U.S. Mint Actions Discourage Gold Ownership

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U.S. Mint Actions Discourage Gold Ownership
January 23, 2009

Over the past several months, the United States Mint has announced a series of actions and policy changes that make it more difficult for the average individual to buy gold. There have always been plausible or semi-plausible explanations, but the consequence of each action has been to limit or discourage gold ownership.
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The series of incremental changes outlined above has resulted in the following situation:

• Production was halted for all of the US Mint’s fractional gold bullion and 24 karat gold bullion offerings several months ago. There has been no indication when production might resume.
  The only 2009 gold bullion coin available from the US Mint is the one ounce
• American Gold Eagle. Sales of this single bullion coin offering remain subject to rationing.
  
• The US Mint’s gold numismatic offerings for 2009 have been significantly reduced from the prior year. The remaining product offerings will be priced at prohibitively high premiums under a newly established pricing policy.

Whether or not it was the US Mint’s intention, every significant action they have taken since August has either limited gold availability, eliminated gold product options, or increased the cost of acquiring gold. Has it all just been a consequence of surging global demand for gold, supply chain mismanagement, and bad timing for policy decisions? Or is there something else going on here?

[edit on 24-1-2009 by Dbriefed]

[edit on 24-1-2009 by Dbriefed]

Thanks for the article. Two interesting things I learned from the comments section on that page, that I thought I'd share:

1. US law requires the mint to make gold coins available to the public, but also requires them to be made only from gold mined in the US.

2. The gold at Fort Knox (or, supposedly at Fort Knox) is accounted at a 'book value' of $42 per oz, not market prices.

This is a strange thing. Because it use to be that some of us could work online and make e-gold and be paid in gold or cash. We can no longer do that, The US government went in and trook over 90% of the accounts at e-gold and said they were terrorist accounts. These were folks with even $3 in there accounts. They then made e-gold pay them the money instead of keeping it. Soon e-gold went thru Bankruptcy. And now thousands of folks are out there hard earned cash and gold. I personally lost over $250 in gold. It took me 8 years to make it but supposibly I had terrorist money. Reading paid to read emails for 8 years and its terrorist money man 1/2 cent an email and they think its worth it to a terrorist?? What is up with this government. If you ask me it was just a good excuse for the government to take gold away from the people.

Originally posted by Ian McLean
Thanks for the article. Two interesting things I learned from the comments section on that page, that I thought I'd share:

1. US law requires the mint to make gold coins available to the public, but also requires them to be made only from gold mined in the US.

2. The gold at Fort Knox (or, supposedly at Fort Knox) is accounted at a 'book value' of $42 per oz, not market prices.

The last time the gold at Fort Knox was audited was back in the 60's. It is questionable whether there remains any gold there and the Fed won't let anybody in to find out.

Originally posted by pmbhuntress
This is a strange thing. Because it use to be that some of us could work online and make e-gold and be paid in gold or cash. We can no longer do that, The US government went in and trook over 90% of the accounts at e-gold and said they were terrorist accounts. These were folks with even $3 in there accounts. They then made e-gold pay them the money instead of keeping it. Soon e-gold went thru Bankruptcy. And now thousands of folks are out there hard earned cash and gold. I personally lost over $250 in gold. It took me 8 years to make it but supposibly I had terrorist money. Reading paid to read emails for 8 years and its terrorist money man 1/2 cent an email and they think its worth it to a terrorist?? What is up with this government. If you ask me it was just a good excuse for the government to take gold away from the people.

The war on terror in full force.

The U.S. Government discourages gold ownership, because gold DOES NOT INFLATE, NOR DEFLATE.

In the 1700s, an ounce of gold would buy you a good quality men's suit (not the best, but not really cheap, either).

In the 1800s, an ounce of gold would buy you a good quality men's suit.

In the 1900s, an ounce of gold would buy you a good quality men's suit.

In the present, an ounce of gold will buy you a good quality men's suit.

You see, if you own lots and lots of gold, instead of investing in banks, your money cannot "disappear" via inflation.

