stuff is the stuff that's not affirming

01:25:45.480 of of life liberty pursuit of happiness everything i hold dear and the hard stuff is stuff that

01:25:52.340 actually makes life better right i was in the covid thing i was full-on warrior you know i

01:25:57.960 worked with with pier cory and paul merrick and the flccc and i i'm still on the board at the ima

01:26:04.120 And the people are just like, look, can I just use this repurposed, cheap, very safe drug like doctors have always used if they choose to use something off patent?

01:26:13.800 Fine. And that was very hard.

01:26:16.100 I mean, the whole weight of the system came down on them.

01:26:17.940 Oh, you want to put people in ventilators and give them remdesivir with upwards of 85 percent kill rate?

01:26:24.980 Easy, rewarded.

01:26:26.200 And so you just notice this over and over again. And then you finally get to I think the last great thing to skewer here is that we have markets. They're free. They're fair. They're trustworthy, maybe imperfect, but they there were honest participants come to set prices amongst each other in a fair and open way. And that's just not the case anymore. And it hasn't been for a while.

01:26:52.240 that's the final black pill for me i mean it was one thing to discover that

01:26:56.580 you know building seven probably didn't just fall in on itself because it had

01:27:01.760 airplane parts on the roof or that multiple people were involved in the kennedy assassination

01:27:07.120 okay you know those those truths dawned gradually for me but markets i mean markets take place on

01:27:15.120 the basis of the most simple and self-evident principle in life it's almost like a principle

01:27:19.820 of nature supply and demand and they take place transparently or so i thought i mean it's it's

01:27:25.520 really hard as an american to accept the fact that markets and i think i speak for many when i say

01:27:31.400 this are fake i would agree i would agree you want to think of something that's hard you know

01:27:38.540 what's hard getting the gold at fort knox audited oh my gosh that's so hard yeah i wonder why that

01:27:44.580 is so because it's not there um my last question to you is what counsel would you give if people

01:27:53.240 have made it this far into the conversation they i'm certain agree with the way that you think

01:27:58.420 um you know putting truth at the center of your decisions it's the only way to think uh what

01:28:05.760 advice would you give to people about their personal finances in a moment of turmoil like

01:28:10.380 this well this is the um excuse me whoo whoo because tonight we got a little cold sorry

01:28:16.940 good to get those out just let him go um well this is this is so i don't do what i do tucker

01:28:24.480 so that i can like make people feel anxious i don't like stirring things up i really don't

01:28:28.400 like that at all i what i want to do is find enough truth where i go look if we put these

01:28:32.400 dots in a row what conclusions do you come to and sometimes they're not easy conclusions and i

01:28:37.480 understand i'm not really in the data business i'm in the belief challenging business so you

01:28:41.000 mentioned the red pilling right yeah so when i say like you know the whole thing that happened

01:28:45.880 with cove is kind of like oh you know look there's this really awkward stuff that's happening but for

01:28:50.400 people to accept that they had to give up some really important things maybe like faith and

01:28:54.120 authority right a belief that the medical system is there to help them they're like powerful beliefs

01:28:59.680 and that's a an emotional process so i understand i i put up pretty hard information for people

01:29:05.360 because it challenges big beliefs, but I've gotten very good at it. And if you can get through that,

01:29:10.360 then you get to some conclusions, which is like, oh, maybe I should be a little bit more

01:29:14.340 responsible for my own outcomes in the future. Right. Maybe I should grow a little bit of my

01:29:19.020 own food, not a hundred percent, but maybe 3%. And, you know, going from 3% to more is easier

01:29:24.140 than going from zero, right? Zero is a hard place to start from. Maybe I should be responsible for

01:29:29.060 my own safety and security. Maybe once I understand how the markets actually work,

01:29:34.400 that in fact, everybody should understand completely how the money system works, right?

