False Narrative Collapses: Gold, Oil, Rates to Surge Together

The 1973 OPEC oil supply crisis sent gold prices soaring while US interest rates surged. However, government narratives have since promoted a different scenario where rising oil and interest rates are supposedly negative for gold.

Despite this false narrative, investors who chase AI stock prices may be better off exercising patience as the market is due for a major correction. Those who buy in now will likely end up underwater when the inevitable drop occurs.

The US government's $40 trillion debt is set to reach $50 trillion and potentially even $100 trillion before the house of fiat collapses. Currently, interest rates are on the move again, but not because the economy is strong; instead, they're too low to compensate investors for the growing risks.

A technical target for US government bond rates is 6%, which would put further pressure on the false narrative and cause interest costs for the technically bankrupt government to skyrocket. The long-term view of US rates shows a death of the government chart, suggesting that gold, oil, and rates will surge together in a stagflation cycle.

The inverse H&S pattern targets the $4800-$5000 resistance zone, with a possible pullback before reaching this area. A flag-like drift is also apparent on the daily chart, targeting the same zone. On the weekly chart, a more massive flag-like drift suggests that the $4800-$5000 area may be just a pitstop en route to at least $8000.

Silver's new range trade is between $50 and $120, with a potential surge to $190-$200 next. The US government should instead focus on aggressively buying gold to abandon its debtor lifestyle and become savers focused on gold.