Gold is a commodity and its value is subject to the law of supply and demand.
You can say gold is basically real money in all the senses due to its value. It is not like the paper money of the currency of US which only print unlimited money. Whereas countries like Singapore does not print currency.
Gold will soon become more valuable as the press will release more and more money and in this way people will try to buy more gold for them and to save it.
The more supply, the value will automatically fall down badly. The value goes up when the supply of anything is less.
It will require more money to purchase an ounce of gold when you have limited amount of gold and the supply of dollar is unlimited. It cannot be avoided that dollar always fall but at the same time gold prices get more and more high.
The dollars of America in the circulation are just for the IOUs and it will be fine if the reserves of gold were in the Fort Knox to back up the IOUs, but what will happen then if there will be no gold present in Fort Knox?
This query dates back of the Great Depression days.
The American people given the vote for change in November 1932 and as a president they elected New York governor who was Franklin Roosevelt. Executive order 6102 was issued by him who immediately finished the ownership of the gold coins, even bullions and certificates by the citizens themselves.
He explained that why he did and took this step. He wanted that people to take the loan from the government during the great Depression. In his period only the American gave the gold to the US treasury.
In Fort Knox there was a lot of gold present, it was told by the treasury department that Fort Knox Depository held 649.6 million ounces of gold as dated Dec. 31, 1941. This was around 20,000 tons of gold.
The cold war which was supposed to be world war II and the Korean war, the Vietnam War and also a long string of few US military who were engaged and committed till now.
A lot of money is given to the big wars and the people of that nation which means government. It is stated by the treasury department that there are 147.3 million ounces of gold in Fort Knox. This is supposed to be less than 23% of the original quantity taken by the people in the early 1930 and returned back in 1941.
You don’t need to worry for this. In Fort Knox, The official Treasury Department statement on the matter of gold is that "The only gold removed (from Fort Knox) has been very small quantities used to test the purity of gold during regularly scheduled audits. Except for these samples, no gold has been transferred to or from the Depository for many years."
The Treasury Department adds in it, "The Depository is a classified facility. No visitors are permitted, and no exceptions are made."
We never like that any visitors to keep an eye in the Fort Knox Depository, shall we?
Why we take the words of anonymous people who are the federal managers? Actually nobody exactly knows what is inside Fort Knox. You can take an example; you have seen the film of James Bond. So it is just a movie but that is not real.
If you get the knowledge from any independent source so it is not something bad. We can understand the need to keep the Fort Knox secure so that it can remain safe. From the US Treasury Department there is no need to have a declaration statement. It is not out of line to know about the national gold depository.
President Ronald Reagan said, "Trust, but verify."
The gold supply is the important part of the US monetary base. It assures the quality and amount of the gold which is very important. It keeps the nation’s powerful weapon in full control.
What can be the result of the gold audit? There can be two possibilities.
A new series of issues for the gold market and the federal monetary authorities will be missing which will be independent audit needed as same as the gold is required.
You can say gold is basically real money in all the senses due to its value. It is not like the paper money of the currency of US which only print unlimited money. Whereas countries like Singapore does not print currency.
Gold will soon become more valuable as the press will release more and more money and in this way people will try to buy more gold for them and to save it.
The more supply, the value will automatically fall down badly. The value goes up when the supply of anything is less.
It will require more money to purchase an ounce of gold when you have limited amount of gold and the supply of dollar is unlimited. It cannot be avoided that dollar always fall but at the same time gold prices get more and more high.
The dollars of America in the circulation are just for the IOUs and it will be fine if the reserves of gold were in the Fort Knox to back up the IOUs, but what will happen then if there will be no gold present in Fort Knox?
This query dates back of the Great Depression days.
The American people given the vote for change in November 1932 and as a president they elected New York governor who was Franklin Roosevelt. Executive order 6102 was issued by him who immediately finished the ownership of the gold coins, even bullions and certificates by the citizens themselves.
He explained that why he did and took this step. He wanted that people to take the loan from the government during the great Depression. In his period only the American gave the gold to the US treasury.
In Fort Knox there was a lot of gold present, it was told by the treasury department that Fort Knox Depository held 649.6 million ounces of gold as dated Dec. 31, 1941. This was around 20,000 tons of gold.
The cold war which was supposed to be world war II and the Korean war, the Vietnam War and also a long string of few US military who were engaged and committed till now.
A lot of money is given to the big wars and the people of that nation which means government. It is stated by the treasury department that there are 147.3 million ounces of gold in Fort Knox. This is supposed to be less than 23% of the original quantity taken by the people in the early 1930 and returned back in 1941.
You don’t need to worry for this. In Fort Knox, The official Treasury Department statement on the matter of gold is that "The only gold removed (from Fort Knox) has been very small quantities used to test the purity of gold during regularly scheduled audits. Except for these samples, no gold has been transferred to or from the Depository for many years."
The Treasury Department adds in it, "The Depository is a classified facility. No visitors are permitted, and no exceptions are made."
We never like that any visitors to keep an eye in the Fort Knox Depository, shall we?
Why we take the words of anonymous people who are the federal managers? Actually nobody exactly knows what is inside Fort Knox. You can take an example; you have seen the film of James Bond. So it is just a movie but that is not real.
If you get the knowledge from any independent source so it is not something bad. We can understand the need to keep the Fort Knox secure so that it can remain safe. From the US Treasury Department there is no need to have a declaration statement. It is not out of line to know about the national gold depository.
President Ronald Reagan said, "Trust, but verify."
The gold supply is the important part of the US monetary base. It assures the quality and amount of the gold which is very important. It keeps the nation’s powerful weapon in full control.
What can be the result of the gold audit? There can be two possibilities.
A new series of issues for the gold market and the federal monetary authorities will be missing which will be independent audit needed as same as the gold is required.
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