AI's Secret Cost: The Inflation Trap Markets Are Missing | Tavi Costa

Is the "Build Phase" of the AI revolution creating a structural inflation shock the market is ignoring? Tavi Costa, Founder and CEO of Azuria Capital, joins Senior Anchor Jeremy Szafron to map out the collision between massive global debt, shrinking physical metal supplies, and the scramble for strategic resources. They break down why the math behind central bank reserves is shifting, with gold surpassing U.S. Treasuries as a primary reserve asset. Tavi argues this isn't just a political statement, but a calculated response to a Treasury market increasingly behaving like an emerging market. The discussion moves into the mechanics of the supply crunch, explaining why record-high copper and silver prices are failing to incentivize new production due to the "byproduct trap." Finally, Tavi addresses the "Build Phase" paradox: while AI may be deflationary in its mature stage, the current, capital-intensive race to construct the global electrical grid is consuming raw materials at an unsustainable rate. Recorded June 3 2026 Follow Jeremy Szafron on X: @JeremySzafron (https://x.com/JeremySzafron) Follow Kitco News on X: @KitcoNewsNOW (https://x.com/KitcoNewsNOW) Follow Tavi Costa on X: @TaviCosta (https://x.com/TaviCosta) 00:00 Gold Tops Treasuries 00:57 Debt Trap And Rate Suppression 03:58 What Breaks If Fed Hikes 05:48 Main Street Inflation Squeeze 08:50 Populism And Mining Risk 09:17 Emerging Markets Rotation 11:11 Copper Price Discovery 14:13 Where New Supply Comes From 17:39 Silver Deficit And Repricing 20:54 Mining M&A And Orla Risks 23:43 Pricing Jurisdictional Risk 29:39 Argentina As Reform Roadmap 34:28 Government Metal Intervention 39:01 Managing Mining Volatility 45:56 What Would Break The Thesis 49:19 Closing Thoughts #KitcoNews #Gold #Copper #MiningStocks #TaviCosta #Inflation #Macro #AI #Silver #Investing #Commodities #Mining __________________________________________________________________ Like, share, and subscribe to Kitco News—and turn on alerts to stay current with expert interviews, market insights, and breaking news coverage. FOLLOW US: X: https://x.com/kitconewsnow Instagram:   / kitconews   Facebook:   / kitconews   LinkedIn:   / kitconews   Listen to the PODCAST on 🎧 Spotify: https://open.spotify.com/show/1My4Wgt... 🎧 Apple Podcasts: https://podcasts.apple.com/us/podcast... 🎧 All podcast episodes available here → https://kitconews.buzzsprout.com Visit: https://Kitco.com/ for live gold, silver, and crypto prices, the latest mining news, and macroeconomic insights. Live gold price and chart: https://www.kitco.com/charts/gold Live silver price and chart: https://www.kitco.com/charts/silver Live crypto market data: https://www.kitco.com/price/crypto Learn more about Kitco News: https://www.kitco.com/news/about/ For more information on advertising, sponsorship and marketing promotions – please visit our online media kit at: https://www.kitco.com/advertising Disclaimer: The videos are not intended to provide trading advice, and the views expressed do not necessarily reflect those of Kitco Metals Inc. Kitco News, its anchors, producers, and reporters are not responsible in any way for the performance or actions of any sponsor, advertiser or affiliate of Kitco News. In no event will Kitco and its employees be held liable for any indirect, special, incidental, or consequential damages arising out of the use of the content in this video.