Happy Sunday, GoldBuzzers!

Quick question: What costs $2.6 billion every single day and produces absolutely nothing?

If you guessed "interest on the U.S. national debt," pour yourself a coffee because you’re absolutely correct.

Meanwhile - September has been yet another month of Gold AND stocks both going up TOGETHER. That's like watching your strict vegan friend powering into a ribeye - it just doesn't happen in normal times.

But these aren't normal times and in today’s Deep Dive, I’ll explain why I think this bizarre "everything rally" is actually the canary in the coal mine for what could be the biggest debt crisis of our lifetimes.

Let's dive in!

Alright, I know this is starting to feel like déjà vu, but Gold and Silver both had yet another stellar week, with Silver gaining close to 7% (almost 20% in the past month), eclipsing Gold’s excellent performance.

The week got even more interesting when President Trump announced that brand-name or patented pharmaceutical products will be subject to a 100% tariff starting October 1, along with hefty duties on furniture and trucks. These aggressive trade measures reignited safe-haven demand for gold as markets priced in potential economic disruption and retaliation from trading partners.

Looking ahead, all signs point to continued strength in gold. Bank of America conservatively forecasts gold will hit $4,000 an ounce in 2026 and with the Fed signaling more cuts could be coming while geopolitical tensions remain elevated, gold's bull run appears to have plenty of fuel left in the tank.

My thesis remains unchanged: We're in the early innings of a multi-year precious metals super-cycle. The Theseus research showed systematic investing dramatically outperforms buy-and-hold, but weeks like this remind us why owning some gold is just smart insurance in today's crazy world.

Something weird is happening in the markets.

Gold AND stocks keep moving up together. That never happens. It's like rain, snow, and sunshine all at once.

What's actually driving this weird market behavior: governments are drowning in debt.

The US government now spends over $1 trillion annually just on interest payments alone. That's more than on defense or Medicare and equates to $2.6 billion per day just to keep the lights on.

And get this - America's not even the disaster case here.

Europe is where things get really interesting and we’re starting to see capital fleeing European markets at unprecedented rates.

In my opinion, the smoking gun is that central banks bought more gold over the past three years than they have since the 1970s - that should be your "canary in the coal mine" moment. It's like watching firefighters rushing to get more water while telling everyone else the building is fine.

Think of it like musical chairs, but with trillions of dollars.

European investors are yanking money out of their home turf and dumping it into US stocks, gold and silver (denominated in US dollars) as these are considered the only safe seats left.

While Europe struggles with debt and America deals with political chaos, China has been quietly preparing for what comes next.

The Belt and Road Initiative now includes over 140 countries representing 75% of the world's population. That looks to me more than just infrastructure investment - but the foundation for a whole new financial system.

The thing about China is that they don’t care if you get rich, as long as you comply and tow the line politically. It's authoritarian capitalism.

When governments drown in debt, they pull the same playbook: capital controls and making it harder to move your money. They also look for external enemies to blame.

While it looked like the Russia-Ukraine war was close to a resolution, many prominent voices in Europe now seem increasingly set on escalating conflict with Russia, which is essentially calling for World War III.

When your economy implodes, nothing distracts like war.

Right now, US markets (and to some extent the dollar) are still strong because they're the last safe spots. But this is temporary.

We're watching a complete financial reshuffling. The institutions that ran things for 80 years are about to get knocked off their throne.

When markets do strange things, they're usually signalling something important and in this case, it’s global money running scared and looking for anywhere safe to hide.

I believe that we're basically watching the opening act of a massive debt crisis that's going to flip global finance on its head within the next few years. Europe's getting hammered first, America's the temporary safe house, and China's just sitting there waiting for their turn to run things.

The musical chairs game has already started. The important question for all of us is who has a seat when the music stops.

Your Goldmine of must-read stories from around the web this week:

💰 Market Movers

If you’re building a gold position now, experts suggest dollar-cost averaging into physical, ETFs or miners rather than trying to time the top. CBS News

Investopedia’s top gold stocks to watch in October include Coeur Mining, Hecla, McEwen, SSR, and AngloGold Ashanti. Investopedia

Gold flirts with $3,800 as tariff talk sends traders scrambling – Gold futures hit $3,781 on Friday morning as Trump's latest round of tariff threats has investors rushing to the shiny stuff faster than shoppers at a Black Friday sale. Yahoo Finance

Silver could crack $100, and that's not just wishful thinking – First Majestic's CEO and other analysts are saying triple-digit silver isn't crazy talk anymore, with the metal already up 50% this year and supply shortages getting real. INN

China's $1 billion gold pipeline from Russia shows sanctions aren't stopping the metal flow – Russia's selling record amounts of gold, platinum, and palladium to China as Western sanctions basically just rerouted the precious metals express train eastward. Mitrade

💎 Treasure Hunting IRL

China might have just found the world's biggest gold deposit – Chinese geologists discovered what could be 1,100 tons of gold sitting 9,800 feet underground in Hunan province, which at current prices is worth a casual $83 billion. Popular Mechanics

$160 million Nazi-era coin collection emerges after 50 years underground – A mysterious European collector's 15,000-coin treasure trove hidden from the Nazis is heading to auction, with some single coins valued at $340,000. Indian Defence Review

Cast your vote in this week’s reader poll by choosing one of the answers below, and we'll share the results next Sunday!

That’s all for this Sunday, folks!

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Rick Adams
Founder, GoldBuzz
rick@goldbuzz.com