Gold, Silver, and the coming monetary reckoning: Greg Weldon sees major opportunity ahead [Video]

On a recent episode of the Money Metals Podcast, host Mike Maharrey welcomed veteran market strategist Gregory T. Weldon, publisher of the Global Macro Strategy Report, for a wide-ranging discussion on precious metals, inflation, Federal Reserve policy, artificial intelligence, and global macroeconomic trends. 

Weldon explained why he has shifted back to a bullish outlook on gold and silver following the recent correction, arguing that the long-term bull market in precious metals remains firmly intact.

Gold and Silver investment outlook turns bullish again

Weldon said he previously anticipated silver would correct toward $61 per ounce, with a worst-case target near $54, after successfully exiting positions between $96 and $98 when prices had traded above $100. 

With silver now recovering above $60, he believes investors have another opportunity to accumulate physical precious metals. He described the current environment as a "back the truck up" moment, adding that he is personally converting long-term savings into physical gold and silver rather than holding excess cash. He also noted that one of his silver-share investments returned 167%, after being up as much as 217% before profits were taken.

Weldon remains especially optimistic about silver's future. He reiterated that the breakout above $36.50 confirmed a major secular bull market and argued that today's rally is supported by genuine supply deficits and rising industrial demand rather than speculative excess. Based on his long-term macroeconomic analysis, he projects silver could ultimately reach approximately $326 per ounce within the next five to seven years.

AI bubble, stock market risks, and Federal Reserve policy

The conversation then turned to broader financial markets, where Weldon expressed growing concern that artificial intelligence has become the latest investment bubble. He argued that enormous capital spending on AI infrastructure, semiconductor manufacturing, and data centers is approaching saturation, leaving technology stocks vulnerable if spending begins to slow. In his view, a significant stock market correction could temporarily pressure many asset classes before ultimately strengthening demand for safe-haven assets such as gold and silver.

Maharrey and Weldon also discussed the bond market and Federal Reserve policy. Weldon believes rising long-term interest rates reflect slowing economic growth, tightening financial conditions, and increasing fiscal concerns rather than healthy economic expansion. While higher yields can create short-term headwinds for gold, he argued that expanding government debt and deteriorating fiscal conditions ultimately leave policymakers with few options other than renewed monetary stimulus.

Regarding Federal Reserve Chair Kevin Warsh, Weldon praised his communication skills but questioned whether the Fed can realistically maintain a hardline stance against inflation. He believes any meaningful economic slowdown or stock market decline would force policymakers to abandon restrictive monetary policy and return to quantitative easing and money creation, despite public commitments to fighting inflation.

Inflation, food prices, and energy market challenges

Another major focus of the interview centered on inflation, particularly rising food costs. Weldon argued that weather-related disruptions remain one of the most overlooked inflationary risks. He pointed to historically low snowpack across the western United States, declining fog moisture in Northern California, and NOAA's forecast for an unusually severe El Niño expected to persist into April of next year. According to Weldon, these conditions threaten agricultural production across multiple regions, including sugar production in Thailand and coffee crops in Brazil and Vietnam.

He also warned that petroleum markets remain structurally tight despite hopes that geopolitical tensions could ease. With crude oil reserves at historically low levels and food inflation likely accelerating alongside energy costs, Weldon believes inflation will remain well above the Federal Reserve's long-term target, placing policymakers in an increasingly difficult position.

China, rare earth minerals, and the long-term case for Gold

The interview concluded with a discussion of global geopolitics and strategic resource competition. Weldon argued that China has built a substantial long-term advantage through its control of rare earth minerals, commodity supply chains, and growing gold reserves. He noted that China, Russia, and Vietnam control more than 80% of the world's rare earth resources, leaving the United States heavily dependent on foreign suppliers for many critical materials used in advanced manufacturing and defense.

Weldon believes these geopolitical trends, combined with mounting U.S. government debt, persistent inflation, and increasing pressure on the dollar, reinforce the long-term investment case for physical gold and silver. 

Throughout the interview, he emphasized that investors should focus less on short-term market volatility and more on preserving purchasing power through ownership of tangible assets as the global economic and monetary landscape continues to evolve.