Iraq Economic News And Points To Ponder Sunday Afternoon 5-25-25

A Strong, Diversified, And Sustainable Economy Is A Fundamental Pillar Of The National Security Strategy    ( Yrs - 2025-2030 )   

Samir Al-Nusairi   The Prime Minister announced the Iraqi National Security Strategy, with its axes and objectives, designed to ensure security and economic stability, protect Iraq internally and externally, avoid risks, and enhance the country's societal security, stability, sovereignty, and prosperity in all areas.

What concerns us as economists is how to achieve the economic goal of the strategy, which constitutes the basic foundation for building effective economic stability and sustainable development in accordance with Iraq’s economic vision for the years (2025-2030).

It is important to note that most countries in the world, whether emerging or fragile economies, have national security strategies that rely on plans to build stability and social development for their people.

The most prominent of these plans relate to ensuring food security, health security, and livelihood security as basic and systematic priorities for building a safe, stable, and developed society. This is what Iraq's Vision 2030 clearly emphasized and indicated.]

Iraq is currently going through a critical, important, and sensitive phase due to the political, security, and economic circumstances, which can be specifically identified with the fluctuations in global oil prices and the global economic recession.

 The economic reality, according to official data, also indicates that
The preliminary results of the general population census indicate that Iraq's population has risen to 46 million, while unemployment and poverty rates continue at the overall level.

This requires solutions and major efforts to empower youth, reduce unemployment rates, and alleviate poverty in a country that aims to achieve stability in its national security strategy.

To implement the plans drawn up to achieve this, we believe that Building the foundations of a comprehensive national security strategy, with a focus on the economy, must result in security, stability, and economic development that contribute to societal well-being. It must be effective and implementable under the current circumstances in Iraq.

 Therefore, many citizens from various levels of government, politics, and economics, as well as university professors, civil society organizations, youth, women, and professionals, must familiarize themselves with the strategy's details, each within their respective fields, and contribute to achieving its objectives.

The magnitude of the economic challenges, both domestically and internationally, and the continued volatility of global oil prices require a firm stance by all governmental, political, and popular bodies, as well as the private sector, to protect Iraq and sustain the building of a strong, diversified, developmental, and sustainable economy, based on realistic realities.

I believe that the strategy should be a realistic application of the axes of the government program in its economic and security dimensions, and most importantly...

Legitimate demands to eliminate financial and administrative corruption, address unemployment and poverty, and return Iraqi funds stolen by corrupt people.

The basic economic principles of the national security strategy should be as follows:
1- Building a sound national economy with multiple resources.
2- The private sector plays a pivotal role in leading the market.
3- Providing food, medicine and environmental security for citizens.
4- Ensuring a decent life for the individual and the family.
5- Reforming and developing the financial and banking sector and increasing its contribution to economic development.
6- The state guarantees social justice for citizens.
7- Protecting the spirit of citizenship and community and civil peace.
8- Reforming and developing good governance institutions to provide the best services to citizens.
9- Information security and transparency of economic data and indicators.

https://economy-news.net/content.php?id=55809

The Central Bank Launches The First National Strategy For Financial Inclusion

Banks  Economy News – Baghdad  The Central Bank of Iraq announced on Sunday the launch of the first National Financial Inclusion Strategy for the period 2025-2029.

He follows..

36 views  Added 05/25/2025 - 5:18 PM  https://economy-news.net/content.php?id=55824

The Central Bank Of Iraq Launches The First National Strategy For Financial Inclusion.

Time: 2025/05/25 Reading: 675 times    {Economic: Al Furat News} The Central Bank of Iraq launched, today, Sunday, the first national strategy for financial inclusion for the period 2025-2029.

According to a statement by the Central Bank, a copy of which was received by {Euphrates News}, the strategy includes an integrated framework for financial inclusion aimed at enabling all individuals and companies to access the financial sector and use appropriate and safe financial services while protecting their rights, thus contributing to economic and social development.

In his speech, the Governor of the Central Bank, Ali Mohsen Al-Alaq, emphasized that "the Central Bank of Iraq attaches great importance to enhancing financial inclusion in Iraq, in addition to cooperation at the regional, Arab, and international levels.

The Central Bank of Iraq has worked with international partners to develop a financial inclusion strategy in accordance with international best practices, in partnership with the World Bank Group, the Arab Monetary Fund, the Global Financial Inclusion Alliance, and the German Development Cooperation Agency (GIZ), in addition to local partners from public and private bodies and agencies."

He added, "The bank is working to achieve a number of goals, including increasing the number of bank accounts, enhancing consumer protection for those dealing with the financial sector, using the latest electronic payment methods, and developing infrastructure and regulations to promote financial inclusion."   LINK

A "Time Bomb" Threatens The Iraqi Economy.. An Expert Explains (Infographic)

economy | 11:58 - 05/25/2025   Mawazine News - Baghdad -  Economic expert Manar Al-Obaidi warned on Sunday of the risks of the domestic debt, which has exceeded 85 trillion dinars, describing it as a "time bomb" threatening the Iraqi economy.

Al-Obaidi said in a blog post followed by Mawazine News, "It is often promoted that the domestic debt is not dangerous because it is in dinars and does not affect foreign currency reserves, but this claim reflects either ignorance of the reality of the Iraqi economy or an attempt to reassure people with statements far from the truth."

He explained that the government's borrowing from local banks to cover the deficit withdraws liquidity from the market, which means diverting funds that were supposed to finance private sector projects, such as factories, companies, and job opportunities, to mere government salaries and expenditures. He added, "This makes banks merely a fund to cover state expenses."

He pointed out that domestic loans do not always rely on people's savings. Rather, the Central Bank often prints new dinars to finance them, in what is known as "deficit financing," which leads to inflation, rising prices, a decline in the value of the dinar, and directly harms citizens.

Al-Obaidi warned that those who downplay the danger of debt in dinars are ignoring the possibility of a financial crisis even without the influence of the dollar. A government's inability to repay its debts to banks or a loss of confidence in the banking system could lead to a collapse more severe than any monetary crisis.

He emphasized that most countries borrow to build factories, develop education, or stimulate the market, while Iraq borrows to cover salaries and ministry expenses. This debt is devastating to the economy and burdens future generations.

He expressed concern that the domestic debt, which has increased by 13 trillion dinars in just one year, is equivalent to what accumulated in the previous four years, with no known fate or method of repayment. He said, "This debt has not been used to reduce imports, stimulate the private sector, or create productivity, but has been limited to financing government salaries and expenses."

Al-Obaidi concluded his warning by saying, "The domestic debt is not as safe as it is portrayed. Rather, it reflects poor management of public funds and perpetuates a chronic deficit.  

