Sunday, April 5, 2020

Top St. Louis Fed Economist Calls for US to Sell All Its Gold

Fort Knox
David Andolfatto, senior vice president at the Federal Reserve Bank of St. Louis, is calling on the US government to sell all its gold to people "who love shiny yellow things."

In a tweet he writes:
U.S. government presently holds 8,133.5 metric tons of gold (almost 1/2 trillion dollars at current market prices). IMF holds 2,814 metric tons, Italy 2,452 metric tons. What is the point? Sell it to those who love shiny yellow things.
Yes, that is probably the snarky attitude of all top Fed officials.

Gee, why would anyone want to hold a metal that has an evolved history as the desired metal of exchange around the globe rather than hold fiat money that can be printed out of thin air?

Only a money printer would frame it as a desire for "shiny yellow things."

-RW




at 1:36:00 PM

5 comments:

  1. NDNApril 5, 2020 at 2:16 PM

    For a country that has almost $22 trillion in debt, which will never, ever be paid back, $500 million dollars worth of "real" money is a drop in the Atlantic Ocean by comparison. Besides that, how much of the gold "held" by the US is actually "owned" free and clear of any encumbrances, liens, etc.

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  2. Jule HerbertApril 5, 2020 at 2:28 PM

    All that gold in private hands should scare the hell out of them.

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  3. Capn MikeApril 5, 2020 at 3:20 PM

    Well, one way to get the price down.
    Oh, and NDN, that's 500 BILLION, with a "B", but of course you're right. It IS a drop in the bucket, nonetheless.

    ReplyDelete
  4. Mark AApril 5, 2020 at 3:40 PM

    Makes me wonder what he's going to do with the resulting cash?

    ReplyDelete
  5. The NAPsterApril 5, 2020 at 6:04 PM

    I've always marveled at the hypocrisy of central bankers who ridicule gold yet jealously hold onto it.

    ReplyDelete

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