WEBVTT - Single Best Idea: Henrietta Treyz & Aakash Doshi

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News single best idea on

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<v Speaker 1>the most interesting day of shutdown day. Thank you Nathan

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<v Speaker 1>Hagar and all in Washington. Thank you Nathan Dean of

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<v Speaker 1>Bloomberg Intelligence. For perspective. Joe Matthew in the nine o'clock hour,

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<v Speaker 1>just it's amazing the sources he has to pull into

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<v Speaker 1>his balance of power. David Gurra wonderful and the eight

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<v Speaker 1>o'clock hour giving us perspective looked a big take for

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<v Speaker 1>their treatment of this shutdown. In the seven o'clock hour,

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<v Speaker 1>Henrietta Treys was with us as well, wired into Capitol

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<v Speaker 1>here from Veda Partners. Henrietta Trace, I think that the

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<v Speaker 1>shutdown was inevitable. It didn't happen in March, it happened

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<v Speaker 1>this time around, and if it didn't happen now, it

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<v Speaker 1>was going to happen in November. We are at a

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<v Speaker 1>very real impact in the United States.

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<v Speaker 2>It is as tense as I've ever seen it.

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<v Speaker 1>You're seeing a lot of good members leave and retire

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<v Speaker 1>and resign because of the achromony. So this shutdown maybe

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<v Speaker 1>could let the mayor out of the room. If there's

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<v Speaker 1>going to be a positive benefit, maybe they give you

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<v Speaker 1>that Henryta trees there and I have no idea. Folks,

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<v Speaker 1>in the compendium of voices that we spoke to or

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<v Speaker 1>we researched, I can't give you a timeline. It could

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<v Speaker 1>be tomorrow, it could be two months from now. The

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<v Speaker 1>single statistic I saw that stop me in my tracks,

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<v Speaker 1>thank you the Washington Post is social Security will not

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<v Speaker 1>be shut down, but eighty eight percent of Social Security

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<v Speaker 1>employees will work without a paycheck. That is this famous

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<v Speaker 1>TV show said, this does not compute. I don't understand

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<v Speaker 1>how that happens. We spoke to Akash Doshia State Street

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<v Speaker 1>about gold, really really informed about the supply dynamics, the

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<v Speaker 1>demand dynamics, the general equal librium, the oddities of global gold.

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<v Speaker 1>Here from State Street, A Kastoci.

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<v Speaker 2>I think the price level can sustain, and that we're

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<v Speaker 2>knocking on four thousand an ounce and we're going to

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<v Speaker 2>clear that level in the fourth quarter. I just don't

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<v Speaker 2>think the volatility or the violence of this move higher

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<v Speaker 2>is likely sustainable. So I do think there's a bit

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<v Speaker 2>of fomo that we often see in tech stocks emanating

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<v Speaker 2>in gold right now, and I think eventually will calm.

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<v Speaker 2>Gold performs differently than other commodities. Typically when you have

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<v Speaker 2>a supply shock in oil or corn, supply is going

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<v Speaker 2>down and that's why prices are going up. In gold,

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<v Speaker 2>the price discovery function is usually a shift out of

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<v Speaker 2>the aggregate demand curve, so supply can be at a

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<v Speaker 2>record level just as demand is growing at a faster pace. However,

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<v Speaker 2>there are two components of gold supply. There's mind production,

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<v Speaker 2>but there's also gold recycling or gold scrap. So you've

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<v Speaker 2>seen a lot of metals. So within that context, actually

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<v Speaker 2>gold scrap has been lagging on supply growth this year,

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<v Speaker 2>despite record high prices across currencies. So what I would

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<v Speaker 2>say in that regard is that a lot of consumers globally,

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<v Speaker 2>including in India and China, are just holding onto gold

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<v Speaker 2>and also hoarding gold, and that's buttressing this rally even

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<v Speaker 2>as mind production is.

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<v Speaker 1>Growing at costoshit was State Street really really interesting conversation.

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<v Speaker 1>Is he mentioned there the acceleration of gold. How do

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<v Speaker 1>I translate that? Technically? I go back to the chart

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<v Speaker 1>of Dennis Gartman gold and yen, and I'll take it

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<v Speaker 1>on the y access to a logarithm, which shows a

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<v Speaker 1>percentage change. It's a very different set of information than

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<v Speaker 1>a normal Moonshot chart, and the answer is even going

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<v Speaker 1>to logs. Gold has accelerated our podcasts. We're out there

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<v Speaker 1>on Spotify, on Apple, and of course on YouTube podcasts.

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<v Speaker 1>It's single best idea.