ALERT: Debt Collapse In High Gear | Craig Hemke

Liberty and Finance Jun 16, 2026

Summary

Hemke argues a $293 billion May deficit and $1.3 trillion of annual interest costs leave Washington no affordable path but cheaper money.

Gold's dollar price has doubled every five years for a decade; he expects the next doubling in under five.

With the Federal Reserve's rate-setting meeting under new chair Kevin Warsh ahead, he expects a surprisingly dovish tone.

He expects Washington to try yield curve control, making the Fed and Treasury buyers of last resort for 10-year notes.

Sentiment hit extremes — a mining-share bullish index at zero — and he says those moments are when he buys.

Top takeaway Kaiser argues that because dollar devaluation happens gradually, it slips past people's attention and feels normal, leaving most people asleep to the steady destruction of earnings, savings and retirement.
He compares the loss of savings value to someone breaking into your house every night and stealing your nest egg — an automatic, no-consent theft that would trigger protective instincts if it were visible.
He brings on Texas property-tax champion Mitch Vexler, noting pushes to tax unrealized gains and the estimate that if total municipal and school-district debt were spread across homes, about 36% of people could not keep their homes.
He challenges the 'biggest debtor wins' argument, and separately asks how a Treasury could buy its own debt, which frames the discussion of coordinated refunding, reissuance and new issuance with the Fed.
He reads the channel's bullion specials for June 15-22, 2026: pre-1933 MS63 $20 Liberty coins at $150 over melt, 1 ounce silver rounds at $1.49 over spot and 100 ounce Engelhard bars at $3.15 over spot.

Top takeaway Hemke argues the Fed's only real mandate in 2026 is keeping dollars flowing, and that with a $293 billion deficit in May and interest costs annualizing near $1.3 trillion — the second largest budget line, above defense and Medicare — the US cannot afford higher interest rates as of June 16, 2026.
He expects the incoming Fed to reach for yield curve control or new quantitative easing, with the Fed and Treasury working hand in glove as buyers of last resort, capping 10-year Treasury yields now near 4.4%.
On his purchasing-power math, an ounce of gold took about $1,100 in 2015-16, $2,100 five years ago and roughly $4,400 as of June 15, 2026, and he projects about $8,500 in five more years, saying the next doubling will come faster than every five years.
He rejects the expectation that the new Fed chair will be hawkish, predicting a surprisingly dovish first FOMC press conference on June 17 and room for precious metals to recover in the back half of 2026 if the conflict calms.
He notes that in the week before June 16, 2026 the bullish percentage index on mining shares hit zero and gold sat below its 200-day moving average, treating that sentiment extreme as a reason to buy, and advises holding assets that grow faster than inflation rather than sitting in cash.