Those who downplay its seriousness are either ignorant of the figures or seeking to mislead public opinion.  It is a fire under the ashes, and if we do not change our spending and management practices, we will face an economic explosion, and we will be powerless to act."  https://www.mawazin.net/Details.aspx?jimare=261890

Minister Of Environment: Iraq Is Making Confident Strides Towards Enhancing Regional And International Cooperation On The Water Issue

Local  Economy News – Baghdad  Environment Minister Helo Al-Askari affirmed on Sunday that Iraq is making confident strides towards enhancing regional and international cooperation on the water issue.

The ministry said in a statement, seen by Al-Eqtisad News, that "the Minister of Environment sent a humanitarian and environmental message to the world during his participation in the Fifth Baghdad International Water Conference, calling for "international cooperation and the spirit of peace over conflict," stressing that "humanity, with all its peoples and organizations, strives for security and stability, far from the language of wars and weapons that have long ravaged the world."

The Minister of Environment added, according to the statement, that "water should not be used as a tool for political pressure or a weapon to punish peoples and nature, but rather must remain a shared resource that promotes peace and contributes to achieving sustainable development, especially since many peoples, including Iraq, bear the burdens of climate change resulting from industrial practices in major countries that continue to violate the laws of nature without deterrence."

He continued, "Instead of using water as a weapon in our political negotiations, let us water trees, flowers, and green spaces with it." This way, we restore balance to nature in the face of rapid population growth.”

He explained that “this environmental approach reflects the essence of the Iraqi government’s vision, which seeks to improve a positive and sustainable political climate, especially with regard to water resource management.”

The Minister explained that “Iraq is making confident strides towards strengthening regional and international cooperation on the water issue, through launching qualitative initiatives, most notably the adoption of sustainable agriculture and the intensification of awareness campaigns to rationalize human, agricultural, and industrial water use.

This is in addition to the regional initiative to protect the Tigris and Euphrates, launched by the Prime Minister during the conference, which aims to achieve water security, environmental balance, and utilize technology and innovation to address climate challenges.” The

Minister continued, “Let us remember that all divine books, including the Holy Quran, consider water a sacred blessing that revives humans, animals, and nature, and represents the basis for the sustainability of life if water is made a means of peace rather than a tool of conflict.”

Al-Askari concluded by emphasizing that “Iraq, by virtue of its geographical location and cultural history, is fully aware of the vital role of water in achieving development, and calls on all countries to unite efforts and adopt a common approach that places people and the environment at the heart of water policies.”   https://economy-news.net/content.php?id=55826

The Dollar Continues To Fall Against The Dinar

Economy | 11:02 - 05/25/2025   Mawazine News – Baghdad   The exchange rate of the dollar fell against the dinar on Sunday morning in the markets of the capital, Baghdad.

The dollar price recorded a decline in the Al-Kifah and Al-Harithiya stock exchanges, recording 141,950 dinars for every $100, while yesterday, Saturday, it recorded 142,100 dinars for every $100.

Selling prices stabilized in exchange shops in the markets of Baghdad, where the selling price reached 143,000 Iraqi dinars for every $100, and the purchase price reached 141,000 dinars for every $100. https://www.mawazin.net/Details.aspx?jimare=261888

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

Seeds of Wisdom RV and Economic Updates Sunday Afternoon 5-25-25

Good Afternoon Dinar Recaps,

DUBAI LAND DEPARTMENT LAUNCHES TOKENIZED REAL ESTATE INITIATIVE ON XRP LEDGER

The Dubai Land Department (DLD) has officially launched a landmark initiative in partnership with Ctrl Alt, aimed at transforming real estate investment through blockchain-based tokenization on the XRP Ledger.

Ctrl Alt and DLD Launch Real Estate Tokenization Project

Ctrl Alt has officially launched its tokenization partnership with the Dubai Land Department (DLD) for the Real Estate Tokenization Project, marking a significant step forward in property investment innovation within the Emirate.

This initiative, developed in collaboration with the Virtual Assets Regulatory Authority (VARA) and the Dubai Future Foundation, uses the XRP Ledger to establish a secure and compliant framework for tokenizing real estate title deeds.

Fractional Ownership Through PRYPCO Mint

By enabling fractional ownership, the project allows multiple investors to co-own properties with a minimum investment of AED 2,000 through the PRYPCO Mint platform.

This model opens the door to broader participation, especially for retail and global investors previously excluded by high capital requirements. Blockchain integration ensures that ownership records remain immutable and verifiable, reducing fraud and administrative overhead.

Blockchain Technology to Drive Transparency and Efficiency

The DLD’s implementation of blockchain technology for property registration is designed to enhance transparency, boost investor confidence, and improve operational efficiency in the real estate market.

This technological shift not only aligns with Dubai's forward-looking stance on digital innovation but also supports the creation of a more inclusive and liquid real estate ecosystem.

Economic Impact and Long-Term Vision

The initiative is projected to help build a tokenized real estate market worth AED 60 billion ($16 billion) by 2033, in line with Dubai’s Real Estate Sector Strategy 2033 and the Emirate’s broader economic goals. The move underscores Dubai's ambition to be a global leader in blockchain-powered real estate.

Ctrl Alt CEO Hails the Initiative

Matt Ong, CEO of Ctrl Alt, expressed strong support for the partnership, stating:

“This project has the potential to significantly broaden investor participation and truly modernize the real estate sector. It’s a new chapter for real estate ownership and investment in the region.”

The launch of this initiative signals a broader shift toward digitally-native investment solutions and may serve as a blueprint for other global cities seeking to integrate blockchain into traditional asset markets.

@ Newshounds News™
Source:  Bitcoin.com

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EUROPE’S LARGEST BANK HSBC LAUNCHES FIRST-EVER CRYPTO SETTLEMENT SERVICE IN HONG KONG

HSBC has officially launched a groundbreaking crypto settlement service in Hong Kong, marking a significant shift in how traditional banks interact with blockchain technology.

HSBC Introduces Blockchain-Powered Settlements

Europe’s largest bank, HSBC, has introduced the first-ever crypto settlement platform in Hong Kong, simplifying digital asset transactions for corporate clients. In a press release on May 22, the $3 trillion financial institution announced that users can now settle transactions using tokenized fiat deposits, boosting speed and lowering costs.

The platform instantly converts fiat deposits into digital tokens, enabling faster, round-the-clock payments in both Hong Kong dollars and U.S. dollars. This service is initially available only to Hong Kong clients, but HSBC has revealed plans to expand across Asia and Europe by late 2025.

A Historic First Transaction with Ant International

HSBC’s digital asset settlement service went live with a pioneering transaction involving Ant International, an affiliate of Alibaba Group Holdings. Ant used its treasury management system to initiate the payment, which was tokenized and settled instantly via HSBC’s distributed ledger technology (DLT) platform.

The two companies also successfully tested Ant’s Whale platform, a digital treasury and tokenization tool, highlighting their ongoing collaboration in fintech innovation.

HSBC’s Vision: Bridging Traditional and Digital Finance

Lewis Sun, HSBC’s Global Head of Domestic and Emerging Payments, hailed the development as a powerful example of tokenized finance merging seamlessly with traditional systems. He described Hong Kong as a global innovation hub and praised the city’s proactive regulatory environment in supporting digital transformation.

