Which Gold 1/10oz Coin to Get

True but don't forget that a 1971 congressional report concluded that the US Dollar was overvalued and within the following weeks $4 billion of the gold stuff left due to foreign countries redeeming the green paper bill. Nikon's first order about a week later was to end foreign gov'ts from exchanging their dollars for gold.

So he stopped the sucking sound everyone heard of gold leaving the US otherwise fort knox did NOT have enough gold to cover the amount foreign gov't held of the greenback, much less of in the US.

 

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Foreign nations, especially France were robbing us blind converting dollars to gold and Nixon rightfully ended that imo. Roosevelt though is another story...

 

France redeemed $191 million in gold in Aug 1971

 

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I merely said it happened on Nixon's watch. But it certainly pulled the props out from under the dollar. The dollar can tank any given day, it's only the cleanest dirty shirt in the laundry basket, as they say.

Besides, I only have to survive five years, then I'm outta here, and afterwards, it's the humongous problem of your adult children, all you optimists. Good luck.

I'm leaving my heirs a nice set-up, hope they survive. Thought about taking it with me, but there's too many guys with metal detectors working the graveyard shift...

 

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If my history is correct, in 1933 the US did not have enough gold to back all of its gold certificates.

 

If one has an isolated economy I can see how one can back currency/money by gold/silver. But with any type of global economy or even a few economies as soon as there any type of exchange rate it can throw PM based currency out of whack.

 

They weren't "robbing us blind" -- the U.S. said they would exchange $35 for 1 ounce of gold. So other Central Banks took us up on it.

They called our bluff and we folded -- like George Soros vs. The Bank of England.

 

People now realize that financial assets, not tangible assets, are what matters.

Currency trading dwarfs precious metals trading on a daily basis. They were the same in 1979.

Anybody waiting for the Dollar to collapse is going to be waiting a long time. How long did it take Greece, a 3rd-rate economy, to collapse ? 30 years ?

 

"Currency trading dwarfs precious metals trading on a daily basis" -- this has absolutely no connection with the discussion. All this proves is that there might be 100 times as much fiat money swirling around, compared to PM's (I have no idea of the true proportion).

Doesn't mean a thing. And currency trading rarely involves tangible assets, as very few entities take delivery. It's just blips on a computer screen, as those blind-sided by Brexit found out.

Here's the present composition of SDR's: "In the review conducted in November 2015, the IMF decided that the Renminbi would be added to the basket effective October 1, 2016.

From that date, the XDR basket now consists of the following five currencies: U.S. dollar 41.73%, Euro 30.93%, Renminbi (Chinese yuan) 10.92%, Japanese yen 8.33%, British pound 8.09%."

There are numerous other baskets, but SDRs are a prime mover of global interest rates.

 

Incidentally, I did not say or imply that we needed a dollar "backed" by PMs. I agree that probably wouldn't work now, for a variety of reasons.

I am saying that I expect a time when you will get a better deal for gold or silver, as compared to market pricing in dollars. Let's say gold is $2000 per ounce, and you want to buy a modest $1000 refrigerator. Your seller says, "I would accept 0.40 ounce of gold instead of $1000 in US currency."

So on that day, you have accomplished your long-term goal of preserving your purchasing power by previously exchanging your US currency for some other form of money.

In the 1950s, you could often buy a loaf of bread for 10c. You still can, if you were smart enough to lay aside a 1950s dime back then.

An alternative form of money preserved your purchasing power, and that's what it's all about -- not trading PMs, not slabbing PMs, not paying Perth Mint $$$ for pretty junk.

 

No, it means that people believe in financial over tangible assets.

When the 2008 Crisis hit, Treasury bonds and the dollar soared and gold sank.

If you want to buy U.S. Treasury bonds, you need $$$$.

The Fed and Treasury don't accept Yuan, Yen, or Euros.

You won't find a daily bond market commentary that talks about SDRs. They are meaningless.

The individual currencies are important, but the Yuan isn't fully convertible and the Euro is breaking up and their bond markets are too small.

If you are a SWF or CB and need to park $30 billion overnight, there are only 2 markets in the world that can handle the flow: the U.S. Treasury market and the U.S. MBS market.

That's it.

 

I'm saving up all my gold so I can trade for a used refrigerator in 25 years!

 

Except if you took that 1950s dime to the grocery store and took a loaf of bread up to the checkout you'll have 10cents. You'll still owe them another dollar or more. Same if you took that 1950s dime to the bank. You have 10 cents.

The problem with PM based currency is it's valuation is wholly dependent upon the person(s) you are attempting to convert it with. At that point it's a barter.

PM based coinage is based on a preface of a steady PM price. As soon as that PM price changes that valuation of that coinage changes (for those that take it as PM and not face value) .. up or down.

To me, I hold (1) old currency (PM, copper etc), (2) PMs (ASEs, AGEs etc) and (3) Currency as three wholly separate types of investments.

If you find someone that trades all 3 of them one can barter them around. So you'll have to take that 1950s dime to someone that invests in PM coinage and barter a loaf of bread with them. Otherwise, you simply have 10 cents.

 

Once again, I do NOT advocate a PM-backed currency. If someone can't figure out how to sell a silver dime for $1.25 plus or minus, let 'em go hungry.

At least the OP is shopping for a 1/10th gold, and not a 1-ounce coin. The fact that he asked which 1/10th coins contained the most gold is not very encouraging, however.

I am happy with 90% silver, much of which is in BU rolls of 1960s Roosevelts, thus, "full-weight" trades and sales, no Mercury slicks you can read a newspaper through.

Later this year I will struggle to sell (or trade off) my few proof and mint sets, Canadian silver, worn Commonwealth silver, and fancy crowns - all for 90% material.

That's my bucket list for 2017. What's in your bucket?

 

Sorry yes they were, they were abusing the spirit of the agreement by exchanging for gold at the rate we were forced to except via the outdated Bretton Woods agreement. To then take possession and sell or lease the gold at the much higher market price. They would have continued to do it over and over again until the entire U.S. gold reserves were depleted and Nixon rightfully ended the agreement.

 

I love the video at the top of this article.
http://money.cnn.com/2017/02/10/investing/germany-gold-reserves-foreign-new-york/index.html

 

There was no 'spirit' of any agreement. The rule was set in 1945: $35 for 1 ounce of gold.

There was no "much higher price" though some trades may have occurred above $35/oz. No law prevented the U.S. from doing likewise.

I agree the Gold Standard was an anachronism and floating exchange rates are better. The U.S. was unwilling to live within its means which is why we inflated away.

 

Some of you need to just stop talking. You're embarrassing yourselves.

 

The other nations were abusing the system purposely to enrich themselves at the U.S.'s expense which is why Nixon voided the gold exchange. The U.S. gold is also still on the books today at $42 an ounce and has been since 1973.

As for OP of the thread like I stated earlier I believe a 1/10 AGE bullion version is your best best overall.