Good Morning METAL BULLS

So, uh, just to start off, a lot of people are calling this yield curve control.

It's not YCC, not exactly.

It's kind of like it, but not really.

Okay.

So Bessent at, at Treasury, you know, Treasury has been doing buybacks of bonds for a while, which is not a big deal.

They do it in very small size.

They buy like illiquid stuff, like they just do some buybacks here and there.

Yeah.

And what the Treasury said today was they were going to be selling bills to buy back long-term bonds, basically 10s, 20s, and 30s, at a rate of about $4 billion a day, right-

Mm-hmm

... as opposed to $2 billion before.

So this is, this is not a big number.

Like $4 billion a day is really not that much, um, especially considering, you know, we were doing it before.

But really what this is, is it's an admission out of the government that they reached their point of maximum pain on yields, long-term yields, and they had to do something about it, right?

Very well.

So I want to contrast that with actual YCC, yield curve control, which is when the Fed will peg yields, say at like 5%, and they will print money to buy an unlimited amount of bonds at that level.

That level.

Right? So, um, this is not YCC.

It's kind of like YCC.

It's also very small, but really the symbolism of it is huge-

Yeah

... that the government has no tolerance for higher interest rates, right? That's the thing that's going on.

So gold ripping, right? Because gold s- is sniffing this out.

Gold is saying, look, we could have actual YCC someday.

Mm-hmm.