Sun stated:

“This service reflects how tokenized deposits can modernize payments, improving efficiency while maintaining trust.”

Hong Kong's Aggressive Push Toward Crypto Leadership

The launch comes amid Hong Kong’s broader ambition to position itself as a global crypto hub. Recent initiatives include:

• Issuing licenses to four new crypto exchanges, including DFX Labs and Accumulus Global

• Accepting Bitcoin and Ethereum as part of wealth disclosures for immigrant visas

• Passing a stablecoin bill in May requiring issuers to obtain operational licenses from the HKMA

These developments further highlight the region’s progressive stance on digital assets and its commitment to attracting global crypto innovation.

@ Newshounds News™
Source:  The Cryoto Basic

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XRPTURBO: THIS XRP PROJECT AIMS TO ACCELERATE RIPPLE DEFI REVOLUTION AS LIQUID STAKING GOES LIVE, SET TO LAUNCH AI AGENT LAUNCHPAD

XRPTurbo is emerging as a powerful new force on the XRP Ledger (XRPL), aiming to redefine the ecosystem through an innovative blend of DeFi and AI technology. As the broader crypto market surges, XRPTurbo is positioning itself as the go-to hub for staking, governance, and decentralized automation within the Ripple ecosystem.

XRPTurbo’s Meteoric Growth and Token Surge

Since its oversubscribed presale, XRPTurbo has achieved major milestones. Its native token, $XRT, has surged more than 350% post-launch, with listings secured on Bitmart and XPmarket, and visibility on CoinGecko, with a CoinMarketCap debut expected soon.

The rapid ascent is fueled by a growing community, strategic partnerships, and strong developer engagement—solidifying XRPTurbo as a serious contender within XRP's evolving DeFi landscape.

High-Yield Liquid Staking Goes Live

XRPTurbo’s liquid staking protocol is now live, offering up to 25% APY for users simply holding $XRT in supported wallets like Xaman. The key innovation: tokens remain fully liquid and transferable, sidestepping the usual lockup periods seen in traditional staking systems.

Already, more than 40% of the total 100 million $XRT supply is staked, showcasing growing investor confidence and strong platform engagement.

Coming Q2: XRPL’s First AI Agent Launchpad

In Q2 2025, XRPTurbo will unveil the first AI Agent Launchpad on XRPL. This decentralized automation tool will allow developers to create intelligent agents—self-operating bots capable of managing trades, executing smart contracts, and analyzing data autonomously on-chain.

This innovation is set to bring real-time, 24/7 automation to XRPL and will play a crucial role in enabling next-gen Web3, DeFi, and tokenization projects to thrive on Ripple’s high-speed, low-cost network.

Community-Driven Governance and Early Access Perks

XRPTurbo isn’t just a tech platform—it’s a governance-enabled ecosystem. With the forthcoming Governance & Launchpad DApp, $XRT holders will gain the power to vote on protocol upgrades, project listings, and funding allocations.

Moreover, $XRT unlocks exclusive early access to new launches, including AI-driven and Real World Asset (RWA) projects. This gives holders a front-row seat—and financial advantage—as new innovations hit the XRPL.

Conclusion

With Bitcoin at all-time highs and DeFi rapidly expanding, XRPTurbo is carving out a distinctive niche where AI meets decentralized finance. It’s not just another project—it’s shaping the future of DeFi on XRPL.

Explore liquid staking, participate in governance, and access tomorrow’s projects today.

Buy $XRT on Bitmart or XPmarket, and learn how via this quick guide: How to Buy $XRT

@ Newshounds News™
Source:  CryptoDaily

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Iraq Quietly Made a Big Financial Announcement Back in November 2024

Iraq Quietly Made a Big Financial Announcement Back in November 2024

589bull:  5-25-2025

Back in November 2024, Iraq quietly made one of the biggest financial announcements in its modern history.

All government and private sector payments—fully digital by July 1, 2025.

Iraq didn’t say the rate is changing. They said the entire government and private sector will be fully digital by July 1st.

Let that sink in.

You can’t run a modern, digitized economy with a fake, manipulated currency.

You can’t onboard millions of unbanked citizens into a formal system while keeping a broken exchange rate.

And you sure as hell don’t set a national deadline unless the real system is already locked and loaded.

Iraq Pushes for Full Electronic Payment Transition by 2025
https://iina.news/iraq-pushes-for-full-electronic-payment-transition-by-2025/

In alignment with Iraq’s ongoing financial and economic reform agenda, Prime Minister Mohammed S. Al-Sudani has directed the government to implement key initiatives aimed at advancing and modernising electronic payment systems and services across the country.

 This move comes as part of broader efforts to streamline economic processes, reduce reliance on cash, and foster greater financial inclusion.

A significant step in this reform involves the domiciliation of salaries for private sector employees, a model already in practice within the public sector. To achieve this, the Prime Minister has mandated the Ministry of Labor and Social Affairs and the Central Bank of Iraq to engage with selected private sector institutions to devise a mechanism that will facilitate this transition. The aim is to enhance the financial stability of private sector workers and integrate them more effectively into the formal financial system.

Furthermore, in a bid to modernise public sector financial operations, Prime Minister Al-Sudani has instructed all ministries and government institutions to transition from cash-based payment methods to electronic payment systems for all transactions, including payment collections.

To ensure a smooth implementation, each ministry and institution is required to present a comprehensive transition plan by December 31, 2024. The full shift to electronic payments is expected to commence by July 1, 2025.

These initiatives mark a substantial effort to modernise Iraq’s financial infrastructure, reflecting the government’s commitment to economic growth, transparency, and technological advancement.

The Prime Minister’s Media Office continues to emphasise that these measures are pivotal for economic stability and will contribute to more efficient government operations and improved public services.

Source(s):   https://x.com/589bull10000/status/1926357079960277161

https://dinarchronicles.com/2025/05/24/589bull-iraq-quietly-made-a-big-financial-announcement-back-in-november-2024/

News, Rumors and Opinions Sunday 5-25-2025

Note: All intel should be considered as "Rumors" until we receive official announcements ...and “Rates and Dates” could change anytime until we get to the banks/redemption centers.

RV Excerpts from the Restored Republic via a GCR: Update as of Sun. 25 May 2025

Compiled Sun. 25 May 2025 12:01 am EST by Judy Byington

Global Currency Reset:

Sat. 24 May 2025 Wolverine: Hi guys. The greatest transfer of wealth in World History has started and already some people have received payment through Crypto Currency.

Some members have received the Green Light and are about to receive payment by early next week.

I have received the itinerary of process of payment for the Pentecostal group and dates of the events. Soon I’ll be flying very soon.

Some Private contracts are getting paid today as they had bank appointments.

With the Precatorias I can’t say much because I’m under NDA and it’s looking beautiful.

This weekend we expect to see the notifications as this needs to happen and when that happens the opera will come out ASAP.

