Peter Schiff

Treasury's policy choice of trading higher inflation to slow the rise of long-term interest rates has not only pushed up precious metals, but Bitcoin too. The big difference is that gold and silver will not only hold today's gains, but add to them. In contrast, Bitcoin is a sell.

@GuyAdami Not yet, but it's clearly coming. Treasury can't do this alone.

On our national debt, the average coupon on maturities beyond ten years is 3.44%. That's way below current long-term rates. Buying that debt back now is like a homeowner refinancing a 3.44% 30-year fixed-rate mortgage into a 4% one-year ARM. Who would be dumb enough to do that?

Bond yields may be down today, but oil is up 1.5%, above $86. That's because Treasury traded lower yields for a weaker dollar, which pushes up oil and other commodity prices. That means more economic pressure on the Fed to hike rates, but more political pressure to cut them.

Markets like inflation, but the general public won't. The Dow is up 330 points, about 0.6%. But gold is up $160, which is 3.7%. So nominal asset prices rise, but real values fall. Consumer prices will rise too, offsetting the benefits of higher asset prices for most Americans.

In a rising interest rate environment the smart move is to issue long-term debt, locking in lower rates. But Treasury can't do that, as increased issuance of longer-maturity debt would crash the economy now. So instead they'll crash the economy later when short-term debt matures.

As the Treasury issues short-term debt to buy back previously issued long-term debt, its interest expense goes up, as the coupons on the debt it buys back are lower than the rates it pays on the money it borrows. The national debt rises faster while the average maturity falls.

Treasury just announced that it will buy more long-term Treasuries private investors no longer want to hold to try to keep yields from rising. The money to pay for it will ultimately be created by the Fed, sending inflation soaring. That's why gold is already up $125 on the news! Initially Treasury will buy back long-term debt by issuing more short-term debt, making it harder for the Fed to raise rates, as it will push up federal interest expense and annual budget deficits. In fact, it will increase pressure for rate cuts and QE despite rising inflation.

@natbrunell @phongle @Strategy This is complete bullshit. Selling common stock at a discount is absolutely dilutive, whether the cash is used to pay dividends, buy Bitcoin, or buy back STRC. You don't have to believe me. Just look at Strategy's own website. The Bitcoin yield this quarter is negative 7.3%.

@taoge700529 @ChefMMiami @SenWarren Actually Jews had to overcome a lot of discrimination to succeed. Your reply is an example of the adversity they had to overcome. The Jews didn't make excuses, the way you just did.

@WallStreetMav That's now. Wait until both the debt and interest rates go way up.

Today some investors are likely rotating a bit from equities to bonds. This trade is bound to pick up as bond prices continue to fall and yields rise. I don't think yields will rise high enough to make bonds a good investment, but in the short run they may lose less than stocks.

Traders selling gold today still don't understand what's happening. Rising bond yields won't compete with gold, they'll drive more money into gold. As inflation causes bonds to lose value, investors seeking to avoid losses will sell and buy gold as an alternative store of value.

@DA_Stockman Yes, at the cost of soaring debts those same taxpayers are on the hook to repay.

JGBs are tanking again. The yield on the 10-year is up to 2.95%, a twenty-year high, and the 30-year is at 4.13%, an all-time record high. This rise has caused gold to reverse earlier gains, but what's happening with JGBs and Treasuries is actually extremely bullish for gold.

Gold and silver keep moving up. Gold is now above $4,430 and silver is above $66.25. The $GDX is up 30% in the last month. There's lots of bubbles out there, but one asset class that's not even close to a bubble is precious metals mining stocks. It's nowhere near too late to buy.

The yield on the 30-year JGB is above 4% for the first time ever. With Japan's policy rate at just 1%, oil rising and the yen falling, JGBs could be ready to crash. That may force the Fed into vastly expanding QE to keep Japan from dumping Treasuries.

I'm not sure why Bitcoin didn't sell off today, but the rally gives HODLers another opportunity to sell. Any ideas what's propping it up? Remember, $65K is resistance. There isn't much upside above that level, but plenty of downside below.

Gold, silver, oil, precious metals mining stocks, and bond yields all rose today as the S&P 500 fell. The inflation trade is on and Fed credibility is off. Get used to this combination.

The yield on the 30-year Treasury is above 5.3% for the first time since April 2007. At the time the U.S. national debt was still under $8.8 trillion. Now it's over $39.9 trillion, over 4.5x as large. Plus, in 2007 bond yields were still trending down. Now they are trending up.

The Next Leg Down in Your Standard of Living Just Started https://t.co/xB2Jx6MKwS

Gold & silver are once again shrugging off weakness in Treasuries and rallying. Gold is back above $4,400 and silver is back above $66. This positive correlation between bond yields and precious metals prices will strengthen as investors come to terms with ever-rising inflation.

The Next Leg Down in Your Standard of Living Just Started New Episode https://t.co/TqRVKiG8iL

Gold and silver appear to be breaking out just as Bitcoin is breaking down. That is not a coincidence. As investors seek exposure to a viable alternative to fiat currencies, some now seek an alternative to digital fiat, since it’s been losing purchasing power for over five years.

Every Crisis I've Warned About Traces Back to This One Night https://t.co/pVesMSabuY

55 years ago today, Richard Nixon defaulted on America's obligation to redeem Federal Reserve Notes in gold and took the U.S. off what remained of the gold standard and Constitutional money. Watch the YouTube video I created five years ago at the 50 mark. https://t.co/ZBzNYdyvsW This was a very prescient video. At the time I released it to warn about the imminent risks created by inflation, the Fed was still dismissing inflation as being transitory. Both the national debt and the gold price have increased substantially since it was made.

$TLT, the 20-year U.S. Treasury ETF, just hit a new low for the year. Trump thinks America is winning, but anyone who invested in Treasuries is losing bigly. TLT is down 6% so far in 2026 and 50% from its 2020 high. Plus, real losses are much greater when adjusted for inflation.

Inflation has averaged 4% over the past 65 months. Under Powell, to make up for past inflation being too low, the Fed adopted a policy of targeting an average inflation rate of 2%. Consistent with that policy we now need 0% inflation for 65 months to bring the average down to 2%.

Despite selling Bitcoin and $MSTR to raise cash and buy back $STRC, STRC is still trading below $95. It looks like @Saylor is going to have to sell a lot more Bitcoin and discounted common stock to raise the price of STRC to $100. That's bad news for Bitcoin and MSTR. Sell both!

Even though I won a defamation lawsuit against Nick McKenzie of Australia’s The Age, in which McKenzie was personally ordered to pay me more than the legal maximum allowed under Australian law, plus his employer was ordered to pay my legal costs on an indemnity basis—an award that is only granted in extreme cases where the conduct is found to be especially egregious—Wikipedia refuses to allow any reference to this win against him on my page or to the loss on Nick McKenzie’s page. If any editor attempts to include a reference on either page, it will be removed and the editor banned. The reason is that Wikipedia wants to whitewash McKenzie’s r…