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n. Illinois | Did some research on this topic last night.
I looked last night and found that between the debt that matures in 2026 and the new debt that the treasury has to issue that there will be 10-12 trillion of debt issued. Of the debt that is just being rolled over roughly 8 trillion the avg rate of that maturing debt is 3.1% and the projected rates on that debt going forward assuming historical splits among the different maturities will be 4.6% or 150 BP higher which is another $120 billion more spending in 2026 just to service the interest vs what was spent in 2025. the new debt being issued in 2026 of roughly 3.5 trillion adds another $160 billion to the annual interest cost. This has the ability to get out of hand way faster than anyone wants to admit.
The Fed has already begun printing new fake money,
you know to keep liquidity from drying up just in case etc.
They are in a rock and a hard place, They can not stop printing fake money because liquidity will dry up creating a real disaster. The fake money is nothing but gasoline being poured on a fire. Their only play left is to require massive reserves from the banks to be held at the Fed so the banks can't actually create new credit via expansion of loan balances. IE net New loans = new money. Credit contraction is where recessions have their start. The new Fed Chairman also has to please Trump so he will cut rates to begin while the rest of the world is increasing rates and the rest of the world trying to reduce the risk associated with holding T-bills and US stocks. So the Fed will create whatever amount of fake money is needed to drive down short term rates on T-bills that the Treasury issues to fund the 10-12 trillion of debt that has to be issued in FY 26 IE More Fake Money = more inflation= higher gold prices.
Edited by Reality speaks 2/13/2026 19:41
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Gold and the FED