$40,000 Gold: The Final Reset Has Already Begun

Summary

The potential revaluation of gold to $40,000 an ounce is becoming a serious consideration amidst growing global financial and geopolitical instability. As the US faces de-industrialization and debt crises, the idea of monetizing gold to inject liquidity without adding debt is gaining traction. Meanwhile, the BRICS nations are challenging the dominance of the US dollar and paving the way for a new financial order, utilizing gold as a key asset. This could lead to significant economic shifts, as gold reasserts its role as a hedge against chaos and a symbol of financial sovereignty in an increasingly multipolar world.

Takeaways

• 😀 The idea of the US revaluing its gold reserves to $40,000 per ounce is gaining traction as geopolitical tensions rise and the global financial system faces instability.
• 😀 The BRICS nations (Brazil, Russia, India, China, South Africa) are challenging the dominance of the US dollar in global trade and are exploring alternatives, including gold-backed trade systems.
• 😀 The US faces a contradiction: it wants to maintain the dollar’s status as the global reserve currency while devaluing it to revive domestic manufacturing.
• 😀 China benefits from the current global financial system and would prefer to maintain the status quo, while the US is the one destabilizing the petro-dollar system.
• 😀 The US Federal Reserve has quietly published a manual on monetizing gold, indicating that revaluing gold could be a practical policy under consideration.
• 😀 Revaluing US gold reserves from $422 per ounce to $40,000 per ounce would create massive liquidity, potentially injecting up to $10 trillion into the US economy without adding to national debt.
• 😀 Historical precedent shows that a gold revaluation, such as Roosevelt's 1934 gold revaluation, could help the US create money without issuing new debt, though the risks of inflation are significant.
• 😀 A potential revaluation of gold could trigger inflation and a subsequent devaluation of the US dollar, which would affect those holding dollars but benefit gold holders.
• 😀 The idea of 'the great taking before the great reset' suggests that authorities might push the public to sell their gold, only to face inflationary losses once the currency is devalued.
• 😀 Geopolitical tensions, including the US's challenges with Iran, Ukraine, and the BRICS nations, are increasingly tied to control of resources, trade routes, and the global financial system.
• 😀 The global financial system is nearing a reset, and gold is poised to play a central role, as the move to de-dollarization and multipolarity accelerates.

Q & A

What does the idea of the United States revaluing its gold reserves to $40,000 an ounce signify?

It represents a potential shift in the global financial system, where the U.S. may use its gold reserves as a method to inject liquidity into the economy, thereby addressing economic challenges without increasing national debt.

How does the rise of multipolarity affect the U.S. and its financial position?

The rise of multipolarity, driven by countries like the BRICS nations, challenges the U.S. dollar's dominance as the world's reserve currency, threatening the U.S.'s geopolitical and economic influence.

What is the BRICS nations' approach to challenging the U.S. dollar system?

BRICS countries, particularly Russia and China, are working towards creating alternative financial systems, such as pricing gold locally and exploring gold-backed trade mechanisms, aiming to reduce reliance on the dollar.

Why is the U.S. seeking to devalue the dollar despite wanting to maintain its global reserve currency status?

The U.S. wants to revive its domestic manufacturing, which has been rendered uncompetitive by a strong dollar. However, maintaining the dollar's reserve status conflicts with the need to devalue it for manufacturing competitiveness.

What role does gold play in the context of the U.S. monetary strategy?

Gold serves as a potential hedge against financial instability. Revaluing gold could provide the U.S. with a financial lifeline without increasing national debt, as it would inject liquidity into the economy.

How does the Federal Reserve’s recent gold monetization manual tie into the broader economic strategy?

The Federal Reserve’s manual outlines how to monetize gold certificates, signaling that the U.S. may be preparing to implement a policy of revaluing its gold reserves as part of a broader strategy to address economic challenges.

What historical precedent exists for the revaluation of gold by the U.S. government?

In 1934, President Roosevelt revalued gold from $20.67 to $35 per ounce to expand the money supply and stabilize the economy during the Great Depression, a strategy that could be replicated today.

What are the risks associated with a gold revaluation, particularly for gold holders?

The primary risk for gold holders lies in the inflation lag, where the value of gold may skyrocket initially, but selling gold too early could result in holding a devalued currency when inflation hits.

What is the significance of the potential U.S. conflict with Iran in relation to the global financial system?

The U.S. and Israel's efforts to destabilize Iran are seen as part of a larger strategy to disrupt the BRICS alliance, which is challenging U.S. dominance. This geopolitical tension reflects broader struggles for control over financial and resource systems.

What does Simon Hunt predict for the future of the global economy, and how does gold fit into that prediction?

Simon Hunt predicts a major crisis, potentially culminating in a war around 2028, which could reshape the global economy into a more sustainable model. In this environment, gold will be crucial as a store of value and a hedge against uncertainty.