 Welcome back folks. I doubt that was a baby three Nasdaq's up 15 s&p's are up five and a half Let's go over to our men. Mr. Jason path as we do each and every Thursday at 20 past the hour Jason. What's going on brother? Not much time. How are you man? I'm doing great. I'm doing great. So You know, we get quite a market. No doubt. We had gas numbers this morning. So what are we thinking here? Yeah, so been watching gas closely, you know the interesting thing about natural gas right now is in some ways Certainly from a production standpoint, it's linked oil, right? A lot of companies drill with both Joe for both You have a lot of what they call associated gas about 10 to 12 percent of the natural gas we extract is really Comes from drilling for oil. I see a lot of a lot of wells, you know are both gas and liquids So as as rigs come off the field as these oil primarily EMP companies get hit as hard as they're getting hit We really see natural gas production going down clearly the demand is is the variable everybody's watching closely But you know, we all get the story in oil, right? We're not flying. We're not driving But we're still you know heating and cooling our houses. We're still using electric electricity. Yeah Exactly we've been a long-term downtrend, you know gas markets, you know, what's part of time? We're very volatile and so on wildly It's been, you know kind of a grind downward over last year or two, but I Really feel like Gas guy hit harder than it should have a few weeks back when oil started to get hit. Yeah, people take it rigged out of the field We're gonna see production really fall off a cliff and again We're still gonna heat and cool our homes clearly demand will incrementally go back up in gas as we as we reopen the country But you know that I think the consensus this morning was for 47 48 BCF on an injection I think it's gonna continue to be a little more bullish on the storage numbers people are expecting because I think they've over factored for You know the loss of demand and I think is as we move forward as a country where we open to incremental use more gas You know because you know, we're like 155 156 on futures because it's getting pretty close to you know multi-decade loads I know you see it There's no doubt that it's amazing. I said I thought it this morning It's so deviant man, right that you know, it's been so low folks, okay? And then you think that okay, it only can go so low I mean a man used to add young years ago. He said well the best cure for low prices is low prices, right? That's right. And what happens in what happens in gas is you have you have what they call gas switching or cold switching where When the price gets out of low the price of coal has really gone up dramatically over the last couple of years Plants many plants are able to switch and so when you get down to 155 160 folks switch over to gas What we've seen during the downturn. Yes, you know electricity demand drop about 10 percent across the country But plants are burning more gas because we're switching over from coal and we've seen gas as a percent of mix I'm 35 percent to 40 percent across the country. Wow. And so we're actually burning about as much gas as we did before the downturn so I think that's net bullish for gas and I think it's good. It's really gonna be an interesting spring and summer in the energy world But as as these companies continue to get hit cap X gets hit rigs come off the field You were down about half from this time last year on rigs. I think it's net bullish for gas long term Hey, so let me ask you right, you know on the notes that you sent over and this is really intriguing folks, okay? because Uranium and and I'm looking, you know as soon as you sent it over this morning, right? I'm looking at Kamiko, right? That's right. Kamiko's an ABC up. I mean so talk to me about uranium. What's the what's the deal? Why this thing is running man? So you want to talk about companies that just could never figure out how to make money historically rice uranium companies They over mined they could just never figure it out and then countries honestly started using old nuclear waste piles to get supply and You know across the world across the world right globally about 25 percent of our power Supplied by nuclear and what you had last year Kamiko and others really got together almost cartel like and decided to really cut supply and I see margins and they did it And again it be up below the radar Everybody's worried about oil and gas the energy sector and Kamiko's really led the way on cutting back in production with the stated Goal of lifting price and you can see it's just been Exploding topside we expected that Given given Kamiko and other statements and it's it's just played out and it's continued to go up and up and up It's a beautiful setup man, and if you it's Kamiko folks the the Symbol is CCJ and you know check it out. It's an ABC up It took the B point out today that B point is nine dollars and 80 cents and I already just went up from five dollars in a month So big number so I'm gonna switch over. Let's talk the euro. So talk to me about the euro I want to do can we talk I want to I want to talk about this No, let's do the euro first then we'll go into the bonds. All right Yeah, absolutely. Well, you know clearly we're all at home You know worried about the virus, but there's there's a lot of geopolitical risk and a lot of things Across the world, you know, and right now in Europe, you know, you've got a hundred thousand people dead around the world with the virus You've got Europe is in the midst of the greatest recession that they've ever faced and they just cannot get on the same page as to how to Deal with it, right? You still got risk in the Middle East. You've got, you know, Italy versus Norway They're on the continent and I think all of that we saw that, you know, the Product manufacturing numbers come out of Europe, you know, 13.1 or something just all-time lows Yeah, the economic data that's printing. I think it's very net bearish for the euro And one of the ideas that we're, you know, expressing to be trade is, you know, short euro yen, for instance You know with Kim Jong-un who knows what's happening over there in North Korea, you know The ends of safe haven. Yeah enough a lot of you geopolitical risk certainly some on the continent with the euro You know, they're meeting this week and today really trying to hammer out a 2.2 trillion dollar Deal and I just don't think it's gonna happen So if folks are looking for a way to divest a little exposure away from the dollar still go long geopolitical risk short the euro I think your yen short for the next couple months Nice. There's just too much risk in the world right now aside from the virus And the European leaders just can't get on stage. Yeah, we're a lot lucky I mean this, you know, we are all the states. It's one, you know, federal government versus what they have going on There's no doubt. That's right. Yeah, and Italy and Spain were in trouble going in right? Yeah, it's just exactly time So when we talk bonds, can we first tell me about this gold copper ratio? Okay, right? Yeah, so one of the models we use is the gold copper copper gold ratio And just think in terms of a simple ratio, you know price of copper over the price of gold Yeah, it's a way to magnetize right macro large macro cycles and if the price of copper is going up That's typically bullish You know gold certainly a safe haven and what we've seen in the last, you know, 10 20 years is it's a very good proxy for tracking anticipated movements in the 10-year yield again also kind of a benchmark safe haven type play Proxy for risk in the macro environment So what we've seen lately is you know, I certainly expect a copper to continue to break higher Is there's been a break right yields have come way in the gold copper ratio hasn't broken down nearly as much So tell you one or two things either, you know, copper's gonna follow for cliff or yields have to come back out a little bit and Price of treasuries has to come down for any that's what's gonna happen We've seen that historically with that ratio whenever it gets back out of whack the yields come up to meet where the price of copper is Is you chart that over longer time horizon? That's so cool, man, because I think one of the biggest questions that we'll be asking each other all of us and the investment world Is that what's gonna happen with the yields and is there inflation coming in right? I mean, it's that's right Yeah, yeah, yeah, I think they have to go out from where they are today. You look at the tenure today I mean, they'll drift hot and they'll drift out, you know, will we see three again this decade? I can't say that but right, right, you know from six tenths of a percent on the tenure I think it's pretty safe to say, you know, we'll be in a much higher yield world in the next few months Awesome awesome information, man. Really appreciate the education Jason. Yeah, Tom. Appreciate it man. Have a great rest of the day One safe one. We look forward to speaking next week. Okay. I can't wait. Thank you. Great. Thanks Tom Stay right there folks come right back down down up 92 and as like a 15 S&P's up six and a half come right back