US Mint DROPS The Cost of Gold And Platinum Coins

Cryptogon has a lead article about the Perth Mint Suspending Gold Sales.

As proof of this highly manipulated market, I saw this yesterday on Cryptome: US Mint Drops Cost of Gold and Platinum Coins:

DEPARTMENT OF THE TREASURY

United States Mint

Notification of Price Decreases for American Eagle Gold and Platinum Coins, American Buffalo Gold Coins, and First Spouse Gold Coins

SUMMARY: The United States Mint is adjusting prices for its American Eagle Gold and Platinum Coins, American Buffalo Gold Coins, and First Spouse Gold Coins.

Pursuant to the authority that 31 U.S.C. 5111(a) and 5112(k) grant the Secretary of the Treasury to mint and issue gold and platinum coins, and to prepare and distribute numismatic items, the United States Mint mints and issues 2008 American Eagle Gold and Platinum Coins, American Buffalo Gold Coins, and First Spouse Gold Coins. In accordance with 31 U.S.C. 9701(b)(2)(B), the United States Mint is changing the price of these coins to reflect decreases in the market price of gold and platinum.

Just goes to show, don’t believe everything you read. I’m still waiting for my silver to simply equal the value I paid for it. I’ll probably keep it to show my kids someday that people actually collected this stuff.

admin

admin at survivalacres dot com

8 thoughts on “US Mint DROPS The Cost of Gold And Platinum Coins

  • November 22, 2008 at 7:02 am
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    There is little doubt that metals markets are manipulated. Heck, is there any doubt that all markets are manipulated to benefit the owners ahead of the gamblers? Changing the word ORDERS in the referenced source articles to SALES in this post’s first line has not bolstered your claim of proof however. Maybe there is no difference between orders and sales, that’s not my point. I am not delusional enough to think that even if actual proof of manipulation existed it would make any difference in the operation of any market.
    The unique viewpoint and realistic, logical challenge of the status quo in all areas is what makes this blog my personal #1 online resource in breaking through my own version of consensus reality. Thank you, always. Still, I do find your particular disdain for gold/silver to be curious. That markets are manipulated and that you made a play that has yet to pay off does not diminish the potential usefulness of these tools for some people in navigating a collapse of unpredictable timeline and nature. To claim that PM’s are fundamentally less useful than more ammo or a 5th year of stored food cannot be proven.

  • November 22, 2008 at 8:43 am
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    I think it’s pretty clear that food and ammo are fundamentally more useful. 🙂

    Food is necessary for survival, and ammo can be used to procure food. And both of them are useful regardless of what other people think, so you’re not dependent on others.

    Precious metals depend on other people agreeing that they have value, and what their values are, so they are useful only in social contexts, and only to the degree that they can be traded for things that are actually necessary for survival.

    And they’re really expensive! (Even now with the metals market crashing.) You can buy a LOT of food (ie, life) for the price of one silver bar…

  • November 22, 2008 at 9:01 am
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    I do agree adam. But is MORE food or MORE ammo, more useful in a refugee situation than PM’s? How far can you carry 10K worth of ammo or food? This is just one example of a variety of scenarios where PM’s MIGHT be more useful. One tool does not make a good carpenter, a box of many tools does.

  • November 22, 2008 at 12:27 pm
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    I don’t buy into the idea that anybody is going to be carrying anything (to speak of). Most people will stay where there is food, water, shelter, services, medicine, protection and support.

    If you have done these things for yourself, you won’t be moving either.

    Those that have not done these things for themselves, will relocate as they have to, but not with much in their hands. What do you suppose they will be carrying? Will it be gold, food or weapons? Or all three?

    In this situation, when they arrive at your door, are you really going to start trading your food for their gold? Why would you do that? Better to put them to work in your fields growing more food.

    There are other investments which I rarely mention that are still far better then gold or silver. Imagine what a spare house will mean to someone in the future. Or a large garden plot. Or seed storage. Or a water supply. Or fuel supply (even wood). There are tons of things that are going to be more valuable then gold. Medicine especially. Alcohol. Even warm clothing and shoes.

    I just built a warehouse and am now building a huge loft inside. I won’t be filling this with gold, it’s not a stable market and I can’t guarantee that it will even be worth what I’d have to pay. But I can easily solve this by ‘investing’ in the things I and others actually need. Durable items and goods that will last and take somebody through powerdown and collapse. Or just stuff people need as things get worse in this country.

    Finally, to address your comment specifically, how valuable is a $1 bullet in a $1,000,000 dollar situation? What is your life actually worth? Or somebody you care about?

    Gold and silver might be useful, I definitely do agree with this. The Argentina collapse demonstrated this, but this example must be put into its proper context. The rest of the world was still functioning and the exchange of wealth was still going on. This was a regional collapse.

