Hard assets become popular when confidence in government declines. However, having a large amount of hard assets does not necessarily mean a country is the most economically powerful. For instance, Russia has the largest reserves of hard assets, approximately 75 trillion. Yet Russian currency is not considered a reserve. Countries with little hard asset reserves do become reserve currencies. Japan, Germany, and others had little gold, but their currencies experienced significant growth after World War 2. It's the people, the production, and the consumer who create a powerful currency, not a hard asset. Otherwise, Russia would have the top reserve currency.
As you mentioned, silver has deep roots in economic history. Silver, at one time, was more valuable than gold. Silver has been used throughout every century. Silver is critical for industry. However, we currently face severe geopolitical issues, and the most significant factor affecting confidence in the currency is war. War destroys economics. Ignore all the talk of peace, it's not going to happen. Silver is not telling us that the US dollar is collapsing, but rather that we will see wars on an international scale starting in 2026.
Compare the GDP of the bricks to that of the US. There is no comparison. Countries like the BRIC countries come to the US, or specifically to New York, to secure financing. They don't go to Canada, Europe, South America, or BRIC countries. They finance in dollars. The reserve status of the US is enormous. No country compares. Now, politics and stupid politicians, along with Neocons, are a different story. Because the Neocons are determined to destroy Russia, they have split the international economy. They see the US government's, or Neocons', treatment of other countries, so they created the BRIC bloc.
are you sure NYC is / will be the same place as you describe?
possibly Mayor Mamdani might have a wack at that Pinata to it take down a notch or two more.... it is already down 3 as of Sept 2025 according to wiki....
see: Global Financial Centres Index
i think these people that have money to "invest" / "bribe" might go elsewhere if they think fishing is better elsewhere.
this next year will be interesting.
now competing against the ability to make money in NYC is the ability to make money in say London, Hong Kong just to mention two others.
how fast can they change with changing political structures around the world?
Yes, this is all part of the capital controls that will be implemented moving forward. The world will freeze up assets. We are moving into a very challenging environment.
I recently watched an older YouTube video by the former finance minster of Greece who was discussing the quiet portfolio readjustments underway at Chase, Citibank and BofA — reducing dollars from 80% to more like 60% over a year ago — in preparation for the Jan 1 2026 Saudi change off of the U.S. Petroleum dollar.
I think the other response to your post suggesting “wheat dollars” is wishful thinking.
The petro dollar conspiracy has been around since the 1980s; several other conspiracies have also failed. That is, the Euro would undermine the dollar; some small countries (BRIC) with less than one-tenth the GDP of the US, combined, would supplant the dollar. Here's a fact that many people often overlook. Every single country in the world wants trade with the US. America is the world's leading consumer. No other country can even come close to the US. Crude petroleum alone accounted for around 5.6% of the total world trade value in 2023. This includes contributions from OPEC, which accounts for only 40% of crude exports, and non-OPEC exporters such as the U.S., Russia, and Canada. This means the petrol dollar trade is only 40 percent of the total world oil trade. The Petro dollar conspiracy started because of a deal where dollars would be used for Saudi oil, in exchange for the US selling weapons to the Saudi kingdom.
The Petrodollar is another attempt to claim that the dollar will be dethroned. They said the same when the US came off the gold standard. These naysayers have consistently been wrong. The dollar's reserve currency status has become even more potent since the removal of that standard. And the petrodollar will follow the same path.
Money is valued not in oil, gold, or real estate. It's valued in confidence. The risk is not the dollar; it is sovereign debt. We will likely see multiple sovereign defaults in the coming years, and when that happens, just as in times of war, money will move to the safest locations. That location is the US. I'm not saying you're safe in the US. I'm suggesting that the US will be the last to fail.
In summary, the Petrodollar scam has been in existence for a considerable time. It's a conspiracy that will follow the gold standard conspiracy. It will fail. The US dollar will be the last currency to fall. We are facing a global sovereign debt crisis. Countries like the EU, South America, Australia, and Japan are in serious trouble. Once the public senses the crisis, money will move to the US and the dollar. Seventy percent of physical dollars are held outside the US because the US has never defaulted on or canceled its currency.
Let's forget about this forty-year-old conspiracy that has consistently been proven wrong. Start watching debt, particularly in the EU. I believe this is where the first major cracks will appear.