Please have all relevant docs available and your birth certificate as you will also get paid having your birth certificate as it’s (allegedly) a bond.

Just always remember once you get paid you go straight home and celebrate there and if you are going to bless your love ones make sure your phones are shut off just in case.

I’ve been told (but not confirmed) that the White Hats are in these rooms and they are monitoring us. I’m sure they know who the bad apples are as they will not receive anything and hopefully those trolls that have done so much damage will get arrested.

We are nearly there, guys. God bless you all. Wolverine

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Fri. 23 May 2025 A2Z DREAMZ Update: Stay alert: notifications could arrive at any moment!

On his show Fri. 23 May afternoon, TNT shared that the banks are preparing for an overnight effort to move forward with the paperwork tomorrow. According to him, staff is expected to be ready and prepared.

If key deadlines are not met by Saturday, the next likely scenario is postponed to Tuesday.

He receives text messages confirming that both Trump and the banks want this completed by the weekend.

TNT explained that while specific deadlines are being set, the banks plan to continue pushing through the night and into Sat. until they receive final authorization.

Banks reportedly already have possession of the 800# since earlier this week, meaning there’s not much left to do at this point, except, as he put it, “keep hitting the ENTER key to light this candle!”

Sat. 24 May 2025 Bond funds delivered to paymasters was coming in so fast everyone was is in awe from the amount …Red Hats on Telegram

Private appointments are being made now.

Get your plans/projects together and don’t wait around for this to happen without being ready.

No straight cash will be given

You are in charge of your funds and can place funds in different accounts

Advisers will be there to assist you with your funds and will help guide you in your projects or choosing one on the list.

Everything is going well, still some that do not want this to happen, but all is safe.

You can take to your appointment: advisors/bank contacts (if you have already spoken to a specific person)/ friend/any person/s you want to assist you.

Zim Cap information is changing daily but as of now they are paying as follows:

NO projects = 15 million no matter amount you might hold.
With projects  = First 2 bond notes are 1 to 1 after this 25 million (per 100T) up to 30 bond notes.

To negotiate further you will need to return

Safe link 800# will be released closer to go date

Rates are EXTREMELY high

We are almost at the end of the road. All intel is saying “Next Week”

Read full post here:  https://dinarchronicles.com/2025/05/25/restored-republic-via-a-gcr-update-as-of-may-25-2025/

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Courtesy of Dinar Guru:  https://www.dinarguru.com/

Frank26  [Iraq boots-on-the-ground report]  FIREFLY: Television is saying Qatar hopes this summit in Baghdad will build Arab solidarity.  We hope it brings us our new exchange  rate...Iraq hailed as a 'recovered country' during this summit... FRANK:  If they are claiming your country is a recovered country do you understand this is another way of telling you that your exchange rate is recovered? ...A recovery is not 1310.  A recovery is $3.22...  

Militia Man You got all these different things.  You have the region, the center...outside  countries...borders...even parliament are on board.  All of these things are are coordinated at the same time.  That's cooperation. That's a lot of entities to be involved to get it right.  I think we're watching them get it right.

The US Dollar will Decline by 75% - Here’s How to Prepare

The Jay Martin show:  5-24-2025

Legendary resource investor Rick Rule joins The Jay Martin Show to deliver a sobering outlook on the U.S. dollar, warning of a potential 75% depreciation over the next decade—mirroring the economic unraveling of the 1970s.

 Rule argues that America’s consumption-driven culture and unsustainable fiscal promises will likely lead to a massive loss of purchasing power, which, if anticipated correctly, could generate significant investment returns.

The conversation dives deep into trade policy, global power dynamics, capital allocation, and the most common pitfalls in resource investing.

Rule also shares his disciplined approach to de-risking investments, the value of long-term thinking, and actionable strategies for navigating the next chapter of economic turbulence.

0:00 Intro

4:16 Has America Been Treated Unfairly?

8:35 China vs. America

15:43 China's Insane Growth and the Belt and Road Initiative

18:59 The Future of US Economic Policy

26:57 How Will the US Handle its Debt?

 29:28 The 1970s Collapse of the Dollar and How it Relates Today

34:45 The Housing Market

 38:31 What Happened to DOGE?

44:03 Will US and Canadian Permitting Improve Under Trump and Carney?

51:16 A Look at the Uranium Sector

53:52 How Does Rick Pick Stocks?

https://www.youtube.com/watch?v=fRoZ62eIIoc

Unveiling China's Gold Hoard Would Implode US Dollar | Bill Holter

Unveiling China's Gold Hoard Would Implode US Dollar | Bill Holter

Liberty and Finance:  5-24-2025

Bill Holter shares sobering insights into the state of global financial systems, warning of the rising risk of a complete debt-driven collapse.

He emphasizes that precious metals, particularly silver, remain essential stores of value in a world where fiat currencies are losing credibility, especially in contrast to the BRICS nations’ move toward asset-backed alternatives.

Holter expresses skepticism about the safety of traditional mining jurisdictions like North America, citing political instability and potential nationalization.

 He also discusses real estate as a vulnerable asset class likely to suffer steep declines amid financial turmoil.

Concluding with personal anecdotes, including a tribute to his late horse Principe, Holter underscores the importance of resilience, preparedness, and independent thinking in uncertain times.

INTERVIEW TIMELINE

 0:00 Intro

1:30 Mining jurisdiction

5:50 Gold’s intrinsic value

8:00 Financial reset

13:30 US & China’s gold

15:00 London gold flows

17:30 The endgame strategy

21:30 Real estate market

26:00 Selling gold & silver

 32:30 Gold vs silver

33:49 Texas secession

35:30 Jim Sinclair

37:27 Riding horses

https://www.youtube.com/watch?v=NaC3kelwxnY

Iraq Economic News And Points To Ponder Sunday Morning 5-25-25

A Government Advisor Reveals A "Dangerous Paradox" In The Private Banking Sector.

Time: 2025/05/24 Read: 3,240 times  {Economic: Al Furat News} The Prime Minister's economic advisor, Mazhar Mohammed Salih, affirmed that restructuring the banking sector is a fundamental and important step toward enhancing the stability of the financial system and supporting economic development in Iraq.

Saleh explained in a press statement that this restructuring aims to better organize cash flow management and improve the efficiency of the state's financial liquidity, which will contribute to alleviating financial pressures on the public treasury.

He pointed out that there is a clear division in the banking market, as private banks own more than 78% of capital, but contribute a limited percentage not exceeding 20% ​​of financing and deposit operations.

Saleh stressed that the banking restructuring is a comprehensive process that includes modernizing the infrastructure of government banks, enhancing the efficiency of asset and liability management, and developing governance systems in line with international standards.

He added that these measures will increase the banking sector's ability to effectively contribute to the gross domestic product, expand the scope of financing and lending for development projects, which supports economic growth and reduces dependence on oil revenues.

