A Sprawling Colorado Horse Sanctuary

TRINCHERA, COLORADO – We found this cave today. It’s probably been used as a shelter for thousands of years…

We found rounded indentations in the rock where people had ground up corn. We found scars in the rock people used for sharpening their tools. We found hieroglyphs. And a cowboy’s name – “Herman BizzyBum” – painted on the rocks and dated “1905.”

Miles (10) even found an arrowhead made of red slate.

Mustang Sanctuary on the High Plains

Greetings from Trinchera, Colorado. Population: 10.

My family and I are drifting around America with a car, a pop-up tent, some sleeping bags, and a camping stove.

We’ve been on the road for three months, 9,000 miles and 17 states now.

We’ve got nowhere to be or any place to go back to… so I guess we’ll just keep going for a while. We’re currently exploring Colorado…

Today, we’re staying at a mustang sanctuary near Trinchera, on the High Plains above Texas and Oklahoma. (We’re only a few miles from the Texas Panhandle.)

The property is so vast, it stretches to the horizon…

The owner of the ranch is an animal lover. He turned the ranch into a home for abandoned horses and mustangs.

The horses go wherever they want. Today we went out and found some. (They live in bands of up to 30 horses.)

Famous Track in Railroad Lore

A busy railroad track runs across the ranch. (It’s the BNSF mainline between Dallas and Denver.)

It’s also a famous section of track in the railroad lore. It’s called Trinchera Pass, and it is a very steep hill that uses several tight horseshoe bends to carry the trains up the mountain.

It’s so steep, they gave up trying to run loaded coal trains over it about 20 years ago and rerouted those to the east. Everything else still comes this way…

– Tom Dyson

P.S. We’ve made the argument in these Postcards that the U.S. government is about to “soft default” on its debt by watering down its currency. (It’s a road many governments have taken before.)

This chart from Bank of America sums up our view pretty well…

Like what you’re reading? Send your thoughts to [email protected].

Readers want to know more about Tom’s gold, silver, and oil tanker stock recommendations… whether bonds are a good investment… and the hyperinflation Tom sees coming…

Reader question: Could you do the chart you showed some time back on gold to commodities? I really liked that one. You share some fantastic investing information and education, greatly appreciated and needed. Look forward to more of your trip.

Tom’s response: Yes! Look for it next week. I’ll get it ready…

Reader comment: I have followed your advice and stepped out of my conventional, conservative 401(k) to buy 70k in gold and bought some of the tanker company stock. I appreciate you but also what you are doing with your family. It’s something you could never even think to do piecemeal. Good for you all. Memories forever.

Reader question: Tom, no mention of tanker stocks in a while. Any new or different thoughts? Stay well and be careful. By the way, the pictures are amazing! So beautiful.

Tom’s response: Nothing new with tankers. It feels like they’ve put in a bottom… or at least stabilized. Tanker earnings season is now. Earnings reports should be very strong this quarter. We’ll see how the stock prices respond…

Reader comment: Would appreciate Tom revisiting his tanker buy and hold strategy. Rates have been volatile and nowhere near where they were Q4 19 and Q1 20.

Tom’s response: Q3 is traditionally the slowest part of the year and has the lowest rates. I don’t have anything to add to the tanker thesis I’ve already laid out. We’re just waiting for the market to get right again and for rates to surge.

Reader comment: Hi Tom, such fun reading, because quite frankly, you and the family are far more intrepid than we are. But we love watching your family grow up and gain experience. So important. We’ve been reading you regularly and have followed you into gold (not all-in like you, though).

Here’s our financial question: We’re invested in several different areas, but we’ve been wondering if there is a way for normal people to make profits trading bonds?

And by the way, we thought the tanker recommendations were extremely smart…

We live in the foothills of the Sierra Nevada mountains in Northern California, and if you would like to visit our very sweet 2 acres (with RV parking for your car and camper) with room for the kids to run around, please let us know. If not… Good luck and safe travels.

Tom’s response: Hmmm, good question. I don’t like bonds… I think they’re a one-way street to losing money.

As I’ve said many times, interest rates are zero, and there’s already WAY too much money in the bond markets. Some of it needs to flow (stampede) – in my opinion – into the commodities and stock markets.

Oh… and thanks for the kind invitation!

Reader question: In general, do all gains in gold and silver become capital gains and must those be IRS reported? Including the silver dollars, coins, or gold coins from family estates.

