Greg Orrell Interview; Why Natural Gas Is Going From $7 to $30
It's been a great time not to own stocks and bonds.
I did a podcast interview with Greg Orrell, manager of the OCM Gold Fund (OCMAX). Orrell won a Lipper Award for Best Precious Metals Equity Fund for 2021 and 2022. This is my first podcast, so production is pretty bare bones. We might have more in the future.
Click Here to listen to my interview with Greg Orrell, at Padverb.
Gold stocks have had a pretty big selloff. I’m looking for buying opportunities over the next couple weeks.
I think there’s a pretty good chance that natural gas will go to btu parity with oil over the next few years. That would mean about $14 natural gas, compared to $4-$7 recently.
I consider this to be rather ambitiously bullish. However, commodity experts Goehring and Rosencwagj are now going several steps beyond this, asserting that US natural gas prices will equalize with international prices, perhaps over the next six months. That would mean about $30 natural gas.
A sudden and unexpected event is about to take place: the global natural gas crisis, now gripping large swaths of the world, is about to engulf North America as well.
Asian and European natural gas prices today stand at $30 per mcf versus $7.50 per mcf here in the United States. Given the underlying fundamentals that have now developed in US gas markets, we believe prices are about to surge and converge with international prices within the next 6 months. The convergence of US and international gas prices will come out of nowhere and take all investors by surprise.
You can read more about their views here.
Lastly, Rajiv Shah, president of the Rockefeller Foundation, said on Bloomberg Television that he expected a “massive, immediate food crisis” that would begin “in the next six months.” Shah might know what he is talking about, since he previously served as the head of USAID under President Obama, where he organized the Global Food Security Act; as the Chief Scientist and Undersecretary for Research, Education, and Economics at the United States Department of Agriculture; and also, served at the Bill and Melinda Gates Foundation, where he created the International Financing Facility for Immunization.
Bill Gates has become the US’s biggest owner of farmland. Today, there are actually a couple small farmland REITs, including Farmland Partners (FPI), which focuses on Midwest bulk grain and soybean production. I’ve had it since 2020, and it looks ready to move higher.