He emphasized that the current financial and monetary challenges, particularly oil price fluctuations and liquidity pressures, require accelerating the implementation of reforms, including increasing bank capital and modernizing operating mechanisms, to enhance the stability of the banking sector and improve the management of public financial resources.

At the beginning of this year, the Iraqi government announced plans to restructure state-owned banks, most notably Rafidain and Rashid Banks, with the aim of transforming them into more modern and efficient financial institutions capable of meeting the needs of the growing Iraqi economy.

In its session held on January 13, 2025, it also decided to establish a completely new bank based on the latest digital banking technologies, aiming to provide integrated banking services to individuals and companies, both inside and outside Iraq.

This new bank has been named "Rafidain First Bank" and will start with an initial capital of 500 billion Iraqi dinars (approximately $381.8 million), with the goal of reaching a final capital of one trillion Iraqi dinars (approximately $763.7 million). The state's contribution to this capital will be 28%.  LINK

With The Stock Market Closing At The Beginning Of The Week, The Dollar Price Fell In Baghdad And Rose In Erbil

May 24, 2025 Economic Number of reads: 88  Baghdad/ NINA / The dollar prices decreased in Baghdad markets, while they rose in Erbil with the closing of the stock exchange at the beginning of the week.

The dollar prices recorded a decrease with the closing of the Al-Kifah and Al-Harithiya stock exchanges, recording 141,950 dinars for $100, while this morning it recorded 142,100 dinars for $100.

The selling prices in the exchange sector in the local markets in Baghdad witnessed stability, as the selling price reached 143,000 dinars for $100, while the purchase price reached 141,000 dinars for $100.

In Erbil, the dollar recorded an increase, as the selling price reached 142,200 dinars for every $100, and the purchase price reached 141,800 dinars for $100. /End https://ninanews.com/Website/News/Details?key=1228776

During His Meeting With Two US Senators, The Foreign Minister Said: Iraq Is Working Rapidly To Achieve Self-Sufficiency And Energy Independence

Saturday, May 24, 2025,  | Politics Number of readings: 115   Baghdad / NINA / Deputy Prime Minister and Minister of Foreign Affairs Fuad Hussein affirmed that Iraq is working at an accelerated pace to achieve self-sufficiency and independence in the field of energy.

The Ministry of Foreign Affairs said in a statement: "The Minister met with two members of the US Senate, Independent Senator from Maine Angus King, and Republican Senator from Oklahoma James Lankford. During the meeting, a number of issues of common interest were discussed.

The two senators congratulated Iraq on the success of hosting the recent Arab Summit in Baghdad, and stressed that they had noticed a significant improvement in the level of stability within the country."

The Minister stressed that Iraqi-American relations are strategic relations that extend from partnership in the war on terrorism, to cooperation in reconstruction, and enhancing stability in the region, in addition to other vital areas including the energy and education sectors, noting Iraq's aspiration to expand the horizons of these relations, and increase the presence of American companies to benefit from promising investment opportunities, and contribute to construction and development efforts.

The Minister affirmed that Iraq is working at an accelerated pace to achieve self-sufficiency and energy independence by investing in associated gas, enhancing electricity interconnection projects with neighboring countries, and exploring new gas fields.

This will make it a gas-producing country, in addition to being a major oil producer. In this context, he called on specialized American companies to invest in this strategic sector.

He pointed out that Iraq is preparing to hold its sixth legislative elections in November of this year, which reflects the consolidation of the democratic experience among the population and contributes to achieving stability and reconstruction.

At the same time, he expressed his regret that a number of Western countries continue to classify Iraq as a high-risk country in travel advisories for their citizens. This negatively impacts the entry opportunities for foreign companies and hinders the development of tourism and cultural exchange.

On the other hand, the two sides affirmed that the terrorist organization ISIS continues to pose a major threat to countries in the region and the world alike, emphasizing the importance of unifying international efforts to eliminate it and prevent its return.

They also discussed developments in the ongoing negotiations between the United States and Iran, agreeing that dialogue is the best way to resolve outstanding issues, achieve stability, and avoid slipping into escalation and confrontation.

In conclusion, the two sides affirmed their support for a political process in Syria that ensures the establishment of a comprehensive democratic process that expresses the aspirations of the Syrian people and leads to the formation of an elected government that represents the various components of society and preserves their rights. /End  https://ninanews.com/Website/News/Details?key=1228777

US Secretary Of State Praises Masrour Barzani And Supports A Strong And Stable Kurdistan

The US State Department commended Kurdistan Regional Prime Minister Masrour Barzani for settling contracts with US companies, affirming Washington's strong support for the Kurdistan Region as a cornerstone of the relationship with Iraq.

This came during a meeting between Secretary of State Marco Rubio and Barzani on Friday (May 23) in Washington, D.C., where they discussed opportunities to enhance trade and investment between the United States and the Kurdistan Region, according to a statement by State Department Spokesperson Tammy Bruce issued this morning (May 24).

Rubio praised Barzani's steps to expand natural gas production through settling contracts with US companies, considering this step to enable Iraq to move closer to energy independence. The two sides also stressed the importance of protecting the rights of religious and ethnic minorities in Iraq and Syria.

This meeting follows the signing of two major contracts in Washington, worth $110 billion, between the Ministry of Natural Resources in the region and the companies Western Zagros and HKN Energy, which were attended by Prime Minister Barzani on May 19.

For its part, the Iraqi Oil Ministry announced its rejection of these contracts, to which Barzani commented, "We hope these positions will be reviewed in a way that serves the interests of all Iraqis. The more flexibility Baghdad shows, the clearer our good intentions and shared endeavors will become." https://www.radionawa.com/all-detail.aspx?jimare=41901

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

Seeds of Wisdom RV and Economic Updates Sunday Morning 5-25-25

Good Morning Dinar Recaps,

FORMER IMF CHIEF ECONOMIST BELIEVES CRYPTO IS A RISING THREAT TO THE U.S. DOLLAR’S DOMINANCE

Kenneth Rogoff believes that “crypto has value” and its growing usage in the gray market can chip away at the dollar’s hegemony.

American economist Kenneth Rogoff believes that the rise of crypto poses a threat to the hegemony of the U.S. dollar.

Rogoff previously served as the chief economist at the International Monetary Fund (IMF) and on the Federal Reserve Board. He is a published author and an economics professor at Harvard University.

In an interview with Bloomberg, Rogoff said that while the U.S. dollar is still the most dominant global currency, its influence is decreasing.

“I see it [dollar’s dominance] as in decline — it’s fraying at the edges where, of course, the renminbi is breaking free of the dollar, the euro is going to have a larger footprint — that’s been going on for a decade.”

Crypto is already eating away at the U.S. Dollar’s dominance

Rogoff said that one of the main markets for the U.S. dollar is the underground economy, sometimes referred to as the gray market or the shadow economy. The largest chunk of this economy, which the government cannot easily trace, is made up of tax evaders. Transactions conducted by criminals are also part of this economy, albeit a small one, he said.

