Currency debasement is an ongoing and ever-present phenomenon that is taking place in our collective pockets and purses. Literally, the change is starting to disappear, and that trend will continue regardless of man-made laws forbidding it from happening.
A base metal bull market is underway and this six base metal price chart screams breakout 2020s.
Check out this long-term copper price chart for this full fiat currency era. Now Nickel from the go-go 1980 bullion bull to today in 2021, rising steadily. To zinc, climbing NYMEX price-discovered walls. Even lead used in ammo is breaking out on this fifty-one-year price chart in the video embedded above.
Old US pennies are now worth three times their legal tender face value in the copper melt. Even the cheap zinc-filled new pennies are now nearly worth more in melt than their legal tender face values of 1¢. Say goodbye to 5¢ nickels, they are going to get more valuable this decade.
And cupronickel coinage change is not merely disappearing because of slowed pandemic circulating velocity rumors, while that may have had some effect. Nope, I'd venture to guess much is being scrapped, illegally of course. But this kind of thing has happened before countless times in other currency crisis cultures, so expect history to rhyme this time, yet again.
Of course, our undervalued circulating coins being melted for their base metal value is not unique, other jurisdictions are trying to front-run the inevitable facts of fiat currency debasement running its course through our purse and pockets, thrifting out the more valuable coins for cheaper steel coinage still.
How many times do I have to explain this?!
— James Anderson (@jameshenryand) November 5, 2021
- 'til I'm blue in the damn face I guess -#Silver #Bullion comeuppance
is the kind that seemingly comes out of nowhere and knocks people out, go ask Bear Sterns' short silver carcass https://t.co/3PmjnYlFdj pic.twitter.com/cSXTQSWG19
The United Kingdom’s Royal Mint is a government-owned mint that produces circulating coins, collector and bullion coins for the United Kingdom and other nations who outsource their coinage minting to them. Operating under the legal name The Royal Mint Limited, they are wholly owned by Her Majesty's Treasury and are under an exclusive contract to supply all the nation's debasing coinage.
Here the spokespeople for the Royal Mint, trying to spin the debasement of their British circulating coinage as something sweet and light-heartedly profitable.
Well, it is for them, not so much for the average UK citizen.
A dark irony with the high volume 2020s government sovereign bullion mint coin programs is that for the most part, they are typically the cash cow, the most profitable subsection of each respective government mint. For they charge a nice seigniorage fee or premium over spot for their high volume bullion coins which investors are happy to pay for, to own them for the long term, in order to avoid the very fiat currency debasing policies running amok. Yes, this irony is not lost.
A dark irony
— James Anderson (@jameshenryand) November 4, 2021
often in the 2020s
Gov't Mint bullion coin programs
make most Mint's seignorage profit$ ...
...from those trying to protect themselves from these cupro now steel coin counterfeiter policies
Pound sterling once 12 oz troy
oldest full fiat -99.5% devaluated vs Silver https://t.co/YvMH2SJD4u pic.twitter.com/QuX6mpLpN5
The British pound sterling once had a value of 12 troy ounces in the 1700s, like a literal pound of silver value circa the year 1725. Now today's full fiat British pound note sterling is the oldest still surviving fiat currency in circulation, its days are numbered too. In its full British pound currency timeline, it has lost over 99.5% of its value to silver bullion. How much more time for that last 1/2 percent? Will the fiat Bank of England have their fiat CBDC direct Bank of England stipend accounts by then? I bet you will Britain.
Onwards, let's hear some more spin.
Do you mean your currency got so worthless you had to make new coins of cheaper materials?
Okay, got it.
Extremely expensive huh? Are they precious metals now?
No, they're just cheap base metals and you can't even use them for your coinage anymore.
What an embarrassment and disgrace your majesty.
This has happened in currency crisis nations like Argentina for instance. For decades now Argentines have had coinage shortages due to illegal scrapping and when you ask for change you get the old here, have some hard candies to suck on, or take some matchbooks for your smoking habits. There's your change.
