Big Picture thinking..64 trillion in US debt in 10 years….I like hard assets.
- The Debt Spiral is Here: U.S. federal debt has crossed $39 trillion and is projected to hit $64 trillion by 2036, only 10 years from now. The pace of accumulation is accelerating, forcing a monetary endgame collission.
- The Fed’s Impossible Choice: The government needs lower rates to manage its debt service costs, but this will reignite inflation. If they don’t monetize the debt, rising rates will trigger a deflationary spiral. There is no third option.
- Gold’s Dip is Temporary, The Rise is Structural: The recent sell-off is a mechanical liquidity event. The underlying reason to own gold, as a hedge against the inevitable monetization of sovereign debt, has only grown stronger.
From Money and Metals on Substack…subscription service.