If counting money ever gets dull, try keeping track of the US national debt. According to the latest monitoring data, the debt is fast approaching $38 trillion, rising by $6 billion every single day. For those who like precision, that is $69,891 a second. Time is money, especially for Congress, where billions are added at the touch of a button.
Over the past year, the debt has grown by $2.2 trillion, about as much as a household might dream of spending on its own island. That works out to $283,098 for every American, a sum often described with irony as a “pleasant debt breakfast.”
No one is bored in the markets as alternative assets are sizzling. Bitcoin has leaped above $125,000 and shows no sign of coming down, gold is flirting with the $4,000 mark, and the dollar has lost 10% of its value since the start of the year and close to half since 2000. There may soon be a reason to get nostalgic for old dollar bills.
Bloomberg analysts refer to this as a “degenerating trade,” as cash is quickly being swapped out for digital tokens and gold bullion in personal reserves. According to JPMorgan, depreciation of the dollar—long appreciated by Washington’s old guard and perpetuated by consistent market stimulus—has made a comeback, reminiscent of a vintage favorite.
As the debt climbs, the government now and then hits “pause,” job numbers get delayed like a late breakfast delivery, and investors feel a surge of adrenaline. Bitcoin is up 32%, Ether is trading above $4,600, and total cryptocurrency market capitalization now resembles the budget of a small country, $4.35 trillion, and it continues to rise.
