What and Audit and Revaluation of U.S. Gold Holdings Would Mean. (Uncut) 02-17-2025

What and Audit and Revaluation of U.S. Gold Holdings Would Mean.

I’m not going to make that mistake. I think what’s happening to gold right now is a 180 shift in the way we look at gold. I predict that before the end of 2025, even DFT, who 21 years ago said that gold was finished, and we’ve looked at this many times, it’s one of my favorite topics, they’re going to have to turn around and admit they were wrong.

Monday, February 17th, 2025, Maneco64, home of Alternative Economics and Contrarian Views. Today, we’re going to look at what an audit and a revaluation of the U.S. gold holdings would mean. Yes, there’s a lot of talk about an audit, but before we look into that, I have a message from Gold Investments.

Gold Investments is my UK precious metals affiliate, and Oliver Temple told me that we have a new promo code. It’s Maneco64SOV, or SOV, and if you use that promo code, you get 1% off the listed price for various dates, sovereigns. What does that mean? Well, that means that it’s any sovereign that is not from 2025, not the new sovereigns.

If you do decide to use that promo code, to use it separately in the basket online. You can’t use it for other things, and if you want to buy other coins, you’ve got to do it on another basket. I also wanted to go through a couple of the headlines here in the UK, and something about the U.S. and the health of the U.S. population, which I think is really important, and you might think, what’s that got to do with markets and money? Well, you’ll see in a minute, but one of the headlines that caught my attention this morning here in the UK, came out in the FT, it says, quarter of U.K. employers plan to cut jobs before tax rises by it, reports find.

Increase in national insurance contributions and higher minimum wage are increasing employment costs. I think this is huge. One in four are looking to cut jobs, and this is going to be done before April.

I think it’s April 5th is when the tax year ends and these new national insurance rates are coming online. It’s not getting better. I saw on X, not sure if it’s true, but there are rumors that the Chancellor of the Exchequer or the equivalent of the Treasury Secretary, Rachel Reeves, will tender her resignation this week.

That would be an admission of failure and things could get even worse. So the other headline out of the FT as well from today, it says, Keir Starmer offers to put British boots on the ground in Ukraine. U.K. Prime Minister expected to meet Trump this month and try to persuade the U.S. President of Europe’s readiness to help secure peace.

I think this guy is deluded. He’s really unpopular, even with the people who voted for him. And I think only 20 percent of the U.K. eligible voters voted for him.

So, yeah, I don’t think that’s going to gel with the British public going, allowing their children to go fight for him. I certainly wouldn’t. And the other one, of course, is about the U.S. And I heard that when RFK made his acceptance speech, when he was confirmed and sworn in as the head of the health department, I think it’s called HHS in the U.S. And I was surprised he said 80 percent of young Americans are unfit to join the military.

And I looked that up and it’s true. It’s actually 77 percent, which is pretty close to 80 percent. So why am I concerned about that? Well, there’s a lot of talk of World War III.

Could America really fight a battle so significant when 77 percent of young Americans are unfit to join the military? I don’t think so. You look at the U.S. population, it’s 330 million or so. You look at China, 1.4 billion.

Yes, Russia is smaller in terms of population, around 140 million. But am I saying I want to see World War III? No. But what this means to me is that President Trump knows that they’re in trouble in terms of military power.

And that’s why he called the other day. He said he wants to get Russia and China together with the U.S. and have a plan to cut spending in the military by 50 percent. So to me, that means that America can’t afford to keep the fiat dollar or the dollar standard going anymore.

It doesn’t have the military might. So with that, we’ll jump to the gold. And I think this is one of the reasons.

It’s a retreat by America. Of course, we’re going to hear that America is going to be made great again. And I’m not saying it couldn’t, because unfortunately, I think America is in a situation because it became overstretched itself, militarily, geopolitically, economically, debt wise.

So I think it could be a step to being great again if we see some kind of retrenchment and focus on the Western Hemisphere, the Monroe Doctrine, and get out of the rest of the world and focus on important things. So if you are an ex, you’ve probably seen there’s a lot of talk about gold audit. And one of the reasons for that is because of all the speculation surrounding the fact that the Bank of England is basically in a technical default.

And why is that? Well, because they can’t pay their clients or customers the gold. Usually, if you get gold from the Bank of England, spot gold, it takes one to two days or three days to get the gold. Now it can be up.

I think it’s 70 days, which is more than two months. Well, they basically shut down. They closed their doors.

And we’ve seen as well that a lot of the physical gold has been going to the U.S. And I’ve just seen as well this morning that Harrell’s, Argos Harrell’s, one of the biggest refiners of gold, gold bars. They’ve come out and said that. Let me have a look here at the headline.

