by jhanders

Friday, Oct 08, 2021 – 16:01

Janet Yellen lied to lawmakers last week.

She is misquoting historical facts as she scaremongered listeners regarding an imminent default on the US federal government’s running liabilities.

We got some follow-up questions … 

Did the United States of America not default on its foreign creditors back in the year 1971? 

You know, back when the Nixon Administration essentially threw the 1944 supranational Bretton Woods Agreement into the fiat Federal Reserve note-laden trash can. Thereby effectively ending foreign trading partner’s sovereign national ability to swap paper US notes for physical, US gold bullion reserves. 

Remember the twelve thousand metric tonnes of gold bullion we lost, hemorrhaging out of the New York Federal Reserve vaults as the Vietnam War got underway in the late 1950s and into the 1960s?

Which math are we talking about now?

The $100s of trillions in debt and unsaved-for-promises we collectively have coming due this decade into the next?

How in the hell are we going to pay that off?!

Wait for just a second, Janet.

On your way out as fiat Federal Reserve chairman back in 2017, you had the nerve to claim there would be no more financial crisis in your lifetime.

Well, are you still going to be alive a few months from now?!

Do you still claim the most secure assets are fiat Federal Reserve melded US Treasury IOUs?

How you are publically talking, and the terrible fundamental arithmetic we’ve built up. For how much longer will this be so?

When do we go supranational IMF SDR and m-SDR bond market?

Oh, now, you will sit there with a straight face and tell us all that US price inflation is 4%?

We’ve drastically changed rules and have defaulted multiple times in our nation’s relatively short history.

Likely this next time, in response to probably the most significant financial crisis ever suffered. Possibly earthquaking confidence to the sovereign fiat reserve currency level.

Will we act slack-jawed or shocked if and when we abruptly do similar forms of drastic defaults and rule changes upcoming?

For now, and in this embedded SD Bullion Market Update video today here on ZeroHedge

We will again monitor the exploding fiat US dollar monetary base totals or fiat M0123 aggregate piles to target a conservative long-term forecast for gold and silver bullion in these coming years and decades unfolding.

Here are our last five updates below + source links.

Silver Gold Price Forecast Targets Long Term | SD Bullion

April 22, 2020 – https://youtu.be/T2hmYG5IiqI

June 26, 2020 – https://youtu.be/q4WgHTJ94pc

Dec 4, 2020 – https://youtu.be/2-qpaB7te9A

Mar 11, 2021 – https://youtu.be/YxPmliOkszI

May 7, 2021 – https://youtu.be/LwGpz6_LlEA?t=557

Google Doc spreadsheet with Data Tabs & Source Links: https://docs.google.com/spreadsheets/d/1QW7RuRNzwlVCWU3sMJpWV3dME2z6mV9g9qbNa4in7w4/

Did the United States also not default on its very own citizenry in the 1933 to 1934 gold confiscation by Executive Order?

You know, Executive fiat decree numbered 6102. Also sacrificed in 1934, the US Supreme Court also sacrificed the sanctity of private business contracts via the repealing of explicit gold clauses. Instead, we got to settle our debts in fewer sound certificates and banknotes.

This effective overnight devaluated US citizen’s savings nearly negative 70% vs. gold bullion, adding insult to injury.

Then US citizens were no longer allowed to own more than three troy ounces of gold bullion privately until 1975 began, over 40 years.

The actual amount of US Citizens who followed that 1933 gold nationalization order and turned in their gold was not that large. 

Weigh the US Mint’s all-time gold mintage figures mid1800s onwards to 1932 versus what amounts of gold coins actually got turned in and paid off at a near 60% discount to the eventual sharply reevaluated price higher a year later.

Well, just less than 2/5th of all the US gold coin supply found its way to then-Federal Reserve branches. Probably most of the flyover USA ignored the illegal and Unconstitutional decree. 

About 2,500 gold tonnes came in from the gold confiscation. The rest of our massive post-WW2 gold hoard was because we were a net balance of trade winner back then, for multiple decades running. 

By 1975, the fiat denominated price of gold had more than 5-folded in just the first half of the 1970s.

US citizens were not even free enough to take part.

Meanwhile, in late 1974, the US Treasury was busy conspiring for more gold price discovery riggings.

Never been questioned, Janet?! 

The safety of the things you keep calling a dollar or the hard debt IOUs now nearing $30 trillion?

The fiat Federal Reserve note, we hit keystrokes on a computer board to make more mass trillions.

Are they unquestionable?!

Try January 1980, back when the entire financial system maleficence got accounted for by gold’s rapidly escalating value. The same gold price that the then Federal Reserve chairman Paul Volcker asked his assistants about every day he arrived at work. The one price he called “the enemy?”

Years later, we could have gone back on a gold standard, but I guess we had fiat financialization spoils and a Cold War to win?

Here we are decades later, mass record debt levels continuing to ramp higher.

Janet, are you talking about the US constitutionally defined weight of gold dollar coin?!

If that’s the case, this former Fed Governor John Exter has a handy upside-down pyramid that shows what happens during negative financial spillover loops and liquidity events.

The safest asset without counterparty risk is bullion, gold bullion. And that is precisely why central banks like China, Russia, the EU, etc., own lots of gold bullion. Over 1 in 5 ounces ever mined are owned by governments and their central bank partners because they know financial folly history, that everything eventually fails and defaults, bullion aside.

The harm to the fiat Federal Reserve note’s value or the future fiat US dollar’s diminishing purchasing power is already embedded into this massive, unwieldy, and eventual unstable fiat financial system we have built on a foundation of cheap debts and leverage.

Your legacy Janet Yellen, is going to be accounted for by gold bullion sharply revaluing higher ahead. 

Now go watch the video embedded at the top of this post to see how much fiat currency fuel the melded fiat Federal Reserve and the US Treasury have pumped into the tank for the eventual parabolic price moon launch and gold value mania come.

We will leave backlinks to our last five long-term gold silver price target videos in the show notes and comments below.

Linked in this post above, you can learn more about the reasoning behind it being conservative and grounded in historical precedent.

There will also be a google doc link where you find running data tabs and source links.

That is all for this week’s SD Bullion market update.

As always, ZeroHedge readers, take great care of yourselves and those you love.