Podcast Summary: The Indicator from Planet Money

Episode: What is going on with gold and silver?
Date: February 11, 2026
Hosts: Adrian Ma, Darian Woods
Guests: David Kotak (Cumberland Advisors), Philip Deal (US Money Reserve, former US Mint Director)

Overview

This episode focuses on the recent volatility in the prices of gold and silver, exploring their century-spanning roles in the financial world, the reasons behind their current price swings, and what this reveals about broader economic issues. The hosts break down the long history, practical attributes, and geopolitical factors influencing precious metals, with insights from seasoned experts in trading and minting.

Key Discussion Points & Insights

1. The Enduring Appeal of Gold and Silver

• Historical Origins

  • David Kotak: Gold coins originated in Lydia (600 B.C.), forming the basis for wealth storage for almost 3,000 years.

    “Lydia was the first trading country that actually put together a coin that contained gold. So gold has a history of almost 3,000 years in monetary and finance and trading and payments.” (David Kotak, 02:09)

  • Gold's physical properties—malleability and strength—make it ideal for financial purposes.

    “It can be spread extremely thinly, even down to the width of a single atom. So it has this solidity, this robustness against getting destroyed, which is helpful for preserving wealth.” (Darian Woods, 02:27)

  • The entire world’s mined gold could form a cube roughly 70ft per side, or fill three Olympic swimming pools – visually underscoring its rarity. (David Kotak & Adrian Ma, 02:49–03:04)

• Gold vs. Silver

  • Gold’s value comes largely from being used mostly for wealth storage and jewelry (~90%), not industry.

    “Gold is prized as a financial metal because it's not used in industry much. ...if the economy tanks, the value of gold is not just going to automatically dive as industry uses it less.” (Adrian Ma, 03:28)

  • Silver is more abundant (about seven times as much as gold) and more useful in industry—particularly solar panels—but this also means its price is more sensitive to the economy.

    "The nickname for it is the poor man's gold." (David Kotak, 04:05)
    “[Silver] has a lot of important practical uses today, ...that means if the economy tanks, then silver will likely tank too.” (Adrian Ma, 04:25)

• Financial Legacy in the U.S.

  • The US monetary system historically relied on gold and silver until the gold standard ended in 1971.

    “The country's first coinage act had every coin above a penny made out of them. Broadly, the US Dollar was essentially a claim on gold or silver until Richard Nixon abandoned the gold standard in 1971.” (Darian Woods, 04:39)

2. What’s Behind Recent Price Volatility?

• Geopolitical Tension & Uncertainty

  • Gold prices began rising with recent global instability, notably since October 7th, following the Hamas attack on Israel.

    “I marked the beginning of this rally ...in the immediate wake of the Hamas attack on Israel. And that's emblematic, really, of one of the forces that tends to drive gold is geopolitical tension and warfare.” (Philip Deal, 05:50)

  • Ongoing conflicts in Ukraine, tensions around Taiwan, and other international disputes have further destabilized markets. (Darian Woods & Philip Deal, 06:08–06:28)

• Central Bank Buying

  • In response to global instability, central banks have shifted from US Treasuries to gold.

    “Central banks around the world started to hold more gold than US Treasuries.” (Adrian Ma, 07:23) “Huge demand from the central banks has become a baseline.” (Philip Deal, 07:30)

  • Reliance on US Treasuries carries risks (possible sanctions or devaluation), making gold more attractive as a sanction-proof asset. (Darian Woods, 07:36)

• Private Investor Interest

  • Everyday investors, especially in China where real estate opportunities have diminished, are moving into gold.

    “As the real estate market has crashed…they’ve tended to move to gold.” (Philip Deal, 08:01)

• Speculation and the January Silver Spike

  • In January, silver saw a sharp rise due to speculative bets—possibly on demand for AI chip manufacturing—followed by a correction.

    “I think all of us who are watching it were saying, yeah, this is setting up for correction.” (Philip Deal, 08:52)

  • The correction came swiftly after stabilizing news about the US Federal Reserve's likely leadership, which reassured markets about the US dollar.

    “That correction came on January 30th. ...good news for the US Dollar is often bad news for gold and silver.” (Darian Woods, 08:58)

• Current Status

  • Despite recent corrections, gold and silver remain up for the year—a mixed outcome for investors and broader US interests.

    “As of this recording, even after the corrections, gold and silver are still well up for the year, which is happy news for those holding onto the metals. Maybe less happy for the United States.” (Adrian Ma, 09:24)

Notable Quotes & Memorable Moments

• Gold’s Scale in Perspective:

  “If you took all the gold that's ever been mined in the entire world and made one large cube out of would be about 70ft by 70ft by 70ft.”
  — David Kotak (02:49)

• Gold as ‘Plan B’:

  “Central banks around the world started to hold more gold than US Treasuries.”
  — Adrian Ma (07:23)

• The 'Poor Man's Gold':

  “The nickname for it is the poor man's gold.”
  — David Kotak (04:05)

• Speculation’s Role in Silver Volatility:

  “I think all of us who are watching it were saying, yeah, this is setting up for correction.”
  — Philip Deal (08:52)

• Lighthearted Moment:

  “That's right. I was making money. Making money.”
  — Philip Deal, on leading the US Mint (05:38)

Timestamps for Important Segments

• Historical context & gold fundamentals – 02:09–03:28
• Gold vs. Silver / Practical and financial uses – 03:50–04:25
• US monetary history and metals – 04:39–05:10
• Geopolitics & central bank demand surge – 05:50–07:30
• Private investor drivers, China focus – 08:01–08:29
• January 2026 price swings and speculation – 08:52–09:24

Tone, Language, and Style

The episode is approachable, lightly humorous, and explanatory. The hosts balance historical context with modern analysis, peppered with metaphors and anecdotes for clarity. Industry expert guests add credibility with concise, memorable explanations.

This summary covers all major themes, expert insights, and memorable quotes from the episode, providing economics newcomers and enthusiasts with a crisp understanding of why gold and silver prices matter now more than ever.