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But anything below 60 is a great buy. But anything near 60 is a great buy. We are on support now. You know, with silver, same thing with gold. You should be buying it. You should be buying it this weekend. The problem is we don't have a normal amount of debt. We have an abnormally high amount of debt.
So, we can't handle normal interest rates, let alone the high interest rates that we're going to get. Peter Schiff says that buying silver near or below $60 is a great deal right now. Both gold and silver have hit strong support levels, making it the perfect time to invest. He warns that our biggest problem is dangerously high national debt.
Because of this massive debt, the economy simply cannot handle normal interest rates, let alone the much higher rates that are coming soon. ; I am confident that they're not going to go much lower in silver. It's not going to go much lower than 60 and it's not going to stay lower than 60. When it does go below 60, gold had an okay week, up 1.1%.
It settled the week at 4,193. And I don't expect gold to go below 4,000. If it does go below 4,000, I don't expect it to go much below and I don't expect it to stay below for very long. So, I think you got uh good buys here. The gold and silver stocks also rose on the week. The GDX up 2.4% and the GDXJ up 1.5%.
So, did better than the uh regular stocks. And you actually got some admissions among the FOMC members that current Fed policy is not restrictive. Yes, I was saying that for a long time when the Fed was claiming that their policy was restrictive because they were claiming that we have restrictive policy for years and I was arguing that they didn't that it was actually accommodative and it was.
That's why inflation has gotten worse. And it's not just not restrictive, it is still accommodative. And rates need to go a lot higher. They need to go a lot higher than the Fed is indicating it's going to raise them or the markets believe they're going to raise them. And you know, rising bond yields are a big story in the financial markets.
I mean, I watch financial news and they talk about this all the time. So, it's not like they don't know that bond yields are rising and they're ignoring it. Even though the stock market shrugs it off, at least the overall market, not every stock, but the big ones shrug it off. But in all the discussions that I watch about rising bond yields, everybody is relatively sure that we're near the highs, that like we can't go much higher than this.
maybe 5 a 12% on a 10-year, 6% maybe. They talk about 6% on a 30-year, but people think it's not going to go there. And then they think that this is all just an aberration. Like I was listening to Tom Lee was interviewed and he said that rising bond yields are transitory, right? You just like the Fed claimed about inflation that these rising bond yields are transitory and they're going to go back down to where they were.
Meanwhile, bond yields bond yields actually slipped on the week because the yield on a 30-year bond closed lower, 5.6. Not much lower, but lower. But in for a week on Wednesday, the yield got as high as 5.73. That was a new high going back to I think 2002. So, what a 24 year high, something like that.
That happened on Wednesday. And then we got a recovery and nothing goes down in a straight line. Same thing with the 10-year Treasury. Those yields fell a bit on the week. We closed at 5.24. So just below five and a quarter. But the intraweek high on Wednesday, a new high for this move, new high from 2002.
The high was 5.36%. Now again, these are not high rates. They're just high relative to the last couple of decades. But we've been living in a bond fantasy land and artificially low interest rates and maybe I should say a super super intelligent low interest rates. But they were low because of artificial reasons intervention by central banks, quantitative easing, a lot of stuff that drove down interest rates.
Well, that party's over and now we're headed back to reality. So rates are going to be a lot higher. You see the post208 financial crisis experience have created this fiction in people's minds that what we've experienced over the last you know 15 years or or so is normal. It's not. We were living in abnormal times.
What I pointed out to Grant was that we are normalizing right now with rates going up. That's what's happening. We are going to return to normal mortgage rates after a decade or more of abnormally low mortgage rates. Right now we're at 7.4. This is still low, especially when you consider how much debt we have because the more debt a society has, the higher the rate of interest you would expect because when you have more debt, you're less creditworthy.
You're more likely not to pay when you owe a lot more money. And so creditors take that into account. And when it comes to the US government, you're more likely to inflate and creditors also take that into account and and build that into the rates that they demand to lend you money. So people are delusional when they think that what we're seeing now is the aberration.
No, we've been living in the aberration. Now is the return to normaly. And when people finally start to recognize that we are returning to high interest rates during a period where we have high debt, which again, we've never experienced anything like that. I went over it on other podcasts, but we experienced low debt and low interest rates.
That was great. We had low debt and high interest rates. That was okay because we had high interest rates, but not a lot of debt. Then we had high debt and low interest rates. We could handle that because even though we had a lot of debt, didn't cost us much. But now we're in a position where we have high debt and high interest rates.
In fact, we have higher debt than we've ever had and we may end up with higher interest rates than we've ever had. So this is a disaster and nobody is talking about that. That's how I still think that I'm a contrarian in thinking that bond yields are going to keep rising because even the people who agree that yields are going to rise don't think they're going to rise much more and then they think they're going to come back down.
They still think that this is just a temporary wartime related kind of situation that's going to blow over and then we're going to go back to normal. No, we're not. We we are going back to normal and normal is much higher interest rates. So in the 3-year period that ended in December 2025, loan delinquencies, right?
Loans that are past due rose from 12% of loans to 20% of loans. That is the most since 2010. Now, why were people delinquent in their loans in 2010? Well, obviously it was the financial crisis and the great recession. We were just barely coming out of it in 2010. People lost their home equity. The stock market collapsed.
So, people were in bad shape. There was much higher unemployment. And so, it made sense that people would fall behind on their loans. Well, why are they now falling behind on their loans? If you believe the president that we have a great economy, why are people having the same amount of problems repaying their loans as they did at the end of the great recession when this is supposedly the great boom?
I mean, loans should be no big deal. People should be just paying them off with all the money they're earning in this economic boom. Also in that time period, the debt to income ratios, the percentage of families that had debt to income ratios of 40% rose to 8.6 and that's the highest since 2013. So 12 13 year high.
If times were good, people's incomes would be rising. their debt would be falling relative to those rising incomes or they would be paying down their debt. That's what you do when you have a lot of extra money. Pay off some debt. Why not stop paying interest? Especially if you have credit card debt.
You're paying 20% interest. Pay that down. But the fact that the debts are rising is because incomes are not rising. Families are struggling. And you don't struggle in an economic boom. You struggle in an economic bust. Mainstream news tells us that high interest rates are just temporary and will drop soon.
This is a dangerous lie. For 15 years, we lived in a fantasy world of artificially cheap money. That party is finally over. We are returning to normal, which means interest rates are going higher and staying there. Here is the real danger. We have never faced record high national debt and high interest rates at the exact same time.
It is a massive financial trap. Everyday families are already feeling the pain with loan defaults hitting levels we haven't seen since the 2010 crash. While the government claims the economy is booming, regular people are drowning in debt to survive. This is exactly why gold and silver are holding strong and represent a safe buying opportunity today.
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