Join us for a critical analysis of the current economic landscape as Kerry Lutz sits down with financial expert Gordon T. Long.

In this compelling interview, they delve into the intricacies of the subprime auto market, the increasing rates of repos, credit card defaults, and foreclosures, painting a stark picture of the challenges facing today’s investors.

Gordon T. Long imparts his wisdom on the perils of debt in these volatile markets and forecasts a trend of sustained higher rates for the coming decade, spurred by the US’s massive debt and currency debasement.

The dialogue takes us back to the inflationary cycles of the past, with a focus on the 1970s crisis and its resolution through strategic liquidity management, offering a historical lens to understand current fiscal phenomena.

The interview doesn’t shy away from controversial topics, discussing the Federal Reserve’s internal power struggles and its proximity to Wall Street decision-making.

It also touches upon the implications of modern monetary theory mechanics and the notable decrease in reverse repos, signaling a tightening financial environment.

Lutz and Long emphasize the cyclical nature of capitalism, arguing the necessity of recessions as a purification mechanism, where only the most robust businesses thrive.

They conclude with strategic investment advice, urging viewers to expand their focus beyond the stock market and consider the bond and credit markets for long-term trends and opportunities.