Gerardo Del Real,
Editor
Aug. 19, 2026
I’m in Portland setting up our youngest son as he gets ready for his first year at the University.
Summer is coming to an end and change is most definitely in the air.
It’s not just a change of seasons or new beginnings, there’s now been a formal acknowledgement by Treasury Secretary Scott Bessent of the policy shift.
Change I’ve told you for months was the likely outcome because math dictated as much.
The U.S. Treasury has announced it will double the size of long-term U.S. government debt buybacks following the rapid surge in U.S. Treasury yields.
Heck of an opening salvo.
Repurchases of $2 billion will now be increased to “at least” $4 billion, the U.S. Treasury said.
That means more. The move in absolute terms is a drop in the bucket compared to what’s coming in order to effect yield control.
The move is intended to provide “liquidity support” for bonds maturing in 10 to 30 years as total U.S. debt nears $40 trillion.
That means what I’ve been saying: there’s no way the bond market was going to bring rates down on its own with the debt at $40 trillion and the crazies in Washington adding fuel to the debt fire by the second.
The reaction has been swift. Gold up over $150, dollar down, yields down, silver surging. Welcome to the next part of the gold bull market.
I’ll remind everyone what I’ve reminded those of you who have followed Nick Hodge and me in Bizarro World: Scott Bessent is a seasoned trader who is as equipped for this policy as anyone.
Bessent served as managing partner for George Soros’s London fund that broke the pound. The firm made massive profits.
Effective yield control in the U.S. for any period of time is going to be a heck of a juggling act — but at least Bessent knows how to juggle.
This is exactly what I’ve tried to emphasize the first half of the year during the consolidation. I told you it was noise. I told you the Iran war, though unnecessary (I’m being kind), was noise. Real noise societally, static noise for the metals markets.
The thesis has always been the debt and our inability to tackle it.
Couple that with structural deficits in the copper, uranium, silver, and lithium spaces, then throw in geopolitical bullying by China on critical metals, and we have all of the makings for a historic bull market that will run for years.
We may not like why we’re here, but we’re here. We’re positioned for it in the pages of Junior Resource Monthly and Junior Resource Speculator.
Let's get it,
Gerardo Del Real
Editor, Bizarro World