I appreciate your thoughtful reply [it’s a “confidence” issue, though some might rather say “game”] and agree with it on the whole, esp regarding the EU. To the sovereign debt problem I would add: high energy costs; de-industrialization; irreversible fertility decline; brain drain; political polarization. I do wonder if the “conspiracy” that currency collapse will usher in CBDCs will prove to be true despite widespread public opposition. Even our own govt continues to move in this direction as far as I tell.
The EU will roll out digital money in the coming months. I mean, we've had digital money for a long time, really. Credit cards, EFTs, etc. This time, digital money will be controlled by the government. We can already see the Orwellian nature of the EU and UK. They'll use the money to influence the public, as I'm sure you are already aware.
The US will face a challenging time implementing any type of CBDC. As I mentioned, 70 percent of US cash is held in foreign hands in every country.
European leadership wants a war with Russia. Ukraine gets all its orders from Europe and NATO. Notice how the new peace plan is progressing, and then a drone swarm attacks Putin's house. Once war starts, capital controls are implemented, and one will never be able to withdraw assets from Europe. If you're in Europe, I suggest withdrawing some cash and getting it into the US. Or at least convert the cash to dollars.
Coincidentally, John Leake, my wife enjoyed receiving silver for a Christmas gift... especially since the price went up suddenly again after she received it.
What may precipitate financial collapse in London, Frankfurt and Paris is the breakout of the price of silver, which has been suppressed by manipulation since 1981, after the Hunt brothers cornered the silver futures market on margin in 1980 and ran the price up to $50/oz, before margin raises broke their positions.
All of that manipulation was through "paper markets" of silver futures on margin/leverage. Now, there is a regime change to the control of silver price by industrial buyers and nation-states with deep pockets who need the physical silver and are not playing financial-manipulation games.
All western banks suppressed the price of silver since 1981, but mostly American banks, which have been gradually retiring their short positions for most of the year and are now a little net-long, so they do well if silver price rises, as do Russia and China, but not Europe.
Europe is $16 billion net short on silver, and will have to deliver, but there is not enough silver to deliver on those positions, so the holders of those shorts are about to default, and drive the price of physical silver higher, while ruining their own reputations.
They will somehow have to pay out in euros after a bailout... Who needs euros?
John Day MD - THANK YOU VERY MUCH for sharing this information and insights!
Our Son came home ill this evening. We are on Christmas break so out of our normal HEALTHIER eating/sleeping routine plus cold/flu season. PRAYING he is better tomorrow so I can share this info with him!
He is VERY interested in learning about investments and particularly precious metals right now. He has been buying silver with money he earns and now received for Christmas.
His dad and I are CLUELESS about investing in precious metals but I am trying to learn in order to help guide him.
You are welcome, Sister. As I said, silver dimes and quarters, "junk silver" is the term used, sold for 56x face value today in Dallas. My son and his wife bought $3,000 worth of silver dimes and quarters at that price, which was slightly under the $79/oz spot price of the silver they contained.
I don't know if he could find sterling silver dining urtensils serving trays and things like that, but there are online-calculators for sterling silver "melt value", which is about 92.5% silver content in most (not all) cases.
It would take him some more careful figuring and checking to get into that business... I figure sterling silver is worth about $900 per pound at current silver price of $79.oz, which accounts for having to melt it down and pass it through dealers, and so on.
I calculated that out of interest today. Real world could be 8% above or below that, it seems.
Our Son started feeling better quickly so he read all of the information and insights that you SO generously provided. He found it VERY helpful and GREATLY appreciates your guidance!
The silver price rose 10% the other day and 20% in the last 2 weeks. The majority of buyers are demanding delivery of the actual silver since it has been sold over and over again on paper. We may be seeing the crash of the silver derivative market just like the crash of derivatives in previous financial crisis's. Remember, the financial system is tightly connected. The crash of one can have a domino effect on all the others.
Many say the price of silver has been controlled /kept repressed for decades by the too big to fail banks who have massive short positions. Their 'shorts' just imploded with the current rise in prices so they turned to the FED repo market to bail them out. A $17 billion bailout happened on Dec. 26th. So the Fed is going to be printing lots of money again, leading to hyperinflation.
The rest of the world is getting rid of the dollar (de-dollarization) and Treasury bonds and going into the BRICS system. The BRICS system is currently in test mode and may be operational very soon. They will use gold as part of their formula for international settlements. This will eliminate the other countries need to own dollars to do international trade.
