Dear Reader,
While Washington held its annual economic pageant in Wyoming this week, the real news was coming out of Beijing.
China's central bank just announced it bought 20 tonnes of gold in July. That is the largest single-month purchase since October 2023. It extends a buying streak that has now run 21 consecutive months. Total holdings: a record 2,366 tonnes.
Inside today's issue:
- The real Jackson Hole story. Warsh spoke this morning. Yields did not move. The bond market has already decided.
- Bessent's failed gambit. Washington tried to buy its way out of a 5.31% 30-year yield. It did not work. The yield bounced back in 48 hours.
- What China knows that you don't. Twenty-one months. Twenty tonnes a month. No speeches. No press releases. Just gold.
- CLAIM YOUR SHARE OF THE 136X GOLD MINER. 95% is already filled. First-come, first-served. When the remaining 5% fills, it closes.
THE REAL SIGNAL
Let me tell you what the financial press is not saying.
The Federal Reserve Bank of Kansas City gathers 120 central bankers at a Wyoming lodge every August. They give speeches. They take photos by the elk-antler chandeliers. They fly home. Nothing changes.
Kevin Warsh spoke this morning. His first big keynote as Fed Chair. The 30-year Treasury yield was 5.31% when the week started. It bounced around. It ended right back where it started. The bond market does not care about keynotes.
Here is what happened before Warsh even arrived in Wyoming.
August 17: the 30-year U.S. Treasury yield hit 5.31%. Its highest level since 2007. Before the financial crisis. Before the bailouts. Before three rounds of quantitative easing.
August 19: Treasury Secretary Scott Bessent panicked. He announced the government would double its own debt buyback program. The Treasury of the United States of America would purchase its own bonds to push yields down.
The Wall Street Journal called it "Bessent Schooled by the Bond Market." Not my words. Theirs.
Within 48 hours, yields had fully round-tripped. The intervention changed nothing. The 30-year closed at 5.28% by Friday. Right back where it started.
This is what a government looks like when it has lost control of its own cost of borrowing. Bessent's exact words to CNBC: "We are trying to keep the market in equilibrium."
Think about that sentence.
I have watched governments try to "keep markets in equilibrium" my entire career. It always ends the same way. There is something you need to see before I finish this thought.
WHAT CHINA KNOWS
Here is how this story ends.
China did not hold a press conference. The People's Bank of China did not appear on CNBC. No Jackson Hole speech. No bond buyback announcement.
They just bought 20 tonnes of gold in July.
Twenty-one months in a row now. A record 2,366 tonnes total. The biggest single-month purchase in nearly three years, and they did it while gold prices were soft.
That is the tell.
When the price dips, they buy more. Not less. More.
My rich dad taught me something decades ago: watch what people do with their money, not what they say with their words. Governments lie. Balance sheets do not.
Gold today sits around $4,651 an ounce. That is $37% below its January high of $5,589. China is loading up at the discount. The J.P. Morgan desk expects gold to keep climbing through year-end.
Meanwhile Washington is buying its own bonds because the bond market will not. That is not equilibrium. That is a government that has run out of other people's money.
I have been saying this for 30 years: the dollar is a promise. Gold is a fact. When the world's second-largest economy buys 20 tonnes of gold a month for 21 straight months, they are telling you something with their checkbook that they will never say out loud.
Listen to the checkbook.
To your freedom,
Robert Kiyosaki
Author, Rich Dad Poor Dad
P.S. You asked. It's back. And it's 95% filled!
Earlier this year, my team shared a private gold deal with our readers. A company that extracts 136 times more gold than a traditional miner.
Our readers had two weeks. Then the financing was filled at thirty million dollars, and the doors closed. The emails started arriving the same day. Readers who watched the presentation, did their homework, and ran out of time.
So I did something I have never done before. I went back to the company and asked them to reopen it. They had to file with federal regulators to extend the offering. Lawyers. Paperwork. Federal review. It took two months.
Ten million dollars of additional allocation was made available, at the same terms as the window that filled.
WATCH THE PRESENTATION AND CLAIM YOUR SHARE OF THE 136X GOLD MINER
95% is already filled. First-come, first-served. When the remaining 5% fills, it closes.