Happy Sunday, GoldBuzzers!

Elon Musk became the world's first trillionaire on Friday when SpaceX pulled off the largest IPO in history. The detail that matters for gold and silver is buried in how a money-losing company got priced at $1.77 trillion, and that’s what today's issue is about.

Let’s get into it. ⬇️

Gold closed the week at $4,215 an ounce and silver around $67.85 as traders weighed peace hopes against a harder inflation problem. Both metals recovered some important ground from much lower levels as Gold had dipped as low as $4,023 on Thursday and Silver to $61.45.

Oil slid on fresh signs that Washington and Tehran are closing in on an agreement, with President Trump suggesting a signing could come as soon as today, even as Iran says nothing is settled. Cheaper oil would normally cool inflation fears and support the metals, but the damage already shows up in the numbers. US producer prices rose 6.5 percent in the year to May, the hottest reading since 2022, and on Thursday the European Central Bank raised rates for the first time since 2023 while lifting its inflation forecasts.

Markets now lean toward a Federal Reserve hike before year-end rather than a cut, and higher rates lift the cost of holding metal that pays no income. Silver has felt it hardest, sliding for a fifth straight week while gold logged its second.

Meanwhile, all the attention has been on SpaceX.

Elon Musk is now the world’s first trillionaire, at least on paper. SpaceX began trading on the Nasdaq on Friday under the ticker SPCX, priced at $135 a share. It opened above $150 and closed at $160.95, with an intraday peak of $176. The raise came in at $75 billion, the largest in market history, ahead of Saudi Aramco's roughly $29 billion in 2019. At its high the company carried a market value above $2 trillion, and Elon's stake pushed his net worth past the trillion mark.

The number that I think matters most is not the valuation itself. It is what the price actually says about money.

Most of the coverage moved past that part, but the business that listed on Friday is not only a rocket and satellite company. In February, SpaceX absorbed Musk's AI firm xAI in an all-stock deal, and the combined entity reported a $4.94 billion net loss for 2025.

Strip out xAI and the legacy rocket business was profitable, with $791 million in net income the year before. So the market looked at a company deliberately burning cash on an AI buildout and valued it at $1.77 trillion at the open. Apple needed 42 years to reach $1 trillion. SpaceX doubled that valuation in a day.

Prices like that are not really measuring the cash a business will produce. They are measuring the currency those prices are quoted in.

When trillions of dollars get created with little restraint, capital runs short of productive places to sit. It chases scarcity, and it chases a story. The loudest story in the market right now is artificial intelligence. A loss-making firm can command an enormous price, not because the math works in any traditional sense, but because holding cash or ordinary financial assets feels worse to a lot of investors than owning the narrative.

Gold and silver sit on the other side of that same trade. They carry no earnings and pay no dividend. No management team can miss a quarter. Their supply is set by geology and the cost of pulling metal out of the ground, not by a central bank decision. When markets start pricing in a steadily weaker dollar, hard assets tend to reprice higher, and the move is rarely gentle.

We have watched this happen before. Through the 1970s, large deficits and loose monetary policy, set against repeated geopolitical shocks, took gold from under $40 an ounce to more than $800. Silver ran harder still. The trigger was never just one company or one technology. It was a broad loss of faith that paper money would hold its value.

Look at where the United States sits today. The national debt has passed $39 trillion and now exceeds the size of the entire economy, a line the country has not crossed since World War II. The deficit is running close to $2 trillion this year, around 5.8 percent of output, and it is doing that in “peacetime” and full employment rather than a recession.

Servicing the debt alone costs roughly $1 trillion a year, which makes interest the government's second-largest expense, behind Social Security and ahead of defense. The broad money supply hit its own record in February at $22.7 trillion, up by about half since the start of 2020. When a government owes more than its economy produces and spends a trillion dollars a year just to service that debt, the easiest path is to let inflation quietly shrink the real value of what it owes. That erosion is what gold prices.

Both metals have already moved on this. Gold set an all-time high near $5,589 on January 28, and silver hit $121.64 the next day. Since then gold has eased, knocked back by a hot inflation reading and a market now pricing in rate hikes rather than cuts. The pullback doesn’t cancel the signal. It shows the path is bumpy, which it always is.

So watch what comes after, GoldBuzzers. The easy money in this cycle has flowed into AI and growth, and a $1.77 trillion valuation on a company technically losing billions is a fair marker of how stretched that enthusiasm has become. When the next shock arrives and investors decide the easy gains may be behind them, that capital doesn’t disappear. It rotates.

It tends to move toward assets that don’t lean on a story staying intact, and that is the role gold and silver have always played. Friday didn’t pull that trigger. It just put a number on how stretched the AI side has become.

That’s all for this Sunday, folks. See you on Tuesday.

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Rick Adams
Founder, GoldBuzz
rick@goldbuzz.com