The PoG has faltered since the US Fed began raising interest...

The PoG has faltered since the US Fed began raising interest rates. Their bluster began in mid CY21. They finally carried through with it in Mar22. How far can they go, without breaking something?

NST the Company is operating well, which (hopefully) will be confirmed on Wednesday. Macroeconomic news is impacting the World Equities market and Gold Sector news impacting Australian Gold Equities specifically.

So when might the US Fed pivot?

2022 US Fed Rate Hikes ... so far:
16Mar22 0.25%
04May22 0.5%
15Jun22 0.75%
27Jul22 ?

While the Federal Funds rate influences all interest rates, the US 10 Year Treasury Bond is determined by market interests. The rate stood at ~1.5% for a while after the 2019 US Fed pivot. However after the US Fed began tightening in Mar22, it rose to ~3.5%. It has now settled back just below 3%. The market seems to be expecting recession news and/or the US Fed to pivot.





US Debt is their 2 Year, 5 Year, 10 Year and 30 Year Treasury Bonds (USTs) and other debt instruments.

US GDP rises over time ... unless it goes into recession. In that case, interest as a % of GDP will rise, US Fed hikes irregardless.

Q1 US GDP was -1.4%. Preliminary estimates have Q2 US GDP at -2.1%.

If the US Fed raises rates on 27Jul22 AND the US Q2 GDP result on 28Jul22 proves recession ... interest as a % of GDP will be at ATH.


No international players want USTs now. Despite their negative real yield, only domestic interests are buying because they feel TINA. All other stores of value will fall with recession. Russia, India and some African nations have dedollarised. A movement that looks to continue, as the rising US$ hinders emerging markets and in turn world economic growth.


The US Fed has $9t of assets (USTs), while US Treasury debt totals some $31t. The US Fed is likely to continue being the main buyer of USTs into the future. When the US Fed QEs, the interest payable by the Treasury is just recycled back, so technically the interest payment has negligible impact.

The real effect however, is the total debasement of the fiat currency. What will that do for the PoG?


When the Ukraine crisis began, the Rouble was attacked. Putin then announced he will accept Roubles, Gold or Bitcoin for Oil. The Rouble bounced back but Bitcoin has fallen from $45,000.

The PoG has been affected by the US Fed rate hikes however now we hear Industry "rumours" of the Ugandan Gold find. This has been largely ridiculed by all Gold commentators. Its almost as if someone is purposely spreading improperganda ... but who and why?

The US$ has the same future as the Yen currently experiences. The goose (US$) is cooked and the US Fed can only try and manage a slow burn.




The only real solution is to find a new cheap source of energy NOW. An alternative to fossil fuel based energy.


The USA may well start a CBDC but what will it use for international settlements? China started their digital Yuan. It is backed by the Yuan which in turn is defacto backed by Gold. Russia's Rouble is defacto backed by Gold.

Much of the worlds human population can't afford food and energy, let alone a digital device to conduct payment. What will they use?

Gold has 5,000 years of network effect. Silver, Nickel and Copper were only needed for small change. They won't be required to back a digital currency.