Think of it this way: Suppose you put $5,000 in stocks in 1998. How much would it be worth now? Suppose you put $5,000 in GOLD in 1998. How much would it be worth now?

Edit to add: When I ask what it's worth would be now, I do not mean in actual dollars. I mean what you can buy. Example: In 1998, how many loafs of bread could you buy with $5,000? How many loafs of bread could you buy TODAY if you had invested that $5,000 in the stock market?

Do you now see why TPTB don't like anyone to own gold nor silver?

[edit on 24-1-2009 by sir_chancealot]

reply to post by monikerThe last time the gold at Fort Knox was audited was back in the 60's. It is questionable whether there remains any gold there and the Fed won't let anybody in to find out.
There was a video that had an interview with the Congressional leader of the Congressional Gold Commission, and Congress was not allowed to view the gold in Fort Knox, or gold in the vaults of the Federal Reserve.

They discourage for this reason:

It does not fluctuate the way fiat currency does.

That and gold is easily manipulated through the manipulation of the currency.

Take a look at the price of gold right now. One week ago it was as 830 bucks per ounce. It is now fluctuating between 895 & 900. I expect, with the way the Fed manipulates currency, that the price of gold will shoot up to about 1000 an ounce in the next three weeks.

They are discouraging people from buying gold in two way. Make it expensive by devaluing the dollar, and confiscations under the flag of "Terrorist Money".

They had an MLM going about a year ago that was closed down by the government. No one ever knew why but at first they told folks they would only be able to get 1 gold coin a month instead of buying as many as they wanted. The MLM site was based on Gold coins. The next thing everyone knew the place was closed down. But I do believe the government is trying to keep folks from getting gold. Which is a problem for those that are planning on sending all that gold jewlery and watches into these places that Buy Gold. Because they may be next to be closed down.

Looking at the new price structure, what becomes obvious is that the US Mint doesn't agree with the manipulated Comex spot price of Gold ($899), anymore than retail Gold investors do. Also, as long as Gold trades above $799.99...the Mint is essentially creating a floor under physical GAE' @ $1000 per oz....unintended consequence?

Just read that a large Gold dealer (my fav actually) is paying $35 over spot for 1oz GAE'. Never have I seen a dealer pay a 3.5% premium over spot...typically 3% - 5% under.

Shortage of Gold Coins hits Dubai Shopping Festival

Tanaka Kikinzoku: gold coin sales doubled last year

What it seems to me, is that "someone" is trying to collect as much gold as they can by way of these "companies" willing to buy it from us. Like they are "helping us out..through this resession" I think they are stock pileing it...for what ever reason...it IS being done for a REASON.

reply to post by elan37713


is there anyone with an explanation for this?

...i've been thinking the same thing, too - it seems that they're trying to get as much gold as possible, at the expense of people desperate for money. is it just because we might be going to a gold standard soon, and that paper money backed with nothing will soon be worthless?

if it's true, TPTB will have lots of gold that the people sold them, and will be even richer than ever...

has anyone heard anything different?

EDIT: history repeats itself...
The Gold Confiscation Act of 1933

[edit on 7-2-2009 by adrenochrome]

I know at least where I live the past few months We were being bombarded with commercials either on tv or junk e-mail about cash for gold....Some of the comercials even whent so far as to say we have our own foundries therefore able to give you mores cash per ounce....Your average joe-jewler or ''tv-pawnshop'' do not have foundries..That goes to tell me a significant entity want our gold..

reply to post by Redpillblues


YES! The same here in my neck of the woods.

I actually feel sorry for everyone buying into the "buy gold" routine. Gold has historically been confiscated in times of national emergancies.

At this point of the pendulum swing, I am a firm believer in tangible assets. Guns, ammo, clothing, blankets, food, alt shelter, toilete paper, booze, cigs....etc.

If nothing does happen, I have simply pre-bought my normal living supplies for the next 5 years and locked in on the price.

If the SHTF, I'll be able to eat and wipe my arse in comfort......Thats Priceless!