Tom’s response: Yes! The government always gets its piece…

Reader comment: Tom and family, I enjoy greatly the reports on your travels. My wife and I hope to do more soon. Too bad my family is long since grown, but when my kids were the same age as yours, we hauled a tent, two boys, and a big dog in a Volkswagen station wagon all over the northern band of states from Minnesota to the state of Washington. Great times.

I also have a non-specific question about investing: My fairly diversified stock holdings (not including real estate, annuities, and silver) dropped 25% in March 2020 and by August 1 had recovered completely and were up 6%. During the same time, the spot price of silver dropped from a fairly steady $18 to $12 in March and now is back up to over $24.50. Any thoughts on what caused the silver drop, and whether another drastic drop in stocks would produce the same drop in silver prices? And if so, why or why not?

Tom’s response: A drop in stocks would accompany a drop in silver. They are both “pro-cyclical” assets, responding to inflation and dollar debasement.

Reader question: Hyperinflation. Did I understand your postcard correctly? There will be a run on paper currency? Will we need these currencies for daily needs and store twenties and fifties, or are we headed to chickens and donkey trading?

Tom’s response: Hyperinflation of the gold price is what I imagine. Paper currencies still have a lot of life left. They’re just going to be watered down. I don’t think we’ll be returning to a barter economy.

Reader question: At the end of last Tuesday’s postcard, you outline what happens next. First, what do you mean by “hard currency”? Is it the dollar, gold, or something else? Second, if it’s the dollar, then why would people want the dollar if they have lost faith in it? (I’m assuming that “run on the dollar” means everyone wants it.) I find your explanations very helpful and they give me a better understanding of macroeconomics. Thank you very much!!!

Tom’s response: Hard currency is any medium of exchange that’s not made of paper and can’t be printed. So gold, commodities, cigarettes, etc.

A run on the dollar is like a run on the bank. It means everyone “runs” to get their money out all at the same time. In other words, it’s a panic out.

Reader question: Tom and family: Look forward to your adventure every day. Question: Do you recommend some paper currency for emergencies or do you think it will become worthless rather quickly as the dollar dies? Would it be better to buy gold with the bulk of my 20k emergency cash I’ve held for years ? (For wife and five kids) I have been collecting gold and silver since 2000.

Tom’s response: I don’t think the dollar will die or become worthless. Cash has a place. Just don’t expect to make profit on it.

Kate describes the Dysons’ journey as “heart-surfing”… One reader celebrates Penny’s raisin adventure… and others give their best travel suggestions…

Reader comment: I love reading your Postcards and envy your family adventures across America. I want to tell Kate that her “heart-surfing” statement is right on. As a third generation Colorado native, I can vouch for the kind-hearted nature and generosity of Colorado people, and the pictures of the hosts were great.

You have quite the following now and are having a big impact on everyone you are meeting along the way. Safe travels and I look forward to your next postcard.

Reader comment: Tom, I have really enjoyed your missives and appreciate the opportunity you are giving your kids to understand the U.S. with limited distractions of political noise and nonsense. When you are up to Montana, be sure to try and see the entire state from east to west – tremendously different and mostly very interesting.

Reader comment: Tom, you’re nuts!! Nuts is good!! Stay the course!! Kate: How DO you deal with him? You must be very wise! Boys: You’ll soon be men. Pay close attention to everything. It will profit you! Penny: No more raisins! Happy trails to you.

Reader comment: Good day! When you get to Durango, go north on US 550 to Silverton, Ouray, and Ridgeway, CO. This is a truly awesome drive, through some of the most beautiful scenery you have ever seen. Spend some time in Silverton and watch the narrow gauge train from Durango arrive.

There are mine tours, museums, and other things to see here. Onward to Ouray, the most beautiful small town in the Rocky Mountains, and the road from Silverton is absolutely amazing!

Don’t miss Box Canyon Falls and there is a hot spring pool near the north end of town. There are many things to see here including mine tours, jeep tours, museums, and don’t miss the Beaumont Hotel tour. That should keep you busy for a few days.

Reader comment: Hi Tom, I just discovered your letter, and am really enjoying it! I’ve read all of Bill Bonner’s books, and am a Stansberry Alliance member, which is how I found you. We also own P10 at Rancho Santana.

We have four young kids and appreciate your perspective (so much of the writing from these great resources seems targeted at retirees, given the age demographic tends to be higher).

Thanks for everything you are doing. Your work is thoughtful, well-researched, and perfectly articulated. If only we could reach the masses, so they would no longer buy into false promises!

Tom’s note: Thanks for all the kind messages! As always, please keep sending us your comments and questions at [email protected]. We read every note you send us, and I’ll do my best to respond.