Many central banks are buying lots of gold as well as silver and putting it in their vaults. The US financial system has become too risky after the confiscation of the Russian assets as well as the size of our debt and the need to continually borrow just to function.
Silver has just been declared a strategic mineral by the US gov't and China has put export controls on it after Jan. 1. The world uses more silver each year than is mined and it can't be recycled from the missiles, solar panels, EV and electronics that heavily depend on it.
Ed Dowd called the 10% rise in the price of silver in one day a 4 to 5 sigma event. That's like getting struck by lightening.
It could be a bumpy ride for the next few years for the fiat dollar and the US economy.
The 10% rise in silver in one day may be a 4-5 sigma event based on historical data, but may become much more common in the next several months. The silver price is being rediscovered based on economic reality.
"Junk" silver coins were selling for 56 X face value today, so a dime costs $5.60, and a silver dollar is worth $56, but more by Monday. The shorts don't have silver to deliver, and cannot buy it, so they will have to settle in Euros, at a price higher than $79/oz, which it closed at yesterday. AI bubble will pop. Bitcoin is already a $13,000 loss per Bitcoin mined, so why mine it? No miners = no Bitcoin existence. POOF!
Silver and gold bubbles just become regular money when they get big enough.
Martin Armstrong, who has insight into trading currencies, has consistently argued against the "hard asset replacement of the dollar" arguments. Here's a Grok4 summary of his views, based on my prompt asking if Armstrong Economics forecasts replacement of the dollar by hard assets in U.S. and global transactions:
No, Armstrong Economics (Martin Armstrong and his Socrates forecasting platform) does not forecast the replacement of the US dollar by hard assets (such as gold, commodities, or other tangible assets) in US or global financial transactions.
Armstrong consistently argues against a return to a gold standard or any hard asset-backed system for currencies. He views such ideas as misguided, stating that precious metals are useful for personal wealth preservation during crises but have never prevented economic collapses and are not a viable solution for monetary systems. He criticizes gold-backed currency proposals (e.g., from BRICS) and calls the gold standard "garbage."
Instead, his forecasts emphasize:
* The dollar remaining the dominant reserve currency well into the future, with meaningful de-dollarization "nonsense" until at least after 2032.
* A strong dollar rally in the near term (into 2025 and beyond), driven by global capital flows, sovereign debt crises (especially in Europe), and geopolitical tensions.
* Potential long-term risks to the dollar from excessive deficits or loss of confidence, but these lead to inflation or crises within the fiat system, not a shift to hard assets replacing the dollar in transactions.
* In crises, tangible assets like gold may rise alongside the dollar and US stocks as safe havens, but this is portfolio diversification, not a systemic replacement of the dollar.
Armstrong dismisses perpetual predictions of dollar collapse (common since the 1970s) as based on outdated mercantilist theories requiring commodity backing, which he argues history disproves. He sees alternatives like CBDCs or IMF digital currencies as more likely threats, but not hard assets taking over transactions.
Sounds like Armstrong is a MMF disciple. I don’t care what I hold in my hand when I make a purchase - whether it’s my phone, a plastic card, a paper note or a gold coin. That by itself is irrelevant. What I do care about is the soundness of my money, for me and for my grandchildren. Gold and Silver were valuable in the US monetary system because they kept the system honest, they prevented the bacchanalian looting of the US Treasury via the printing of trillions of USDs(most of it in the past 10 years!) out of thin air, with nothing behind the new money other than a keystroke. No collateral, no savings, nothing. This is the wildly irresponsible problem that is going to bring the whole system down and which the powers that be are trying desperately to avoid with some kind of digital magic(which will certainly leave many holding the digital bag). This is the “you’ll own nothing and be happy” vision. The problem gets solved by the Great Reset, which financially looks like a global scale bail-in, what David Webb warned us about in The Great Taking. Armstrong is correct in noting that physical metal currencies probably won’t be back, that is if the globalists have their way. Time will tell.
The silver standard will not return because there is too much industrial demand for silver to permit that to happen. The consequence of any attempt to do so is industrial demand draining the money supply as happened in the past.
and I believe that the following are true:
(1) the US continued to mint silver coins up until 1965, and issued redeemable silver certificates until 1964. These certifcates remained redeemable until 1968.
(2) Nixon removed gold backing in 1971 - there was no silver backing at that time.