As per Rogoff’s estimate and a World Bank survey, the underground economy constitutes about 20% of the world economy. That makes it worth around $20-to-$25 trillion, depending on the value of the dollar.

Earlier, the preferred mode of payment for such transactions used to be U.S. dollar notes. But now, crypto is increasingly emerging as the new favorite. In his latest book, Our Dollar, Your Problem, Rogoff states that cryptocurrencies have already started chipping off at the dollar’s global standing. In his interview, he said:

“…although crypto has not made significant inroads into the legal economy, it is increasingly used in the global underground economy – consisting of criminal activity but mainly tax and regulatory evasion – where cash, especially US dollars, had been king.”

The dollar losing its footing to crypto impacts the larger global market by making everything more expensive through rising interest rates. From Treasury bill rates and mortgages to car and student loans, all interest rates are affected by the dollar’s declining influence. This is because the U.S. enjoys an “exorbitant privilege” from the dollar being the most important reserve currency, he explained.

Additionally, U.S. authorities track financial flows to gather information about potential threats to national security, and a loss in the dollar’s market share makes that more difficult.

Ironically, last year, Senator Cynthia Lumis said that having Bitcoin (BTC) in reserve can help the dollar “remain strong.”

‘Crypto has value,’ Rogoff says

According to Rogoff, critics who believe cryptocurrencies are just scams with no value are “completely wrong.” He said:

“The notion that there is no ‘fundamental value proposition’ in transactions use [of crypto] is just wrong.”

Rogoff explained that cryptocurrencies provide an accepted medium of exchange, which is a value proposition. Even if the government heavily regulates crypto, it will still face significant challenges controlling the underground economy, where it has less leverage, he said.

Therefore, Rogoff insists that “crypto has value.” The difficulty that authorities will face in tracking crypto transactions in the gray market is significant, which means crypto is “not worthless,” because “there’s a lot at stake here,” he added. However, he clarified:

“Crypto can’t replace the dollar. But that’s in the legal economy where the government has a lot of leverage. But in the underground economy, by definition, it has much less leverage.”

@ Newshounds News™
Source:  CryptoSlate

~~~~~~~~~

FED QUIETLY BUYS $43,600,000,000 IN US TREASURIES IN ALLEGED ‘STEALTH QE’ OPERATION AFTER CHINA ABRUPTLY DUMPS BILLIONS IN BONDS

The Federal Reserve just bought $43.6 billion in US Treasuries in the span of a single week, sparking concerns that a quiet quantitative easing (QE) operation is already underway.

New documents reveal that the Fed purchased $8.8 billion in 30-year bonds on May 8th via its System Open Market Account (SOMA) – a move that followed a much larger $34.8 billion purchase earlier that same week.

The series of large purchases has triggered allegations that a “stealth QE” program is unfolding. A recent MarketWatch op-ed by Charlie Garcia described the move as “monetary policy on tiptoes.”

The Fed has long maintained that such purchases are routine reinvestments of maturing securities, designed to help adjust the money supply and influence interest rates to meet monetary policy targets.

The Fed’s buying spree comes in the wake of a major sell-off from China

New numbers from the U.S. Treasury Department show that China sold $18.9 billion in U.S. bonds in March, even as most other countries increased their holdings during the same period.

Following the sell-off, China’s holdings now stand at $765.4 billion, placing the country in third place among foreign holders of U.S. debt.

The top two holders are now:

• Japan, with $1.13 trillion

• The United Kingdom, with $779 billion

China’s reduction in holdings has raised questions about geopolitical motives and economic strategy, while the Fed’s sudden bond purchases have fueled speculation of backdoor liquidity support for U.S. markets.

While the Federal Reserve continues to deny any formal return to quantitative easing, market analysts and commentators are beginning to raise red flags about the scale and timing of these recent purchases.

If these trends continue, the Fed may face increasing scrutiny over whether it is quietly attempting to stabilize markets and artificially suppress long-term interest rates in response to foreign divestment and rising fiscal pressure.

@ Newshounds News™
Source:  DailyHodl

~~~~~~~~~

RIPPLE HAILS CRYPTO ETF BOOM AS GAME-CHANGER FOR INSTITUTIONAL ACCESS

Ripple’s CEO breaks it down: crypto ETFs are revolutionizing access for institutional investors and delivering long-sought legitimacy, catapulting digital assets into mainstream financial dominance.

Ripple Unpacks Crypto ETF Surge—Access and Legitimacy Just Changed Everything

Ripple CEO Brad Garlinghouse took the spotlight on Friday in a special episode of Ripple’s “Crypto In One Minute” to address the surging momentum behind crypto exchange-traded funds (ETFs). His remarks focused on the question: “Why are crypto ETFs exciting?” Garlinghouse identified two central drivers behind the growing institutional enthusiasm for these financial products, highlighting both access and legitimacy as key developments transforming the digital asset landscape.

First, Garlinghouse emphasized that ETFs now offer traditional investors a new gateway into crypto markets, stating:

“This was really the first time you had institutions be able to go on Wall Street and trade directly in crypto.”

He explained that for years, institutional investors—ranging from mutual funds to pension funds—were largely sidelined due to the complexities of self-custody and hesitations around using centralized exchanges. With ETFs, capital that was previously locked out can now enter the market through familiar, regulated structures. This shift addresses long-standing access barriers that had limited crypto’s reach into mainstream finance.

Second, the Ripple CEO argued that the emergence of crypto ETFs is helping transform how the sector is perceived, stating:

“It really is institutionalizing the entire industry of crypto.”

Garlinghouse cited the rapid growth of bitcoin ETFs as evidence. This, he suggested, marks a growing acknowledgment of crypto as a serious and legitimate asset class, on par with traditional options like gold ETFs.

A Critical Moment for the Industry

Garlinghouse’s appearance comes at a pivotal time for the crypto industry, following the U.S. Securities and Exchange Commission (SEC)’s approval of bitcoin and ether ETFs, which many view as a gateway to more diverse crypto investment products.

A wave of new filings has recently emerged, including proposals for XRP ETFs, reflecting heightened interest from institutional investors. The growing momentum is further fueled by President Donald Trump’s increasingly pro-crypto stance, and the appointment of crypto-friendly officials, such as the current SEC chairman.

Ripple’s Legal Resolution Adds Momentum

Adding further optimism to the crypto market, the SEC has moved to dismiss its enforcement case against Ripple over XRP—though the court has yet to approve the settlement agreement. The prolonged legal battle had cast uncertainty over XRP’s regulatory status in the U.S.

The anticipated resolution of this case is seen as a step toward regulatory clarity, as Ripple and its supporters anticipate a more stable and transparent environment for digital assets going forward.

