Greg Weldon Can Picture a Bond Market Collapse Before Gold Ever Breaks

The U.S. bond market faces a "debt black hole" driven by unsustainable levels of government debt and deficit spending, necessitating future quantitative easing that will likely devalue the currency and boost gold prices. Despite the Federal Reserve’s hawkish rhetoric, current interest rate policies remain insufficient to combat accelerating inflation, as evidenced by rising producer price index data. Market signals, including a flattening yield curve and the Fed’s direct purchases of T-bills, suggest an underlying expectation of future bailouts rather than a successful inflation-fighting campaign. Meanwhile, declining sentiment among high-income consumers and negative real disposable income growth point toward a looming equity market correction. Greg Weldon, a veteran market analyst and CTA manager, emphasizes that these macro conditions are forcing a shift in traditional safe-haven frameworks, making passive investment strategies increasingly risky in an environment of persistent currency debasement.