01:29:39.560 I got an MBA. They taught me how to compete for dollars. I was in the arena. And then finally,

01:29:43.120 I read Creature from Jekyll Island. I was like, that can't be true. How money is made. And you

01:29:48.060 find out banks make money out of thin air. That's what they do. And there's no limit on it. And when

01:29:53.420 you figure out, wow, humans with no limits and perverse incentives, we're going to get more

01:29:57.180 money printing so i'm like great what do you do with that conclusion nothing i can do about that

01:30:00.620 oh well i can hold some gold some silver land like things that that stand the test of printing

01:30:05.980 over and over again in history um and so my counsel to people is you know get really get

01:30:10.800 in as much context as you need no more to begin to figure out if you have to make some changes in

01:30:15.040 your life right and for a lot of people they come to conclusions like oh i should safeguard my wealth

01:30:19.260 a little bit more which means you have to actually understand what wealth is hint it's not dollar

01:30:23.880 bills. Um, and so once you figure that out where, where wealth originates from, you can start to

01:30:29.940 make different decisions. And the way I think about it is there's primary wealth. So if you

01:30:34.480 live on a rocky stretch of New Mexico desert, you've got very little primary wealth, but if

01:30:39.220 you're on a, you know, 18 feet of Iowa topsoil, you got a lot of wealth, right? So the primary

01:30:44.440 wealth is, is in the land itself, right? Oil in the ground, coal, all that stuff. Secondary wealth

01:30:50.020 is what happens when humans bring that stuff to market right so trees become lumber fish get to

01:30:55.100 market so secondary wealth is the means of production and then tertiary wealth is dollars

01:31:00.880 it's representations that that point to that but money itself currency has no value if you can't

01:31:08.100 buy something with it you know so what do you do with it like you know and so i tell people almost

01:31:14.720 everybody's been marketed to incessantly that they have to have all their money in this little

01:31:18.740 tertiary system all has to be here you should have stocks and bonds diversified currency big bank

01:31:23.940 accounts but if you don't have a lot of stuff underneath that i submit you have very little

01:31:28.440 actual wealth because this stuff is a claim on wealth right it's like what do you do with dollar

01:31:34.820 bills on a deserted island you know start a fire with them i guess you know but um so once we start

01:31:39.860 to understand where real wealth comes from this is how i think people protect themselves you move

01:31:44.080 If you're a hundred percent exposed in tertiary, get down into primary secondary wealth forms as

01:31:48.820 much as you can. Um, for me, that's meant, you know, I live on a farm. Um, I know not everybody

01:31:54.040 can do that. Uh, and I have a lot of the ability to sort of attend to my own energy, food, water

01:31:59.460 needs here, not all of them, but significant proportion. And because of that, I've built a

01:32:03.960 buffer in my life. And so that's what I tell people to start building buffers, not crazy

01:32:09.820 bunker idaho guy who's gonna like survive forever on his own wits and skills and beans right um

01:32:15.300 nobody can do that but again remember the pace of change if big shocks are coming and i'm convinced

01:32:21.140 they are you want to have as many buffers out there in your system as you can so that you can

01:32:25.980 absorb that shock as much as you can i think that makes for a happier life and um and i started all

01:32:32.340 this because i was a little worried that things could break apart in any moment turns out they're

01:32:35.540 more durable than i thought but now that i'm here tucker i realized this is such a this is how i was

01:32:40.920 meant to be living anyway in much more close connection with nature you know and um feed on

01:32:46.280 the ground and having real relationships with our cows and our chickens and all that other stuff and

01:32:50.720 also deeper relationships with my neighbors and so a everything's going to get local right b you're

01:32:57.540 gonna not have to do everything but you're gonna have to find out what you're good at and bring

01:33:01.300 that to your community see um i just if i could counsel this is the deepest thing i want to

01:33:08.440 counsel is whatever we're about to go through i don't want the people i love to have to

01:33:14.980 accidentally lose their humanity what does that mean

01:33:21.860 hard decisions are probably going to have to be made at some point in in this particular story

01:33:29.440 And I feel like everything that my culture is pushing towards is asking us, me, to be inauthentic, disconnected from self, and capable of doing really horrible things.

01:33:47.580 I just, you know, this has become, I didn't start out this, this was crazy, Tucker.

01:33:53.440 It was actually a tweet that did it for me.

01:33:55.240 I grew up Protestant.

01:33:56.180 And I think, uh, uh, church was, uh, Easter Sunday and Christmas.

01:34:00.040 That was the whole, whole game.

01:34:01.900 Been there.

01:34:02.240 Um, and hadn't read the Bible at all.