John, if you have not read Cathy O'Brien's book Transformation of America yet, please do. Jimmy Buffet is not one to be celebrated. Get her book from her website or from the Amazon link on her site. There are fake, altered copies of her book circulating.
Way too many people are asleep to this, and, what's about to happen. They are living in a fools paradise if they think things are going to continue like they are. The 'crooks'(Govs), 'deep state' etc, have for a long time now, known what's about to happen, and are just lying through 'their' teeth to the voting people of the Countries they are supposed to be 'running', and i use that term loosely. How many people out there know that the 'banks' have, or, are about to, dump your Super, and then apparently, it ends up in the hands of the 'taxation' Dept, a bit like giving a kid a jar of lollies with out a lid. Kiss your 'Super' good bye if that happens, nothing surer.
A dollar is NOT a physical thing. None of your senses can detect a "dollar". It is a unit of weight measurement. When this country established its monetary system the dollar was set at 374 and 4/16 grains of pure silver. The big mistake was using a bogus weight system.
I also got to see the “Auld Mug” up close when Dennis Conner stopped by the Manhattan Yacht Club some years back. Oracle-BMW’s comeback in 2013 was the most impressive sporting achievement in my lifetime.
Happy that my silver coins have tripled in value but kicking myself for selling the ETF too soon!
Hard assets become popular when confidence in government declines. However, having a large amount of hard assets does not necessarily mean a country is the most economically powerful. For instance, Russia has the largest reserves of hard assets, approximately 75 trillion. Yet Russian currency is not considered a reserve. Countries with little hard asset reserves do become reserve currencies. Japan, Germany, and others had little gold, but their currencies experienced significant growth after World War 2. It's the people, the production, and the consumer who create a powerful currency, not a hard asset. Otherwise, Russia would have the top reserve currency.
As you mentioned, silver has deep roots in economic history. Silver, at one time, was more valuable than gold. Silver has been used throughout every century. Silver is critical for industry. However, we currently face severe geopolitical issues, and the most significant factor affecting confidence in the currency is war. War destroys economics. Ignore all the talk of peace, it's not going to happen. Silver is not telling us that the US dollar is collapsing, but rather that we will see wars on an international scale starting in 2026.
that is what makes the brics money so intriguing....
they have a population. they have some production.
and they have energy.... which is needed in heavy manufacturing.
and nitrogen fertilizer....
Compare the GDP of the bricks to that of the US. There is no comparison. Countries like the BRIC countries come to the US, or specifically to New York, to secure financing. They don't go to Canada, Europe, South America, or BRIC countries. They finance in dollars. The reserve status of the US is enormous. No country compares. Now, politics and stupid politicians, along with Neocons, are a different story. Because the Neocons are determined to destroy Russia, they have split the international economy. They see the US government's, or Neocons', treatment of other countries, so they created the BRIC bloc.
are you sure NYC is / will be the same place as you describe?
possibly Mayor Mamdani might have a wack at that Pinata to it take down a notch or two more.... it is already down 3 as of Sept 2025 according to wiki....
see: Global Financial Centres Index
i think these people that have money to "invest" / "bribe" might go elsewhere if they think fishing is better elsewhere.
this next year will be interesting.
now competing against the ability to make money in NYC is the ability to make money in say London, Hong Kong just to mention two others.
how fast can they change with changing political structures around the world?
I can tell you that Wall Street is moving to Miami. Yeah, NY is toast. However, for now, the money centers remain.
Dec 29 2025 China blocked any and all physical silver leaving China.
China supplies 70-90 % of all USA industrial physical silver.
We are about to get blocked from any future advancements in Tech.
Because everything involves silver as the best electric transfer for voltage.
The worst part is the possible start of a war with China for obtaining the metal resource
We are about to enter the new world of political Chaos we have been warned about.
Yes, this is all part of the capital controls that will be implemented moving forward. The world will freeze up assets. We are moving into a very challenging environment.
The US dollar is a reserve currency due to oil, but that will change soon.
I recently watched an older YouTube video by the former finance minster of Greece who was discussing the quiet portfolio readjustments underway at Chase, Citibank and BofA — reducing dollars from 80% to more like 60% over a year ago — in preparation for the Jan 1 2026 Saudi change off of the U.S. Petroleum dollar.
I think the other response to your post suggesting “wheat dollars” is wishful thinking.
