Posted on 05/13/2023 12:01:03 PM PDT by arthurus
Right now, the Fed’s gold certificate values gold at $42.22 an ounce. That’s obviously not anywhere near the market price of gold, which, again, is about $2,042 an ounce.
Now, the Treasury could issue the Fed a new gold certificate valuing the 8,000 tons of Treasury gold at $2,042 an ounce. They could take today’s market price of $2,042, subtract the official $42.22 price and multiply the difference by 8,000 tons.
(Excerpt) Read more at dailyreckoning.com ...
Thank heavens! I mean, what could possibly go wrong! Hurray!
You would get a Troy ounce.
It will kick the showdown a few months down the pike.
If the US shows a willingness to part with Fort Knox gold, China will show an eagerness to insist on gold as payment for exports to the US.
I had a look at some of historic remarks. I have discerned a couple things
1. It seems you are not a particular fan of W. I can’t quite tell. You are pretty reserved in your criticism
2. You have an eclectic set of positions. Hard to fit it into a particular wing of conservatism.
3. You defend your positions with humor and succinct statements there are quite well thought out.
While I may have some different positions than you, you have won my respect as an orator and thinker. Depending on whom you ask around her that might bit be an endorsement you want. It’s ok to deny i every said this but when one sees wit and intellect it’s worth a kudos. Be well
Thank you to all who answered my question.
I guess that would include myself. LOL
“Not sure it’s inflationary at all.”
It would be no more inflationary than Joe’s show us your “white flag” again plan.
You win scariest post of the day. Add in the honorable gentlewoman Feinstein and we have the three horsemen of the idiocracy and galactially incompetent
“valuing the 8,000 tons of Treasury gold at $2,042 an ounce”
Well, how much is actually there in the Treasury Department?
Remember, Texas moved it’s state owned gold back to Texas. They have their own Gold repository. They did not move the gold from NY banks, but sold it and re-bought by more secure means. (from what I have read)
Wouldn’t that be selling our gold to the Fed? How about we seize all the properties of the Federal Reserve and begin again? How much in paper wealth do they hold? Track it down using 0’s and 1’s. and seize that too.
Tantamount to admitting the dollar has lost 99% of its value.
The Democrats’ vote buying must be reined in.
It is better to fight it out by peaceful means now than to have to use up your AR-15 ammo supplies in the future.
All Republicans have to do is to hold firm.
There will be great economic stress, but 90% will fall upon Democratic voters.
It’s better for a typical American businessman to lose 10% of his income in 2023 than to pay a 60% tax rate until his dying day.
It has lost ~99% of its value since FDR’s day.
Scan through microfilm reels of the Washington Post from FDR’s era and you will see real estate prices in metro DC are up about 100-fold.
alwillis on July 16, 2015 | parent | context | favorite | on: Bitcoin Trends in the First Half of 2015
>The USA golds 8000 tons of gold in Fort Knox (and in NYC’s Federal Reserve building). Why? Why does it do this? It must cost a lot to hold all that gold. The reason it does is because that gold implicitly (but not explicitly) backs the US dollar. If the dollar began crashing tomorrow, Obama could go on TV and say he was opening the vaults of Fort Knox and would exchange dollars for gold.
Seriously? Those 8000 tons of gold, priced at today’s price of 1144.45 as of a few minutes ago, have a value of $296,002,697,361.7893—a little under $300 billion. Sorry, but $300 billion just isn’t a lot of money in the grand scheme of things.
So today the $2,042 price per oz, is almost double the price in July of 2015.
So the dollar is likely worth 1/2 of what it was in 2015.
The gist of my post is in the word “admission”.
Once the government admits it, I do believe this would start a gold rush like we’ve never seen before.
“Fed’s gold certificate values gold at $42.22 an ounce.”
Because that is how much Gold $42 is SUPPOSED TO BE ABLE TO PURCHASE! That is how much purchasing power the dollar should actually have! And by their own hand this ADMIT IT with THE CERTIFICATE VALUE.
All the good at Fort Knox is already the property of the federal government. I am not sure it matters as to what cost center or bureaucracy it sits in on the federal ledger.
Of course, there is the theory there is not a lot of gold at Fort Knox. I happen to agree with that there is no tangibles any longer in possession. Were into hazard a WAG i would think it is in Beijing
How many times does this have to be repeated? The price of Gold did not go up or change. The value of the dollar changed and went down.
This “perspective” is he true reality of it. But we have been brainwashed into believing all the illusions, smoke, and mirrors.
Well I see your point. But a bind also has a certificate value. But it also has a fair market value that rises or falls after its initial sale and purchase at parstock value. In the same was the certificate has a face value but it’s FMV is much higher now as a function of scarcity and current economic conditions. The of something is what you can get for exchanging it in the marketplace.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.