01:34:05.240 And I saw this tweet that said, I've turned to God, not because he spoke to me, but because

01:34:09.580 evil made itself known.

01:34:11.220 Exactly.

01:34:12.460 And man, it landed on me.

01:34:13.860 And I said, got goosebumps.

01:34:15.340 I was like, oh, that's, that's kind of true, isn't it?

01:34:18.300 And that's my, that's the organizing principle that, that everything fits in right now.

01:34:23.420 and because to me what's evil that's a short word but it means something that revels in and promotes

01:34:30.080 death destruction debauchery demoralization decay just anything that it can do like that

01:34:37.200 and so the number one way that evil has its way of course is by distracting us

01:34:41.020 and keeping us hopelessly endlessly distracted with things yeah and um if the other side of that

01:34:48.840 is good well good's hard right you know good takes conscious decision making and and you have

01:34:53.360 to keep practicing it and you fail at it and so that's when i first started reading the bible

01:34:58.060 just a few years ago it was such a page shirt i'm reading it out to my wife evie i'm like hey

01:35:03.480 humans have done this before look at this romans you know exactly what there's nothing new under

01:35:09.140 the sun and and and so i honestly truly believe that this ai thing this is our tower of bible

01:35:14.960 it's a device by which we've convinced ourselves we can finally get that exalted seat next to god

01:35:21.660 even parody we are god now we can be one of the team you know and and of course that a lack of

01:35:29.620 humility that pride um that arrogance has always backfired and i'm convinced it's going to backfire

01:35:35.140 again and i just while that backfiring is happening i don't want the people i love to have to lose

01:35:40.600 their humanity um which means engage in the destruction as it unfolds around them i couldn't

01:35:47.420 agree more i had a path so similar it's almost identical but it was you know seeing evil that

01:35:54.080 drove me to god and and to the bible and to the realization that we've done this before in fact

01:36:01.040 it's on a loop and the root of it is man's desire to be god which is a evil but but also fruitless

01:36:09.080 quest i mean it's you know it results in the tower of babel i couldn't agree more

01:36:14.600 so but but when you say lose their humanity what do you mean participate in a system that

01:36:20.640 strips them of their humanity yeah yeah i feel like it like pretty much every everything that's

01:36:26.800 easy that's arrayed around us um are just invitations to begin losing our our morality

01:36:33.300 they're invitations to um betray ourselves and and our sense of integrity and because they never 0.99

01:36:41.120 just ask you one day to just line up and shoot somebody in the back of the head and push them

01:36:44.600 in a ditch right there's a long series of mini usurpations along the way and it all begins with 0.98

01:36:49.860 the small things and that's where they start and so i've completely changed my opinion about all

01:36:54.340 kinds of things you know pornography and how easy that is right and um you know you're only five

01:37:00.220 minutes away from an alcohol store and any community, you know, um, it just, everything

01:37:03.980 that's easy is just something that's, I think, designed to pull us off of our game. And our game

01:37:09.440 is, it's a short life, you know, we're all here for a reason. And I think the reason is to find

01:37:13.460 out what you're really good at and bring that to other people and, um, to make everything around

01:37:20.220 you better. Um, and honestly, I'm, I'm here talking to you long story, but, um, the thing

01:37:26.460 that gives me the most grief is that i can open a window now on a july night leave a light on

01:37:33.200 and in the morning there'll be one little desultory white moth flapping about and when i was a kid

01:37:38.540 if i had done that it would have been this frightening menagerie of rhinoceros beetles

01:37:43.780 luna moths and giant walking sticks and it's all gone it's gone we are destroying life and i'm

01:37:50.740 really clear about this we're here to shepherd this and it's not just about humans if we improve

01:37:56.300 life for everything around us humans are part of that and and i think it's our job to be

01:38:00.820 conscious of that and and treat that as well as we can and we're just we're just not um and that's

01:38:07.600 yeah though i have to say i i cleaned bugs off windowsills this morning um fortunately and

01:38:14.200 unfortunately that's not true where i live we still have a lot of insects let me ask you one

01:38:18.980 final specific question about markets and it's about the gold market as measured by the the

01:38:24.920 famous spot price that you pull up on your phone beginning with the 2022 ukraine war it was really

