Gold is Money, Everything Else is Credit

J.P. Morgan said that under oath in 1912. He was not wrong.

The U.S. government is, as I write, trying to control:

• The global oil price;

• The USDJPY exchange rate; and,

• The $32 trillion U.S. Treasury market.

None of it will work for one of 10,000 reasons, all of which can be succinctly summarized as: no one is bigger than the market.

Bessent’s Wednesday announcement of Yield Curve Control/Operation Twist/Not-QE QE was consequential (a word you hear thrown around more and more) because it was a formal admission that they have lost the handle.

Look around; the handle has been lost everywhere. Things are out of control.

And it’s not going back. This, I’m sorry to report, is just the beginning. We have returned to the historical norm of chaos.

All these things have been coming for a long time. I will have a lot more to write about this, but wanted to share one chart that I believe explains everything.

This one is for paying Tarot subscribers only.