Gold begins move to $6,000 after US Treasury bond purchase announcement (QE: Money to be printed by Fed).

August 19 (King World News) – The Kobeissi Letter:  BREAKING: The US Treasury announces it will double the size long-term US government debt buybacks following the rapid surge in US Treasury yields.

Repurchases of $2 billion will now be increased to “at least” $4 billion, the US Treasury said.

The move is intended to provide “liquidity support” for bonds maturing in 10 to 30 years as total US debt nears $40 trillion.

There is the intervention we have been calling for…


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by
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MASSIVE QE: Gold Soars $125 On Increased Money Printing
Peter Schiff:
  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!

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.

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.

Desperation Move Sends Gold Price Soaring
Fred Hickey: 
Methinks Mr. Bessent must have received a “heads up” from Wall St. on the order book for today’s 20-year Treasury auction (meaning it was poor). Desperation time. Trying to control (manipulate) the long end of the market which had become increasingly problematic (for good reason – U.S. borrowing is out of control). Not exactly a “free market” action. But the increasingly favored true “store of value” (in much of the world) – gold – immediately jumped nearly $100 vs. the old store of value – the U.S. dollar (as it should).

Gold Is Beginning The Move To $6,000
Otavio Costa:
 
We are experiencing a major monetary gap closing right before our eyes.

KING WORLD NEWS NOTE: Costa Notes The Gap Is Finally Beginning To Close Between Gold (YELLOW LINE) And Global Money Supply (BLUE LINE)

Gold is money. Everything else is credit.

$180 Silver
To hear how high Nomi predicts the price of gold and silver will be next year CLICK HERE OR ON THE IMAGE BELOW.

Could The Price Of Gold Surge To $8,000 In Just A Few Months?
To listen to Alasdair Macleod discuss skyrocketing gold, silver, oil, and mining stocks CLICK HERE OR ON THE IMAGE BELOW.

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