Gold’s surge past the $5,000 mark is not just a reaction to inflation or central bank buying, but the result of a broader momentum shift amplified by algorithmic trading and years of fiscal deterioration, according to Michael Lee, Founder of Michael Lee Strategy.

“Gold is in the process of breaking out and there’s a tremendous amount of momentum behind us,” Lee told Michelle Makor, President & Editor-in-Chief of Miles Franklin Media, adding that post-pandemic fiscal policy amounted to “a total and complete destruction” of discipline in Washington.

In this episode of The Real Story with Michelle Makori, Lee argued that while gold could extend toward $6,000 or even $7,000, investors should remember that commodities historically experience long periods of stagnation after explosive moves. “The dam just broke,” he said, stating that gold is benefiting from the momentum trade.

Silver’s rally, however, reflects a different dynamic. Lee described the current move as “a GameStop moment,” driven by an imbalance between paper contracts and limited physical supply. “What’s going on with the difference between paper silver and physical silver is identical to what happened with GameStop  and that's why you see these parabolic moves in the chart,” he said.

To get Lee’s full explanation on the similarities of the moves, watch the video above.

Despite rising de-dollarization narratives, Lee pushed back on the idea that the U.S. dollar is at risk of replacement. “There is no way know-how that gold or Bitcoin or anything else like that can replace the US dollar,” he said, citing the lack of alternatives capable of absorbing trillions in short-term capital.

Looking beyond metals, Lee outlined a bullish outlook for U.S. equities, particularly artificial intelligence. “I have never been more bullish on stocks than I am right now,” he said, pointing to massive investment in data centers, energy infrastructure, and AI-driven productivity gains.

According to Lee, gold, silver, and equities can rise simultaneously in an environment defined by fiscal stress, technological transformation, and U.S. capital dominance – a reality that challenges traditional macro playbooks.

For Lee’s stock picks for 2026, watch the video above.