Having anticipated the dollar's continued decline, Townsend warned that he sees more weakness ahead, especially if federal stimulus exceeds expectations.

Speaking from a purely technical perspective, the trapdoor might really open up for the dollar if the DXY makes it to 89, at which point resistance would evaporate, Townsend said.

Moving on, Townsend commenced with the show's feature interview with Kyle Bass, the founder of Hayman Capital. Bass has gained notoriety over the past few years thanks to his scathing criticism of the Communist Party, and his prescient warnings about the political upheaval in Hong Kong, as well as the impact of all of this on markets.

Bass and Townsend started with a discussion on inflation, and the notion that not only will we see more inflation in the coming years due to the debasement of the dollar, but that, thanks to the inexorable upward march of all assets from stocks, to bonds, to crypto etc., nothing today is as cheap as it was ten years ago, or so it seems.

Kyle: I don't know, Erik. If you look around your life, is there anything that you purchased in the last 10 years that is much cheaper than it used to be?

I mean, in my life, whether you're buying farm and ranch vehicles or whether you're buying even technology-based investments, whether you're buying a new PC or whether you're buying a new iPhone, their capacity has greatly increased. But the actual net price tag has also increased.

And the way that the inflation experts, using chain weighting, calculate inflation, I basically am offended by the fact that people out there don't believe we have inflation already.