PPI surges to 6 percent year over year, algorithms blind to inflation torching Treasuries at 19-year highs…
30-year yield blasts 5.12 percent as traders sell gold on the most bullish setup ever…
Oil at 105 bucks, AI crypto bubble one shock from popping, Schiff loads the truck on metals…
Fed easing bias meets runaway producer prices, Americans pay full tariff freight while exports explode…
PPI hit 6%, yields hit 19-year highs, and gold dropped 4%. Traders are selling on the most bullish data gold has ever seen.
Gold fell 4% and silver dropped 10.5% on the week despite the most bullish inflation data in years. Peter Schiff explains why traders have it exactly backwards: April PPI surged 1.4% month-over-month — nearly the entire 2% annual target in a single month — pushing producer prices to 6% year-over-year. Core PPI tripled expectations at 1.0%, annualizing to 12.5%. Import prices jumped 1.9% on the month, proving Americans are paying every cent of the tariffs, while export prices exploded 3.3%, signaling internal US inflation pressure across the board.
The 30-year Treasury yield closed at 5.12%, a 19-year high, while the 10-year hit 4.59%. Algorithms are selling gold because they see rising yields as bearish — but Schiff argues they’re completely missing that real interest rates are collapsing because inflation is rising faster than nominal rates. The Fed’s easing bias in the face of 6% PPI is itself a form of monetary easing. Oil closed at $105 with no end to the Iran war in sight, Bitcoin is down 12.5% year-to-date, and the AI/crypto bubble is one bond market shock away from popping. Schiff’s call: back up the truck on gold, silver, and mining stocks while traders are giving them away.
Governments always restrict what they can’t ban outright, gold suddenly enemy number one…