The New Case For Gold By Jim Rickards
The New Case for Gold by Jim Rickards
Jim Rickards, already a legend in the gold markets, has a brand new book out today called “The New Case For Gold” which is absolutely fascinating. Lots of good information. And some real eye openers too. For instance, according to Jim Rickards, the Federal Reserve today resembles a bad hedge fund with leverage of roughly one hundred to one. But, from a discovery made in the US Fed’s balance sheet, they seem to have a treasure trove of gold stored at Fort Knox and West Point valued at over a staggering $300,000,000,000 in todays gold prices!
The appearance of $300 Billion dollars to the Fed’s capital account lessens the Fed’s leverage from one hundred to one to a much better twelve to one, which is the capital ratio for most well-capitalized banks.
“The confidence of the entire global system of finance rests on the U.S. dollar. Confidence in the dollar rests on the solvency of the Fed’s balance sheet. And that solvency rests on a thin sliver of… gold. This is not a fact anyone at the Fed wants to acknowledge or discuss.” – The New Case for Gold
Another fascinating point made by Rickards is that China is most likely suppressing the price of gold bullion by using the COMEX market so that they can buy up more physical gold bullion for themselves. The moment they stack up a supply of gold bullion that is equal to the United States, China will not really care what the price of gold bullion is and because of this, the price of gold bullion will probably go through the roof after the expected change of the international monetary system.
The video below is a new interview with Jim Rickards from Palisade Radio about his new book “The New Case For Gold” and about Jim’s views on gold stocks and the gold industry in general including the conspiracy theories. Definitely a must watch for any gold investor.