@ Newshounds News™
Source:  Bitcoin.com

~~~~~~~~~

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“Tidbits From TNT” Sunday Morning 5-25-2025

TNT:

Tishwash:  Al-Sudani to a congressional delegation: We look forward to developing our relationship with Washington in four areas

Prime Minister Mohammed Shia al-Sudani expressed his aspiration to develop and grow relations with the United States in various fields, particularly in the economic, energy, investment, and cultural sectors, on Saturday.

This came during his reception of US Senators Angus King and James Lankford, and their accompanying delegation, according to an Iraqi government statement received by Noon News Agency.

According to the statement, Al-Sudani stressed the importance of bilateral relations with the United States and expressed his aspiration to develop and grow them across various fields, particularly in the economy, energy, investment, and culture sectors, in light of the Strategic Framework Agreement.

He also referred to the relationship with the international coalition within the framework of talks to transition to a new phase of security cooperation in the field of advisory and capacity-building for the Iraqi security forces.

The Prime Minister noted the clear stability in Iraq, which has been reflected in the economic and development situation, stressing that "the government has taken decisive steps in the oil and gas sector and achieved significant accomplishments that will enhance cooperation and investment with American companies in this field."

The statement also quoted the delegation members as saying that they "congratulated Al-Sudani on Iraq's success in holding the two Arab political and development summits, and the country's potential contribution to achieving regional stability in light of its growing role in this field.

 They also expressed their admiration for the remarkable progress in Iraq in terms of construction, reconstruction and development, and the government's success in various fields. They expressed their desire to strengthen cooperation between the two countries in all areas." link

*************

Tishwash:  Economist: No budget schedules and investment projects are at risk of being halted

Economic expert Abdul Rahman Al Mashhadani ruled out the existence of budget schedules for 2025, and that 2026 will also not witness a budget.

Al-Mashhadani confirmed to Al-Furat News Agency that government spending will be done according to the 1/12 rule of the 2024 budget.

Al-Mashhadani pointed out that the 2024 budget deficit is clear and ranges between 15 and 16 trillion dinars.
He explained that "total spending was 156 trillion dinars, while revenues ranged between 140 and 141 trillion dinars, which confirms the clear and known financial deficit."

The economic expert stressed that "the economic situation in general is linked to global oil prices." 
Al-Mashhadani explained that "within normal rates, things are proceeding normally," but he warned that "the absence of budget schedules means no spending for investment and commodity aspects."

The economic report predicted that "projects that are currently being spent and implemented may stop, and spending will be limited to salaries only."

Regarding next year's budget, he also expected that "the budget deficit will be lower, given that spending will be restricted to the 1/12 system of what is spent in the 2024 budget."  link

***************

Tishwash:  Foreign Minister: Iraq is working to achieve self-sufficiency and energy independence. 

Foreign Minister Fuad Hussein affirmed on Saturday that Iraq is working towards achieving energy self-sufficiency and independence, while expressing his regret that a number of Western countries continue to classify Iraq as a high-risk country.

This came during his meeting with US Senators Angus King, an independent from Maine, and James Lankford, a Republican from Oklahoma, according to a statement issued by the Ministry of Foreign Affairs.

The statement quoted Hussein as saying that Iraqi-American relations are strategic, extending from partnership in the war on terrorism to cooperation in reconstruction and enhancing stability in the region, as well as other vital areas, including energy and education.

He also noted Iraq's aspiration to expand the horizons of these relations and increase the presence of American companies to take advantage of promising investment opportunities and contribute to construction and development efforts.

In a related context, the minister affirmed that Iraq is working rapidly to achieve self-sufficiency and energy independence by investing in associated gas, enhancing electricity interconnection projects with neighboring countries, and exploring new gas fields. This will position it as a gas-producing country, in addition to being a major oil producer. In this context, he called on specialized American companies to invest in this strategic sector.

He also pointed out that Iraq is set to hold its sixth legislative elections in November of this year, reflecting the consolidation of the democratic experience among the population and contributing to achieving stability and reconstruction.

Hussein expressed his regret that a number of Western countries continue to classify Iraq as a high-risk country in travel advisories for their citizens, which negatively impacts foreign companies' entry opportunities and hinders the development of tourism and cultural exchange.

On the other hand, the two sides affirmed that the terrorist organization ISIS continues to pose a significant threat to countries in the region and the world alike, and emphasized the importance of unifying international efforts to eliminate it and prevent its return.

They also discussed developments in the ongoing negotiations between the United States and Iran, agreeing that dialogue is the best way to resolve outstanding issues, achieve stability, and avoid escalation and confrontation.

In conclusion, the two parties affirmed their support for a political process in Syria that ensures the establishment of a comprehensive democratic process that reflects the aspirations of the Syrian people and leads to the formation of an elected government that represents the various components of society and protects their rights.  link

Mot:  The ""Quote "" of the Day!!!! 

Mot: Astronomy lesson   

Syria Just Got Sanctions Relief, Iraq is Next

Syria Just Got Sanctions Relief, Iraq is Next

589bull:   5-24-2025

589bull@589bull10000

Syria just got sanctions relief. Let that sink in.

The U.S. Treasury lifted restrictions on their Central Bank, oil sector, ports, and more all in one sweep.

If Syria, after a decade of isolation, just got the greenlight… Then Iraq is next.

And it’s not just speculation anymore it’s pattern.
• Syria unlocked via General License 25
• Treasury led move, not just diplomacy
• Caesar Act waiver issued same day
• Greenlight for investment, private sector flow, and regional trade

Now ask yourself: If they can flip Syria back online overnight, what’s stopping them from flipping Iraq’s switch next?

Iraq’s already aligned:
• SWIFT-ready banks
• New CBI HQ complete
• Treasury coordination confirmed
• Budget & salary grid active
• Regional infrastructure humming

All that’s left is the rate.
The unlock.
The trigger.

Syria was the warmup.

Iraq is next.

Source(s):
https://x.com/589bull10000/status/1926084362157601052

https://dinarchronicles.com/2025/05/24/589bull-syria-just-got-sanctions-relief-iraq-is-next/

Economist’s “News and Views” 5-24-2025

Whole Financial System Is Going To Lock Up | Gregory Mannarino

Liberty and Finance:  5-23-2025

Gregory Mannarino returns to discuss the escalating global financial crisis, emphasizing the symbolic but significant downgrade of U.S. debt.

Mannarino warns of an irreversible downward spiral fueled by unchecked debt expansion, currency devaluation, and artificially low interest rates—all designed to protect central banks at the expense of the public.

He likens the current economic state to a “parasite system,” siphoning wealth from the middle class while inflating bubbles in stocks and real estate that defy fundamentals.

 The conversation also explores how systemic risk is being offloaded from governments and corporations onto individuals through pension schemes, market ownership laws, and manipulated inflation data.

