June 20, 2024

Gold In The News – German Gold, Gold Confiscation, Technical Charts, New Perth Mint Coins

Gold news from around the web-

Gold Confiscation?

Are those predicting the confiscation of gold by the U.S. government simply seeking headlines or seriously misguided?  Jim Sinclair has the answer.

I am sick of all this confiscation talk of gold and even gold companies. It emanates from gold people who do not know or understand the history of gold. We condemn MSM for inaccurate, false and misleading news. I condemn gold writers who practice sensationalism, who offer their opinions as if they were facts and simply make things up out of thin air as if they were insiders privy to things that no one else is. Right now leaders of this community are printing stuff as misleading as MOPE or MSM ever have.

Eric De Groot put what I have been trying to teach you perfectly today. In the 1930s gold was to the monetary system what QE is today, a means of increasing the supply of money for Fed and Treasury discretionary use. The US Secretary of the Treasury and President Roosevelt set the gold price higher at their daily breakfast together arbitrarily. Higher because to create money then the system required a higher value of gold to have more money outstanding. This is why Roosevelt ordered the confiscation of gold in order to unfold his type of monetary stimulation, his QE. This is what confiscationophiles simply do not know.

 Your fears and the outrageous untrue statement by the Scottish hedge fund manager are based on totally wrong reasoning and misunderstanding. Gold was not confiscated because it was going up in price. Gold’s order of confiscation came as a tool of monetary stimulation in order to create monetary creation in order to attempt to increase employment.

So, Exactly Where is Germany’s Gold?

The Germans, tough with monetary policy, turn out to be wimps when it comes to safeguarding their own massive 3,396 ton gold stockpile.  Turns out that the Germans, who allegedly hold most of their gold in French, British and U.S. vaults, never even bothered to conduct a physical audit of their holdings – talk about trusting your neighbors! After severe criticism and a national “Bring Back Our Gold” campaign, the Bundesbank is finally promising to conduct audits and bring their gold back home.  MarketWatch wonders if the expatriation of German gold may be the beginning of a move to a gold backed currency.

Gold and Silver Technical Charts

Some really amazing gold and silver charts suggest that we may be in the initial stages of a massive gold and silver rally.

Gold and Silver – The Ideal Holiday Gift

A stunning selection of new gold and silver coins from The Perth Mint  provides the answer to “what should I get her for Christmas?”  Included in the November product releases are some unique rectangular colored silver coins.

Gold Through the Centuries

One of the largest Roman gold coin hoards every found was discovered in Great Britain.  The coins are approximately 1600 years old.  Any guesses on what $10,000 of U.S. currency buried today would be worth in the year 3612??

Government Brazenly Confiscates 1933 Gold Double Eagles – Bury Your Gold Deep

Nothing seems to obsess the U.S. government more than gold.  Could this be due to the fact that gold represents an alternative currency to the failing U.S. dollar, despite the assertions of Fed Chairman Bernanke that “gold is not money?”

The case of the government’s effort to seize 10 1933 Double Eagle gold coins from the heirs of a private coin collector highlight the unlimited time, effort and expense the government is willing to expend in their war against gold.  The heirs of coin dealer Israel Swift discovered the Double Eagles in a safe deposit box.  After voluntarily showing them to the U.S. Treasury, the government promptly confiscated the coins, claiming that the coins had never been officially released by the U.S. Mint due to President Roosevelt’s executive order on April 5, 1933, ordering all private citizens to turn over their gold to the government.

An in depth article by Coin Week examines the case of the 1933 Double Eagles and details substantial evidence against the validity of the government’s right to confiscate the coins.  The article also wonders what implications this case will have on future seizures of rare coins from private citizens and comments on the government’s decades old zeal in pursuing the 1933 Double Eagles.

“It is unbelievable to me how much the government has spent on this,” exclaims Dr. Steven Duckor. “It is ludicrous for the government to be spending this much time, effort and money in the 1940s, from 1996 to 2002, and now in the Langbord case. The government should spend money on more important priorities,” in Duckor’s view. “It would be okay to make a deal like they did last time. I would not mind some type of deal.” Dr. Duckor is an expert in Saint Gaudens Double Eagles. Among living collectors who reveal their names, he is probably the most sophisticated and widely respected.

