The Institutional Risk Analyst

We have updated the WGA Precious Metals Top 25 for June 2026. Many of the gold funds are down for the year, having given up the gains seen in 2026 in the face of triple digit returns for AI related stocks. As we noted last week in “The Wrap,” when AI stocks are soaring and interest rates are rising, precious metals typically retreat. It's all about short-term yields and chasing the shiny object.

Many of the changes to the US Treasury and REPO markets that were predicted in our comment this past May are coming to fruition.

Nations like Argentina and Turkey show the dangers of funding in dollars when you have a weak, small currency. Size matters. That is one big reason why the EU, China and Brazil have not been able to create an effective competitor to the dollar. Those remaining “AAA” sovereigns like Canada, Australia and Belgium have limited capital markets access. But if Americans manage to convince the rest of the world that we are indeed libertines and appropriate subjects for ridicule.

During our fishing trip to Leen's Lodge last week, there was a lot of discussion about the markets and whether the Fed is going to successfully manage the return to normalcy. Our bet on that question is “no” as we noted in a missive yesterday by Jeff Cox of CNBC: “The Fed's effort to control the rise of its key interest rate is running into some problems.”

The IRA is writing today from Camp Kotok, which is held each year at Leen’s Lodge in Grand Lake Stream, Maine. We are in Washington County, which is on the border of New Brunswick, Canada, and about 200 miles north of Bangor up Rt 9. This is Down East Maine, the land of Thoreau with rolling hills and lots of beautiful rivers and lakes.