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Happy Monday, investors. At some point today we’re supposed to hear an update from the White House on new economic retaliations against Iran.

President Trump said his team is preparing “the most crushing economic operation ever,” and while geopolitics-watchers will be eager to react, the bond market will surely have the more weighty say in what comes next.

Rising hard assets

Scott Bessent had planned to talk the bond market down but instead juiced up bitcoin, gold, silver and platinum. 

When the US Treasury signals that bond yields present a policy problem, it also implies that the currency will be the release valve, which in turn pushes investors toward hard assets that operate beyond government money printing.

The 30-year last week touched its 5.3% for the first time since 2007, and it’s shorter-dated counterparts have also turned sharply higher in August.

Between how bond traders have been positioning and what Treasury Secretary Bessent has been communicating, the debasement trade has found its moment of revival, as I wrote last week.

Gold jumped more than 5% last week while bitcoin notched a 23% gain for its best week since 2023.

Silver and platinum, similarly, have rallied and all signs point to these two — as well as bitcoin — joining gold with positive year-to-date returns soon.