01:38:33.180 clear to me that the u.s dollar was on a course toward irrelevance and that we would lose our

01:38:38.360 status um as the holder of the world's reserve currency it was just very obvious based on what

01:38:43.380 the bite administration did i think was going to happen anyway but it was accelerated with that

01:38:47.080 uh with kicking rush out of swift that was my opinion so i started buying gold

01:38:51.160 and i saw it go up up up up and up this war starts in february it goes up over five grand an ounce

01:38:57.600 and then it drops and i've never understood why that happened it doesn't make any sense to me

01:39:04.460 i'm still a gold buyer we have a gold company i mean i believe in it a non-scammy gold company i

01:39:10.040 mean i'm i still buy gold but i don't understand its movement do you i don't think anybody actually

01:39:18.300 really does um but there even before 2022 there was this giant tectonic thing that was happening

01:39:25.360 where gold was really just going from west to east right yeah so i used to track very very carefully

01:39:30.540 um some of the big swiss refiners right they would just report like how many kilo bars and

01:39:35.360 where are they going they were all headed east they're all headed to china and this is way before

01:39:39.540 2022 which is what why i wonder how much gold actually sits you know in london or in new york

01:39:44.740 um and so so for a long time it was like oh nobody cares right because gold at that time was you know

01:39:49.600 thousand two thousand an ounce or something like that right so nobody cared so then the war happens

01:39:54.560 and obviously what should have happened was gold should have just absolutely skied on all that

01:39:58.920 uncertainty right um and and silver as well and oil and all that the exact opposite all those

01:40:04.360 things happen so markets right but our trade data just came out and so for january and february and

01:40:10.520 for march we've never exported more gold ever in our history um probably representing 10 to 11

01:40:16.440 million ounces depending on how you score the spot price during that period and that's a huge number

01:40:22.200 yeah and where did that go that was actually our number one export even more than oil

01:40:26.800 right like it's a pretty big deal so um we're hemorrhaging our gold as if we don't care and i

01:40:34.080 you get back to china i wonder if that wasn't a quid pro quo hey you know you're gonna do this

01:40:37.440 war thing will help you but we don't want to pay five thousand an ounce for your gold we'll give

01:40:41.700 you four or something like that that could be part of the deal so this is gold held by the federal

01:40:47.120 government this is called non-monetary gold um and so that's something non-monetary gold's held

01:40:53.380 in comics for instance it's not the stuff held at the federal reserve we think i'd also love an

01:40:58.320 audit of the fed can we get one of those um that would be a fine thing to see what's going on there

01:41:02.560 But I, the flow of gold around the world, it's kind of, it's a funny thing. If you really want

01:41:07.840 to get into gold statistics is very hard because they're super opaque and they just, they tell you

01:41:11.800 it's a barber's relic. It's not important, but no, you can't see any of this data, right? The,

01:41:15.680 the London data is really hard to get. Um, you can, you can more easily find instructions on

01:41:21.400 how to build nuclear devices, right? On the internet. It's just like, it's this weird thing.

01:41:25.360 So I know it's important because they won't tell me how much we have. They won't let me see the

01:41:29.880 statistics you know but they say it's not that important so we know it's important and we also

01:41:34.460 know that central banks around the world have been accumulating to the point now that gold is

01:41:38.100 actually a larger holding in central banks around the world than treasuries big crossover moment

01:41:44.220 there so my sense of gold is somebody's working extra hard to just keep it tamped down because

01:41:49.020 it would be really awkward right now if it went up in price and signaled something inappropriate

01:41:55.240 and so that's what i've learned about our markets they're actually signaling devices

01:41:58.400 they're not legitimate places of inquiry and price discovery between honest buyers and sellers

01:42:02.480 they're often used to set prices so do i have time so they're like cable news that way i mean they

01:42:08.620 don't yeah they're not there to tell you the news they're there to shape your opinion about the news

01:42:13.240 yeah yeah of course please tell me a story i would love it this is a great story so so um gold was

01:42:19.780 illegal from 1933 to 1973 right and then okay so there was a lot of concern they're going to make

01:42:25.760 it legal for u.s citizens to own it again so they're very concerned that it was going to go