Mannarino calls for urgent reforms to restore purchasing power and accountability, asserting that without them, the financial system’s collapse will be both inevitable and catastrophic.

INTERVIEW TIMELINE:

0:00 Intro

1:38 Debt problems

15:00 The Great Taking

24:30 Gold & silver

26:50 Dollar crisis

30:30 Making a difference

33:40 Online resources

https://www.youtube.com/watch?v=NfnbhY7UeDg

Bitcoin, Gold, Capital Wars & Fear: As July 1st Deadline Nears Banks Are Fighting Basel III

Lena Petrova:  5-24-2025

https://www.youtube.com/watch?v=k2dkmzGy4_o

Gold at $3,000? Try $10,000: The Dollar is Dying and No One’s Ready

Daniela Cambone:  5-24-2025

“We will see over the years the dollar absolutely collapse against the one currency that does not represent anyone else's sovereignty…and that is gold,” says Dr. Thomas Kaplan, CEO and Chairman of NovaGold.

In today’s interview, he tells Daniela Cambone that all fiat currencies are inherently flawed and refers to the U.S. dollar as “double-ply toilet tissue.”

 Despite recent price increases, Kaplan believes gold is still in the “foothills” of a broader bull run.

“We will look back on $3,000 gold as a complete gift… the same way as we look back now on the Dow at 3,000 in the late '80s as a gift,” he says.

On the recent ECB's warning about gold, Kaplan sees it as further support for the bullish case. He emphasizes that the rising demand for physical settlement—not just futures contracts—could create a supply squeeze and trigger a major price surge.

Watch the full video to learn more.

Chapters:

 00:00 – The Holy Grail of gold deposits

13:26 – Will Gold confiscation happen?

16:02 – Could Canada nationalize tts gold?

 17:44 – Is the vulnerability of US dollar the greatest risk?

 26:21 – Tom’s prediction for the U.S. economy

29:52 – The Three Pillars of American superpower

35:20 – Will the U.S. dollar lose reserve currency status?

37:18 – The ECB’s warning on gold

https://www.youtube.com/watch?v=swYyX1ONNr8

Investors Have Finally Had Enough With $2+ Trillion Deficits

Investors Have Finally Had Enough With $2+ Trillion Deficits

Notes From the Field By James Hickman (Simon Black)  May 22, 2025

Well, that was fast.

It only took five days after Moody’s downgrade of the US government’s sovereign credit rating for investors to throw a fit. The result was yesterday’s meltdown trifecta in which ALL three major markets-- US stocks, US bonds, and the US dollar-- lost significant value.  I wrote about this extensively last month because we saw the same phenomenon after the “Liberation Day” announcement.

Typically, if there’s bad news in a major developed country, investors will simply shift their money into a different asset class within that same country.

For example, if investors in the US suddenly become concerned that a recession is on the horizon, they’ll pull their money out of the stock market… and then invest that capital into the bond market.

The money remains in the US; it simply moves into a new asset class. So, as a result, stocks decline in value, but bonds increase in value.

But what we saw last month after Liberation Day… and then AGAIN yesterday, is stocks AND bonds both declining simultaneously.

(Remember that bond prices move inversely to yields; so, when bond prices fall, as they did yesterday, it really means that bond yields, i.e. interest rates, are moving higher. More on this below.)

Plus, on top of the stock and bond market routs, the US dollar also took a big hit.

As I explained last month after Liberation Day, this can only mean ONE thing: investors aren’t shifting their money from one US asset class to another. They’re moving their money OUT of the US and into foreign assets.

This is a clear sign that at least some investors are losing confidence in the United States.

And who could blame them? Congress is fiddling while the budget burns. The “One Big Beautiful” tax bill will result in yet another $2 trillion budget deficit.

Trust me, I love tax cuts. Tax cuts are great for the economy. But you can’t just cut taxes without massive spending cuts.

Well, this legislation doesn’t cut spending. In fact, they INCREASED spending… meaning that America’s $36+ trillion debt problem is only going to become worse.

Investors aren’t terribly impressed with that outcome… because they’re the ones who will be asked to finance all that debt and buy trillions of dollars’ worth of US government bonds.

Proof of investors’ dissatisfaction came yesterday when the Treasury Department auctioned off roughly $16 billion worth of 20-year bonds.

This is how the government typically sells its bonds-- through an auction process in which various banks and funds place bids. And ordinarily no one ever pays attention to Treasury auctions; they’re about as exciting as airline safety briefings.

But yesterday was different. Investors put their collective foot down and essentially refused to buy the government’s bonds unless the yield increased dramatically.

In the end, the 20-year yield hit 5.125%… which is almost the highest level it’s been since 2007. 

The auction became a major signal that investors are very concerned about the US government’s horrific finances. Sure, they’ll still buy bonds. But they will demand much higher interest rates… which is debilitating for the US government.

Remember, the government already spends more money paying interest on the national debt than they do on the US military. And total interest payments this year are expected to reach about $1.2 trillion-- more than 20 cents of every tax dollar collected.

Social Security, Medicare, and other mandatory entitlement programs will consume the other 80% of tax revenue… meaning that EVERY discretionary spending program, from the Defense Department to Homeland Security to Border Security, will have to be financed with more debt… at a HIGHER interest rate.

Higher interest rates cause the government’s annual interest bill to be even higher, meaning that the problem will eventually spiral out of control.

Folks, I’m not being pessimistic. It’s just basic arithmetic: there are very few good outcomes when your interest bill and mandatory entitlement spending grow faster than tax revenue.  

Lower interest rates would be helpful. And that’s one of the reasons why the White House has been so vocal in demanding the Fed “lower” interest rates.

Problem is-- the Fed doesn’t really have the power to cut rates anymore.

In the past, all the Fed Chairman had to do to cut rates was utter a few words; the bond market would click its heels, salute, and dutifully comply. Rates would fall just based on a speech.

That doesn’t happen anymore. If you recall when the Fed supposedly cut rates last year, bond yields actually increased. Essentially, investors are no longer paying attention to the Fed. They don’t care.

The market is now in control of bond yields… NOT the Fed. And certainly not the White House or Treasury Department. And the market does not like what it sees:

- $36 trillion national debt

- $2 trillion annual deficits

- $1.2 trillion annual interest bill

- Congress doing nothing about any of it

Bottom line, investors are fleeing-- and not just the bond market. Given the drop in the US dollar yesterday (alongside stocks and bonds), it’s clear that many investors are fleeing the United States entirely and moving their capital elsewhere.

Gold will be a major beneficiary of this trend (along with well-managed gold businesses) simply because foreign governments and central banks need a reliable, liquid asset with minimal counterparty risk to park all the capital they withdraw from the United States.

Gold is one of the few assets that meets these qualifications. And, while nothing goes up or down in an uninterrupted straight line, we continue to believe that there is tremendous upside left in gold… along with silver, platinum, and several other real assets.

 Ultimately, though, this is bad news for the US. No one in government seems to want to fix its terminal spending/deficit problem.

 And given what happened yesterday, it’s obvious that the market is no longer willing to ignore it.

To your freedom,  James Hickman   Co-Founder, Schiff Sovereign LLC

 TO READ MORE:

https://www.schiffsovereign.com/trends/investors-have-finally-had-enough-with-2-trillion-deficits-152831/?inf_contact_key=f9558dfd12e5c3a5b9cf9c6d3593b952611c10abb7b3657801e6f799df81c049