After the government seized the Double Eagles in 2004, the Swift family heirs sued the government for their return.  Last July, after the conclusion of a civil trial, a jury concluded that the government had the right to seize the coins.  The case remained on hold while a federal judge considered subsequent legal motions filed in the case.  On August 29th, the federal judge ruled that the gold coins “remain the property of the United States” and that “Given the evidence, a reasonable jury could find that the ’33 Double Eagles were knowingly stolen or embezzled from the Mint.”   What a shocker – a federal judge ruling in favor of the government!

The case of the Double Eagle seizure is not an isolated incident and the federal government has become increasingly brazen about suspending or ignoring rules of law to settle matters in its own favor.  In a Bloomberg interview, Professor David Skeel says blatant violations of long established law principles by the government is starting to have a profoundly negative impact on the nation’s economy.

Will government gold seizures and other actions that violate principles of law continue to escalate?   We don’t even want to think about how bad things will get.  GATA reports today that in an interview with King World News , Marc Faber fears that “gold will rise so fast that governments will feel compelled to try to confiscate it from investors.”

The very thought that gold investors need to live in fear of their own government is a chilling thought.  Bury your gold deep!

Gold Confiscation, Missing Royal Canadian Mint Gold, Bernard von Nothaus Indictment

As gold contemplates the $1,000 barrier, here’s a roundup of gold, silver, and precious metals related stories that are interesting for one reason or another. Each headline comes with a snippet of commentary. Enjoy.

A Myth Concerning Gold Confiscation

Examination of a clause in Executive Order 6102, which receives little attention. In addition to the exemption from confiscation for numismatic gold, there was also an exemption for up to five ounces of gold per person.

U.S. Gold, Going or Completely Gone?

According to the United States Geological Survey, nearly 3,000 metric tonnes of gold were exported during 2008 in the form of “gold compounds.” Gold compounds consist of products containing gold content such as gold paint. The amount of gold claimed to have been exported in this format is more than 14 times the annual US gold mine production. What is going on here?

Mint can’t account for missing gold

In another story about missing gold, an audit of the Royal Canadian Mint turned up a discrepancy between the mint’s accounting records and physical precious metals holdings for gold, silver, and other precious metals. The article also describes the largest reported theft from the mint when a machinist pocketed 85 ounces of gold.

Liberty Dollar – Federal Indictment

Bernard von Nothaus, who created an “alternative currency” of gold and silver Liberty Dollars was formally charged “with uttering and passing, and attempting to utter and pass, a coin of silver in resemblance of genuine coins of the United States in the denominations of five dollars and greater, and intended for use as current money”. More than a year ago, the headquarters of his company was raided by the federal government and more than two tons of gold, silver, and copper coins were confiscated.

Buffet Gets ‘Comeuppance’ After Gold Outperforms

Every time someone writes a negative article about gold, they invariable measure the returns since January 1980 to support their preordained conclusion that gold is a bad investment.  Someone has finally turned the tables and compared an investment in gold to an investment in Berkshire Hathaway stock since May 2005, a much more favorable investment time frame for gold.

Gold: Headed For a Bubble?

A particularly vacuous article courtesy of the Wall Street Journal. From the title of the article I thought it would at least have some substance, but it turns into another run through of the “risks of buying bullion” and the lack of a measurable intrinsic value. The author winds up the article by suggesting that Treasuries are a preferable safe haven to gold.

Northwestern Mutual Makes First Gold Buy in 152 Years

For the first time in history, Northwestern Mutual, the third largest US life insurance company, has invested in gold. A great quote from CEO Edward Zore, “The downside risk is limited, but the upside is large. We have stocks in our portfolio that lost 95 percent. Gold is not going down to $90.” Indeed.

Gold and Silver ETF, Gold vs. Platinum, Gold Revaluation Debate

It’s another Gold and Silver Blog Round up, exploring some gold , silver and precious metals related articles and blog posts from around the web.

COMEX commercial positions favor silver: Gold Gold Report

A comprehensive report including premiums on physical gold and silver, positioning of COMEX futures traders, and gold and silver ETF updates. To start of the year, SLV and GLD both reached new highs for tonnes in the trust.

Gold vs. Platinum: Is There a Favorite?

Comparing gold and platinum. Includes a nice illustration on the ratio of platinum to gold. Remember when they briefly reached parity?

Is President Obama Wearing a Giant Gold Mask?

Laying out the case for gold confiscation or really “gold revaluation” as a tool to restart consumer spending and revive the economy.

Gold revaluation – Clutching at golden straws

A response to the gold revaluation theory and the China Gold theory.