01:42:29.500 up in price maybe a lot and that would send the wrong signal and of course they just spent 1968

01:42:34.560 69 with the london gold pool surreptitiously batten all the you know london and new york just

01:42:39.700 working extra hard to keep the price of gold down for reasons um and so all of this was going to be

01:42:44.920 very awkward they just didn't want gold going up in price so we have because of wiki leaks a cable

01:42:50.340 that went between new york and london and they said hey here's our plan um the primary gold

01:42:55.560 dealers tell us that if we start this thing called futures for gold we can so overwhelm the actual

01:43:01.100 real price of gold with this paper price that we will create enough volatility and that people

01:43:08.260 will lose interest in it and and not not we can we can diminish their desire they said to hoard

01:43:12.820 gold so they just they conceived it right away they're like look if we can make this paper price

01:43:16.720 thing we can wang the price around until people get frustrated or lose interest and and that that's

01:43:22.320 how we can control this so that's how it started think of a bakelite phone you know the phone

01:43:26.720 connected to the curly cord in 1973 i think how much more sophisticated the application of these

01:43:33.540 uh algorithms are today to manage prices and they did that for optics they did that for political

01:43:38.660 reasons is it any less important today no of course not spiking price of gold signals a loss

01:43:43.820 of confidence in our fiat debt-based money which is fundamentally a faith-based currency you can't

01:43:50.880 have something poking needles at your faith but one faith that's never dimmed is in gold so the

01:43:57.240 chinese believe in it the brits believe in it we believe in it the germans will i mean everyone

01:44:01.220 believes in it that's interesting to me so as uh as a store of value for like the average american

01:44:08.620 family because the price is down relative to what i think it ought to be what it was

01:44:14.140 six weeks ago is it a good time to buy it now i've i've been a consistent buyer of gold for

01:44:21.480 25 years now um and i'll tell you this every time i bought it it's hard it was really hard

01:44:28.520 when i first bought it at 300 and 500 was extra hard 800 was super hard it's always been a hard

01:44:35.260 decision. But over the long haul, gold has performed better than the stock market over

01:44:40.720 that entire period by a wide margin. And it will continue to do so because we're going to print

01:44:47.500 more money and we're going to print a lot of it coming up. The Fed's already printing money right

01:44:51.540 now, $200 billion over the last six months. The U.S. government effectively prints because we

01:44:56.660 send out right now $1.2 trillion of interest payments, which is cash that goes back to the

01:45:01.580 market that we have to then borrow more which the fed enables so so this is all we're just going to

01:45:06.300 print and print more and and that's the game and to put a story on this you know the united states

01:45:11.580 it took all the way to 1990 before we accumulated our first three and a half trillion dollars of

01:45:17.840 federal debt so from the founding of the country the 1990 took yeah three and a half you know what

01:45:24.420 do we do with that first three and a half trillion well we built interstate road systems and you know

01:45:28.260 every bridge schoolhouse and we did a lot we uh the u.s government's tacked on three and a half

01:45:33.580 trillion dollars of debt in the last 12 months and what do we build a lot of interstate highway

01:45:39.520 systems and new schools i can't name one thing to be honest i don't want to howard but nick

01:45:46.080 yeah right yeah and and foreign wars and and uh yeah it's just that that's the thing but you know

01:45:53.480 that on that basis though that's going to be three and a half trillion every six months and

01:45:57.720 someday we'll wake up it's every one month and then it's three and a half trillion every week

01:46:01.140 and this is just how the story of fiat money has gone literally hundreds of times throughout history

01:46:05.800 is festive intentions but you lose the brakes we lost our brakes on august 15th 1971 when we

01:46:12.560 severed from the gold standard and ever since then it's been sort of like dick cheney growling at us

01:46:17.380 that debts don't matter you know but they do and they will yeah chris martinson thank you for that

01:46:24.220 for the clarity and the honesty, um, and the wisdom. I appreciate it. I hope we'll come back.

01:46:30.540 Thank you. Me too. That's it for us tonight. We will see you tomorrow and next Wednesday, 6 PM.

The Tucker Carlson Show - July 23, 2026

Iran War Expected to Spark Global Energy Crisis. Here’s What Americans Can Expect at the Pump.

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