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Ripple Effect

The Big, Beautiful Sellout

Loading ...Addison Wiggin

June 5, 2025 • 1 minute, 28 second read


The Big, Beautiful Sellout

One of the most important data points to understand the coming years is debt-to-GDP.

Yes, you can argue about how to measure GDP. And there are some forms of debt, like those debts tied to entitlement programs, that aren’t even included.

But using the government’s own baseline numbers, things are getting ugly. And they’re getting worse, not better.

Turn Your Images On

History tells us that when a nation’s debt-to-GDP ratio reaches 130%, it is a point of no return.

Servicing that level of debt means lower systemic growth – making it even more challenging for those who want to ignore the debt and try to grow the economy out of the problem.

The latest spending boondoggle does nothing to change the trajectory, and the extension of the 2017 tax cuts and higher SALT deductions, among other goodies, will accelerate the timeline.

If the party of so-called “small government” is just looking to juice the private sector now rather than avert a crisis – then such a crisis has always been inevitable. Be prepared.

~ Addison

P.S. With out-of-control spending still the norm in Washington, two assets look attractive as safe havens: gold and bitcoin. With the dollar weakening on top of everything else, we see the potential for gold prices to soar far higher over the next 18 months. It’s also no surprise to see silver breaking higher, finally jumping past $35 and topping $36.

Meanwhile, with all the institutional interest in bitcoin, which is getting over 98% of the capital to the broader crypto market right now, it’s possible that bitcoin could also be on a similar trajectory in the months ahead as a crisis looks increasingly likely.

As always, your reader feedback is welcome: feedback@greyswanfraternity.com (We read all emails. Thanks in advance for your contribution.)


The Hindenburg Five

February 24, 2026 • Addison Wiggin

The stock market “rebalancing” is a polite way to put it. Energy and health care are getting a healthy boost. But tech hardware and software makers are still getting dressed down and have been asked to report to the principal’s office.

The great rotation underway has triggered a series of “Hindenburg Omens.” Five have occurred in recent weeks.

The Hindenburg Five
Piercing The Veil

February 23, 2026 • Addison Wiggin

The S&P 500 has traded in a 3.7% range over the past two months — less than half the 20-year median of 8.6%. One of the tightest ranges in modern history.

In trader parlance, the indexes are “flat,” a setup that often materializes before a sell-off at the top after a multi-year bull market.

Goldman Sachs told its own traders to be aware that institutional trading activity resembles a VIX reading near 35. Rather than a reading of 20, where the VIX has been trading over that same 2-month period.

The U.S. software ETF, IGV, tested its April 2025 lows last week and trades roughly 35% below its peak. The “SaaS-pocalypse” in software companies reflects the fear of Citrini’s 2028 scenario happening in real time.   That divergence now exceeds the spread seen at the peak of the Great Financial Crisis.

Under the surface, the “great rotation” we wrote about last week is threatening to widen.

Piercing The Veil
Oh. Canada

February 23, 2026 • Addison Wiggin

Despite its overly-educated 40-million-plus population, on a GDP per capita basis Canada is null. Collectively, the Great White North would rank as America’s second-lowest state, coming in above Mississippi, but below Alabama.

Oh. Canada
Matt Milner: SpaceX + xAI: What It Means for You

February 20, 2026 • Addison Wiggin

SpaceX is the most valuable private startup in history — and if its success continues, it might become the most valuable public company in history.

After all, as Musk famously said in 2023, “I have never lost money for those who invest in me and I am not starting now.”

For investors, SpaceX has been a wild, joyful ride — and now the journey continues!

Matt Milner: SpaceX + xAI: What It Means for You