Aug. 13 at 3:11 AM
$GLD $JNUG $SLV $GDX $B
The US auctioned off 10-year bonds today @ the HIGHEST YIELDS since 2007. The yield move has been driven by real yields (adjusted for inflation), which are hovering near the highest levels since 2008.
This comes as just last wk the US treasury went from borrowing
$155 billion MONTHLY & now since July has increased it to
$246 billion monthly. This is where the fiscal problem becomes much more serious & when do you the math you realize w/severe clarity that this debt becomes very expensive & real cost of capital for the govt is going to cost us all. If you caught my post yesterday about the
$1.45T TBAC (Treasury Borrowing Advisory Committee) shortfall this becomes much more significant as GDP is slowing currently @ 1.5% & the labor market is slowing as well
Treasury isn't just borrowing to finance the deficit. It is also ROLLING OVER enormous quantities of existing debt like ~
$12 trillion total for this year. Shambolic