Macro strategist Luke Gromen says the surge in gold and silver is not about inflation or speculation, but about a choice the United States is being forced to confront.
In a new post on X, Gromen says the surge in precious metals is a message from the market about structural constraints in the global monetary system.
Gromen says that if the US wants to reindustrialize and rebuild critical supply chains, the global reserve system must shift away from Treasurys (USTs).
“We can maintain the post-1971 structure of the USD reserve status or have enough silver to build things in the US again. We cannot have both. If we want to build, then gold must replace USTs as the primary global reserve asset.”
According to Gromen, gold’s explosion to a fresh all-time high indicates that the precious metal is being let loose because the US wants to reindustrialize.
“Gold is saying, ‘We choose building.'”
The macro expert notes that if the US allows gold to continue rallying, it could leverage its massive trove to the tune of 8,133.46 tons to devalue its $38.352 trillion national debt and rebuild its industry over a long arc of time.
“Let gold run, use it to de-leverage, reindustrialize, and play the long game to win.”
The news comes as both gold and silver have soared to new record-highs this month. At time of publishing, gold is trading at $4,553, and silver is worth $79.31.
Tech titan Elon Musk says rising silver prices are bad news for American industry, including the AI and data center buildout.
“This is not good. Silver is needed in many industrial processes.”
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