The petro dollar conspiracy has been around since the 1980s; several other conspiracies have also failed. That is, the Euro would undermine the dollar; some small countries (BRIC) with less than one-tenth the GDP of the US, combined, would supplant the dollar. Here's a fact that many people often overlook. Every single country in the world wants trade with the US. America is the world's leading consumer. No other country can even come close to the US. Crude petroleum alone accounted for around 5.6% of the total world trade value in 2023. This includes contributions from OPEC, which accounts for only 40% of crude exports, and non-OPEC exporters such as the U.S., Russia, and Canada. This means the petrol dollar trade is only 40 percent of the total world oil trade. The Petro dollar conspiracy started because of a deal where dollars would be used for Saudi oil, in exchange for the US selling weapons to the Saudi kingdom.
The Petrodollar is another attempt to claim that the dollar will be dethroned. They said the same when the US came off the gold standard. These naysayers have consistently been wrong. The dollar's reserve currency status has become even more potent since the removal of that standard. And the petrodollar will follow the same path.
Money is valued not in oil, gold, or real estate. It's valued in confidence. The risk is not the dollar; it is sovereign debt. We will likely see multiple sovereign defaults in the coming years, and when that happens, just as in times of war, money will move to the safest locations. That location is the US. I'm not saying you're safe in the US. I'm suggesting that the US will be the last to fail.
In summary, the Petrodollar scam has been in existence for a considerable time. It's a conspiracy that will follow the gold standard conspiracy. It will fail. The US dollar will be the last currency to fall. We are facing a global sovereign debt crisis. Countries like the EU, South America, Australia, and Japan are in serious trouble. Once the public senses the crisis, money will move to the US and the dollar. Seventy percent of physical dollars are held outside the US because the US has never defaulted on or canceled its currency.
Let's forget about this forty-year-old conspiracy that has consistently been proven wrong. Start watching debt, particularly in the EU. I believe this is where the first major cracks will appear.
I appreciate your thoughtful reply [it’s a “confidence” issue, though some might rather say “game”] and agree with it on the whole, esp regarding the EU. To the sovereign debt problem I would add: high energy costs; de-industrialization; irreversible fertility decline; brain drain; political polarization. I do wonder if the “conspiracy” that currency collapse will usher in CBDCs will prove to be true despite widespread public opposition. Even our own govt continues to move in this direction as far as I tell.
The EU will roll out digital money in the coming months. I mean, we've had digital money for a long time, really. Credit cards, EFTs, etc. This time, digital money will be controlled by the government. We can already see the Orwellian nature of the EU and UK. They'll use the money to influence the public, as I'm sure you are already aware.
The US will face a challenging time implementing any type of CBDC. As I mentioned, 70 percent of US cash is held in foreign hands in every country.
European leadership wants a war with Russia. Ukraine gets all its orders from Europe and NATO. Notice how the new peace plan is progressing, and then a drone swarm attacks Putin's house. Once war starts, capital controls are implemented, and one will never be able to withdraw assets from Europe. If you're in Europe, I suggest withdrawing some cash and getting it into the US. Or at least convert the cash to dollars.
Petrodollar is pure sophistry. Wheat is also priced in dollars. Perhaps we should call dollars wheat dollars.
Coincidentally, John Leake, my wife enjoyed receiving silver for a Christmas gift... especially since the price went up suddenly again after she received it.
Our teen Son has been learning about investing in precious metals including silver so I found this interesting and enlightening! Will share with him.
It's late, already... I'll get a post out tomorrow. Buy old silver dimes and quarters early Monday morning and hang on for the ride.
John Day MD - APPRECIATE the tip!
What may precipitate financial collapse in London, Frankfurt and Paris is the breakout of the price of silver, which has been suppressed by manipulation since 1981, after the Hunt brothers cornered the silver futures market on margin in 1980 and ran the price up to $50/oz, before margin raises broke their positions.
All of that manipulation was through "paper markets" of silver futures on margin/leverage. Now, there is a regime change to the control of silver price by industrial buyers and nation-states with deep pockets who need the physical silver and are not playing financial-manipulation games.
All western banks suppressed the price of silver since 1981, but mostly American banks, which have been gradually retiring their short positions for most of the year and are now a little net-long, so they do well if silver price rises, as do Russia and China, but not Europe.
Europe is $16 billion net short on silver, and will have to deliver, but there is not enough silver to deliver on those positions, so the holders of those shorts are about to default, and drive the price of physical silver higher, while ruining their own reputations.
They will somehow have to pay out in euros after a bailout... Who needs euros?
