Fort Knox, the U.S. official gold storage facility, claims to have a little over 147 million ounces. That amounts, in today’s gold value, to about $300 Billion. Our debt is $35 Trillion officially (likely much more! That means that the U.S. has less than 1% backing of its currency, the dollar!

Therefore, to have full backing, it would require revaluing gold to more than 100 X’s its current value which would bring it up to over $200,000 per ounce! For a little historic perspective, in 1919, the Weimar Republic of Germany had a price of 170 Marks per ounce of gold. As a result of hyper inflation, by 1923, it took 87 trillion marks to buy an ounce of gold.

With that in mind, $200,000 per ounce does not seem unfathomable. If, America were to have 50% backing, which in this writer’s opinion would be minimal to restore some integrity to the dollar, then that would mean more than $100,000 an ounce gold. Silver has a 16 to 1 historical ratio to gold, which means that silver should be more than $6,000 per ounce. Will the U.S. government revalue gold in order to save the dollar and the American economy?

Keep in mind that the “official” U.S. debt does not reflect the whole story. Our “official” debt may be acknowledged at $35 Trillion, but if you add in all of the “off budget” debt such as Social Security, Medicare, Medicaid, Welfare, SNAP, FDIC etc. etc., then the estimated gross debt “unofficially” is around $300 Trillion. That could lead to more than $2,000,000 an ounce gold and more than $120,000 an ounce silver. Also, keep in mind that silver is an industrial metal (which is consumed) used for solar panels, water filtration, and many other applications, and the above ground supply is insufficient at this moment. Just a little food for thought!

FDIC says 63 troubled banks ready to fail HERE!

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