    Money, in any form, is simply the exchange of human labor. Money represents human labor, and the natural resources that human labor can produce or extract.

    If we really do fall into a refugee situation, what human labor do we really need? More gold? More silver? Or how about human hands growing food? Or providing security? Or fixing us up (doctoring)?

    Would the refugee that comes to your door with a bag of gold be willing to work in your fields? He’d rather change his bag for your food, and then when it’s gone (as it will be), he will only then work.

    Moreover, why would you even take his gold in the first place? You don’t need the gold, you need the food, or the helping hands to do what needs to be done to secure your position, your life, your future and his also. His bag of gold could be used for sinkers for fishing.

    Money is only valuable when there is the exchange of goods. But in a shortage of goods, the goods become the valuable commodity.

    If the collapse is very slow and totters along, money will still be the main commodity of exchange for human labor (goods). But if the collapse is deep, then goods become the real exchange for human labor, and we must remember, these goods are actually irreplaceable. Where are you actually going to even find some of this stuff when the collapse is in full-force?

    The man sitting on a pile of usable, desirable and necessary goods will be the one who is in position to dictate the terms of exchange, not the one sitting on a bag of metal that cannot be eaten and cannot even be determined it’s real price.

    This is why the elite control all the worlds resources. They could easily own all the physical gold if they wanted to, they certainly have the means to simply buy it all, buy all the mines and take full physical possession of it all.

    But they don’t. Why? Because it’s just metal. It’s not what people need. Instead, they buy up the lands, the forest, the other mines and the food production. And the water too, and power generation, and oil wells and factories and plants and on and on and on. They already own what people need and thereby, can control everything else to their liking.

    The solution for the individual is to break this dependency barrier as much as possible and invest in the things he or she needs.

  • November 22, 2008 at 3:23 pm
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    Very well considered and well argued Admin.
    Thank you.
    Between where we are now and the presumptive scenario basis for your reply exist a vast number of potential scenarios where PM’s could be useful in ensuring ones financial and physical survival. Granted that PM’s represent a gamble, one where all the forces at work may not be obvious, caution is warranted. Filling a warehouse with useful tangibles right now also is a gamble. With deflationary forces at play, those goods may well cost less 1 year from now. China may flood the US with it’s overproduction at even less of it’s true cost of production than they do today. The system may also totter along destructively for a long enough period that those goods would have to be sold at a loss in order to pay property taxes or other cash living expenses. Sittin down at the flea market with a container load of plastic gas cans( a potentially good opportunity) would be a drag. I do think a failure of your gamble is unlikely, but the possibility exists. Gold also will not burn, like warehouse’s of tangibles often do.
    Aren’t we all making bets based on our expectations of what collapse will bring to our lives and in what time frame? I agree that PM’s would be one of the last places to invest accumulated wealth, but also recognize their potential usefulness depending on one’s unique situation. The position and again, particular disdain, shown on this blog towards PM’s seems imbalanced to me. It is your blog though.
    Thanks.

  • November 22, 2008 at 3:59 pm
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    After reading cogent arguments from both of you, rhino and admin, I’ll comment that if any PM, particularly gold, came my way, in a barter situation, I’d jump on it. But I’ll not go out looking for it.

    Even though one might be forced to relocate suddenly, abandoning stored food, water, etc., they are still there, especially if well hidden, and there’s the possibility, however remote, of being able to eventually return.

  • November 22, 2008 at 4:32 pm
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    Please allow me to retract any snarky tone in my last sentence above. Admin has only my greatest respect for the work he has done on this blog.

    While observing the common response of the newly collapse aware to BUY GOLD! as if it were some significant protection, I appreciate any effort to destroy that myth.

  • November 23, 2008 at 10:15 am
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    Gold has been used for money as soon as people stopped becoming hunter/gatherers. Be that as it may, the use of all money, be it paper or metal, will eventually disappear. But in the meantime, if you had all your eggs in the stock market, you would only have 3 of the dozen eggs you started with. If you were like most people and were expecting the equity of your house to pay for your retirement, well, here in Ca., your house is worth half of what it was last year. But if you had some physical gold, say from even 2 years ago, you would still be sitting fairly ok. Even though the paper price of gold today is only a bit over $800 an ounce, try finding some physical gold for that much. Now here is the deal. If you don’t stay on top of things everyday, and turn your gold into durable goods in time, all you will be left with is very heavy ammo, for those who do their own reloading. I believe that we will go from a deflationary period to a hyper-inflationary period very rapidly, and that will be the deathnell of the worldwide economy and the beginning of a sudden and worldwide collapse. I could be totally wrong, but then again.

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