John Day MD - THANK YOU VERY MUCH for sharing this information and insights!
Our Son came home ill this evening. We are on Christmas break so out of our normal HEALTHIER eating/sleeping routine plus cold/flu season. PRAYING he is better tomorrow so I can share this info with him!
He is VERY interested in learning about investments and particularly precious metals right now. He has been buying silver with money he earns and now received for Christmas.
His dad and I are CLUELESS about investing in precious metals but I am trying to learn in order to help guide him.
THANK YOU SO MUCH!
You are welcome, Sister. As I said, silver dimes and quarters, "junk silver" is the term used, sold for 56x face value today in Dallas. My son and his wife bought $3,000 worth of silver dimes and quarters at that price, which was slightly under the $79/oz spot price of the silver they contained.
I don't know if he could find sterling silver dining urtensils serving trays and things like that, but there are online-calculators for sterling silver "melt value", which is about 92.5% silver content in most (not all) cases.
It would take him some more careful figuring and checking to get into that business... I figure sterling silver is worth about $900 per pound at current silver price of $79.oz, which accounts for having to melt it down and pass it through dealers, and so on.
I calculated that out of interest today. Real world could be 8% above or below that, it seems.
John Day MD
Dear Brother in Christ,
Our Son started feeling better quickly so he read all of the information and insights that you SO generously provided. He found it VERY helpful and GREATLY appreciates your guidance!
More EXCELLENT insights...GREATLY appreciated! 🙏😊
The silver price rose 10% the other day and 20% in the last 2 weeks. The majority of buyers are demanding delivery of the actual silver since it has been sold over and over again on paper. We may be seeing the crash of the silver derivative market just like the crash of derivatives in previous financial crisis's. Remember, the financial system is tightly connected. The crash of one can have a domino effect on all the others.
Many say the price of silver has been controlled /kept repressed for decades by the too big to fail banks who have massive short positions. Their 'shorts' just imploded with the current rise in prices so they turned to the FED repo market to bail them out. A $17 billion bailout happened on Dec. 26th. So the Fed is going to be printing lots of money again, leading to hyperinflation.
The rest of the world is getting rid of the dollar (de-dollarization) and Treasury bonds and going into the BRICS system. The BRICS system is currently in test mode and may be operational very soon. They will use gold as part of their formula for international settlements. This will eliminate the other countries need to own dollars to do international trade.
Many central banks are buying lots of gold as well as silver and putting it in their vaults. The US financial system has become too risky after the confiscation of the Russian assets as well as the size of our debt and the need to continually borrow just to function.
Silver has just been declared a strategic mineral by the US gov't and China has put export controls on it after Jan. 1. The world uses more silver each year than is mined and it can't be recycled from the missiles, solar panels, EV and electronics that heavily depend on it.
Ed Dowd called the 10% rise in the price of silver in one day a 4 to 5 sigma event. That's like getting struck by lightening.
It could be a bumpy ride for the next few years for the fiat dollar and the US economy.
The 10% rise in silver in one day may be a 4-5 sigma event based on historical data, but may become much more common in the next several months. The silver price is being rediscovered based on economic reality.
Gold and silver are actual money and an excellent hedge against stupid government economic action.
"Junk" silver coins were selling for 56 X face value today, so a dime costs $5.60, and a silver dollar is worth $56, but more by Monday. The shorts don't have silver to deliver, and cannot buy it, so they will have to settle in Euros, at a price higher than $79/oz, which it closed at yesterday. AI bubble will pop. Bitcoin is already a $13,000 loss per Bitcoin mined, so why mine it? No miners = no Bitcoin existence. POOF!
Silver and gold bubbles just become regular money when they get big enough.
Martin Armstrong, who has insight into trading currencies, has consistently argued against the "hard asset replacement of the dollar" arguments. Here's a Grok4 summary of his views, based on my prompt asking if Armstrong Economics forecasts replacement of the dollar by hard assets in U.S. and global transactions:
No, Armstrong Economics (Martin Armstrong and his Socrates forecasting platform) does not forecast the replacement of the US dollar by hard assets (such as gold, commodities, or other tangible assets) in US or global financial transactions.
Armstrong consistently argues against a return to a gold standard or any hard asset-backed system for currencies. He views such ideas as misguided, stating that precious metals are useful for personal wealth preservation during crises but have never prevented economic collapses and are not a viable solution for monetary systems. He criticizes gold-backed currency proposals (e.g., from BRICS) and calls the gold standard "garbage."
