🚨 **BREAKING: US Government Shutdown Imminent!**

The US government faces a shutdown in just 6 days. Historically, such events have seen gold and silver reach new All-Time Highs (ATHs).

However, caution is advised for those holding stocks or other risk assets. A complete data blackout is anticipated, introducing significant market uncertainty.

**Here are 4 key threats to monitor:** 👇

**1️⃣ Data Blackout:**
No CPI or jobs reports will be released. This blinds the Federal Reserve and risk models, potentially leading to a repricing of the VIX higher to reflect increased uncertainty. 📊

**2️⃣ Collateral Shock:**
Amid existing credit warnings, a shutdown could trigger a credit rating downgrade. This may cause repo margins to spike and significantly reduce market liquidity. 📉

**3️⃣ Liquidity Freeze:**
The Reverse Repo Program (RRP) buffer is currently depleted, leaving no effective safety net. Should dealers begin hoarding cash, funding markets could experience a severe seizure. 💸

**4️⃣ Recession Trigger:**
Each week of a government shutdown can cut approximately 0.2% from GDP. This impact is substantial enough to potentially push an already stalling economy into a technical recession. ⚠️

**Market Indicator to Watch:**
During the last major funding stress in March 2020, the SOFR–IORB spread widened considerably. Keep a close eye on the SOFR–IORB spread now. 👀

If this spread starts gapping, it signals that private markets are starving for cash while the Fed holds substantial reserves – a scenario reminiscent of 2020. Stay informed and monitor these critical indicators. 🔎

$DUSK
$ZKC
$AUCTION