Yeah, breaking world’s largest provider of precious metals, Argos Harrell’s, to spend sales of minted 50 and 100 gram bars. So you can bet the people at the Bank of England or the bullion banks that work with the Bank of England through the LBMA are scouring the planet for physical gold. And it’s probably one of the reasons why there’s so much speculation that the U.S., who professes to have 8,133 metric tons of gold in various depositories like Fort Knox, I think West Point, maybe even Denver.

I’m not sure. I don’t think the Treasury keeps any gold at the New York Fed. Yeah, people are saying unless the gold is there and foreigners, foreign investors and sovereign nations are going to sit down with the Americans to have a revaluation of the gold.

They need to know that the gold is there. And so what does that mean? I said earlier, we’re going to talk about what it means to do an audit and a revaluation. And about the audit, I think it was Zero Hedge who wrote an article about it and they posted on X to Elon Musk.

And Elon Musk saw that and he said, oh, I thought they did that every month. No, Elon, they haven’t done it for maybe 70 years. Being kind, maybe 50.

And then even Rand Paul, Senator Rand Paul, saw it and he said we must have an audit. Of course, there are a lot of people who are going to say, yeah, they’ll do an audit, but it’s not real. Maybe so.

But I think along with the talk of revaluation, the statutory price that the U.S. government sets for gold. Well, right now, believe it or not, it’s only $42.22. And that was set in 1972. So the price went from $35 up until August 15th, 1971, when Nixon closed the gold window.

And then they raised it to $38, which is about 10 percent. And then they raised it again to $42.22. But they’ve stopped it. They’ve stopped at that level for over 50 years.

And it sounds weird, doesn’t it? That it’s only valued at $42.22. And I think if they revalue that along with an audit, what it will mean is that gold, while the U.S. Treasury and the U.S. government and the Fed, they’re admitting that the fiat dollar is toast. And that gold is back as the monetary asset par excellence. I think that’s what President De Gaulle said in one of his speeches, I think in 1965.

He said it’s a Yeah, he said gold is like a standard of excellence throughout the world. It was universal. And I think that’s what it means.

In terms of the price, I don’t think you should be concerned with that, because unfortunately, the fiat currencies that we use and hold and save sometimes, they’re going to become worth a lot less in terms of gold everywhere around the world and silver for that matter. Well, because if we do see the audit and the revaluation, what it means is it will reliquify all the governments of the world. They will become more solvent.

They will have a much better fiscal situation. Yeah, and that is good. Of course, that means that they have to tax you less.

And that means that things could improve. The other side of the coin, though, is that they might start the inflating the bubble once again, which is a bad thing. But that’s a different story.

So that’s what I think it means. I think a few years ago, and I’ve had him, I think once, maybe twice on my channel, Jim Rickards. Someone asked him about that $42.22 cent price, statutory price.

And he said the reason why they leave it like that is because if they ever talked about it or even talked about it, it would be an admission that the dollar, the paper dollar, fiat dollar, or petrodollar has failed. So that’s, in my opinion, the way you have to look at this. So I think the foreign minister of Germany, I think Alex from the Durand calls her Annalena 360, because she said something about getting Russia to change its policy 360 degrees in relationship to the Ukraine.

I guess if you change it 360, you’re still at the same policy. She meant 180. So I’m not going to make that mistake.

I think what’s happening to gold right now is 180 a shift in the way we look at gold. And I predict that before the end of 2025, even the FT, who, well, 21 years ago said that gold was finished. And we’ve looked at this many times.

It’s one of my favorite topics. They’re going to have to turn around and admit they were wrong. So let’s quickly look at where we are in the markets this morning.

It’s 825 a.m. London time. So, yeah, we had the drubbing of the smash of the gold and silver price on Friday. I’m not concerned.

I spoke about that with Clive and Francis Hunt. We had a really nice live stream. So a lot of you asked for it for Francis to come on.

And he did. So have a look at that live stream if you haven’t yet. So gold is at exactly 2900.

It’s up 17 bucks. High has been 05 and the low has been 2873. Silver is only up 13 cents at 3225.

So it’s underperforming gold a little bit. The stock market actually is pretty steady. The Dow futures is unchanged.

NASDAQ 100 futures up a quarter of a percent. S&P is up about an eighth. In terms of the currencies, everything’s fairly quiet here.

Let’s have a look at some other commodities. Well, WTI crude, that’s up half a percent around 71. High grade copper has come off a little bit.

It’s at 469 down 0.4 of a percent. And with that, I’m going to wish you all a great start to the week. Take care.