Instead, his forecasts emphasize:
* The dollar remaining the dominant reserve currency well into the future, with meaningful de-dollarization "nonsense" until at least after 2032.
* A strong dollar rally in the near term (into 2025 and beyond), driven by global capital flows, sovereign debt crises (especially in Europe), and geopolitical tensions.
* Potential long-term risks to the dollar from excessive deficits or loss of confidence, but these lead to inflation or crises within the fiat system, not a shift to hard assets replacing the dollar in transactions.
* In crises, tangible assets like gold may rise alongside the dollar and US stocks as safe havens, but this is portfolio diversification, not a systemic replacement of the dollar.
Armstrong dismisses perpetual predictions of dollar collapse (common since the 1970s) as based on outdated mercantilist theories requiring commodity backing, which he argues history disproves. He sees alternatives like CBDCs or IMF digital currencies as more likely threats, but not hard assets taking over transactions.
Sounds like Armstrong is a MMF disciple. I don’t care what I hold in my hand when I make a purchase - whether it’s my phone, a plastic card, a paper note or a gold coin. That by itself is irrelevant. What I do care about is the soundness of my money, for me and for my grandchildren. Gold and Silver were valuable in the US monetary system because they kept the system honest, they prevented the bacchanalian looting of the US Treasury via the printing of trillions of USDs(most of it in the past 10 years!) out of thin air, with nothing behind the new money other than a keystroke. No collateral, no savings, nothing. This is the wildly irresponsible problem that is going to bring the whole system down and which the powers that be are trying desperately to avoid with some kind of digital magic(which will certainly leave many holding the digital bag). This is the “you’ll own nothing and be happy” vision. The problem gets solved by the Great Reset, which financially looks like a global scale bail-in, what David Webb warned us about in The Great Taking. Armstrong is correct in noting that physical metal currencies probably won’t be back, that is if the globalists have their way. Time will tell.
The gold standard is coming back, in spite of all of the machinations of the globalist predators.
I certainly agree that CBDCs are a more likely threat.
Armstrong is wrong. The US empire and its dollar are headed to the crapper.
The silver standard will not return because there is too much industrial demand for silver to permit that to happen. The consequence of any attempt to do so is industrial demand draining the money supply as happened in the past.
and I believe that the following are true:
(1) the US continued to mint silver coins up until 1965, and issued redeemable silver certificates until 1964. These certifcates remained redeemable until 1968.
(2) Nixon removed gold backing in 1971 - there was no silver backing at that time.
John, if you have not read Cathy O'Brien's book Transformation of America yet, please do. Jimmy Buffet is not one to be celebrated. Get her book from her website or from the Amazon link on her site. There are fake, altered copies of her book circulating.
Way too many people are asleep to this, and, what's about to happen. They are living in a fools paradise if they think things are going to continue like they are. The 'crooks'(Govs), 'deep state' etc, have for a long time now, known what's about to happen, and are just lying through 'their' teeth to the voting people of the Countries they are supposed to be 'running', and i use that term loosely. How many people out there know that the 'banks' have, or, are about to, dump your Super, and then apparently, it ends up in the hands of the 'taxation' Dept, a bit like giving a kid a jar of lollies with out a lid. Kiss your 'Super' good bye if that happens, nothing surer.
Super?
I think maybe he is an Australian. "Super" is short for superannuation", the Aussie equivalent of IRAs/501k's.
Thanks , fascinating post!
If I share this article with my friends, do I get silver bars for the favor?
A dollar is NOT a physical thing. None of your senses can detect a "dollar". It is a unit of weight measurement. When this country established its monetary system the dollar was set at 374 and 4/16 grains of pure silver. The big mistake was using a bogus weight system.
Nice one, John.
I also got to see the “Auld Mug” up close when Dennis Conner stopped by the Manhattan Yacht Club some years back. Oracle-BMW’s comeback in 2013 was the most impressive sporting achievement in my lifetime.
Happy that my silver coins have tripled in value but kicking myself for selling the ETF too soon!
Cheers, mate.
https://open.substack.com/pub/chaostrader913/p/silver-top-in-place?r=2s8a4i&utm_campaign=post&utm_medium=web&showWelcomeOnShare=true
Florida, Texas and other states are accepting silver as legal currency. https://gemini.google.com/share/f75f80a52e4b