Leaving Argentina in 2004,
— James Anderson (@jameshenryand) May 18, 2018
my airport taxi driver was like most other Argentines.
Extremely cynical about his nation's LT future.
Dude lived through dirty wars (CIA operation condor) and
various Past and Coming currency ripoffs ahead.
His cynicism back
then, was sadly,
spot on. pic.twitter.com/hnZ1K7VRs1
Ok, so plated steel is now your new devalued circulating coinage. Got it, Great Britain.
So the currency will get so further debased by then that these new cheaper plated steel coins are also going to start disappearing too.
Awesome.
OK, thank you Royal Mint for that satire of a coin recycling video, attempting to cover up a further debasing full fiat currency of the United Kingdom.
#HappyBirthday reminder to you too
— James Anderson (@jameshenryand) November 4, 2021
I'm ????%#Grateful to've made your acquaintance
This wasn't by mere chance IMHO, the mystery is what more is ahead?! Of course, meantime... enjoy both the pains & pleasures of this wonderful life❤️ https://t.co/rnOfl3i6E0 pic.twitter.com/mLBTNvfFIx
A quick look around, nothing seems as good a value as silver or perhaps platinum bullion at the moment.
Literally, everything else looks like a bubble in long-term real valuation terms as seemingly endless fiat currency injections slosh throughout the real economy and fiat financialized markets.
Better start saving for that Thanksgiving dinner by the way.
Looks like it is going to be about twice the price this year versus the last.
The US stock market or more precisely the S&P 500 remains at nose bleed levels. Of course, this is not a logarithmic chart, so it looks crazier than it actually is.
But let's just divide it by silver to get a feel for where this may go later this decade.
There we go, not the long-term target line I injected there. Basically, you could convert some stock market gains into silver bullion looking for a repeat and passing of the 2011 low perhaps later this decade.
It is a slow swing trade, but the chart says to me now is the time to do so.
This of course could go higher and for longer, but at some point, we will have a recession and a likely all-timer on our hands, so like I said, perhaps take some profits and crystallize them with bullion stores of value.
Now let's look at the bubble that is the real estate market in the USA, specifically moving from places that most are moving out of.
The US States with incoming residents ready to buy real estate and bid house prices up.
The state of Florida is a new bubble, heights never before reached. And of course, this is total state data, including subsections of Florida you would never want to be caught in.
Texas house prices are almost double what they were in the 2007 housing bubble. Good luck getting that value back.
Now if we just take the fiat currency unit out of the housing equation, we can get a better sense of where this likely leads. Like dividing the price of the average US house by gold or silver spot prices and we see that a dead cat bounce is likely unfolding.
No amount of reckless Zillow house buying is likely going to take these charts much higher.
Rather I bet that the 2011 target zone gets passed later this decade, the 2020s. Place your bets.
#HOME #HOUSE PRICE / #Silver #Bullion Ratio
— James Anderson (@jameshenryand) January 19, 2017
How Many Years Before all 3 get below the RED line? pic.twitter.com/8n4hmswQaF
Finally, to close this week, Jordan Roy-Byrne of TheDailyGold.com reminds us that tiny fiat Federal Reserve rate hikes of say 25 to 50 basis points, a quarter or a half percent hikes when real interest rates are likely compounding negative at -10% per year far as our eyes can see ahead.
Those pathetic rate hikes kick off gold bull markets and even gold mania phases. Look at the 1970s for instance.
25-50 basis pt Rate Hike$ mean nothing when
— James Anderson (@jameshenryand) November 3, 2021
REAL INTEREST rates are -10% y/y so look for a rally
Counterintuitive given lies that interest rates hikes hurt gold as record debt unfunded liability levels require massive negative interest rates far as this debt supercycle plays out https://t.co/7Fayf51bYK pic.twitter.com/zQq6rgX0MR
And remember this go-round we have way more unwieldy record debt levels and unfunded promises to inflate and devalue away.
It's going to be way louder and longer than that western-only gold bull of the 1970s.
On a personal note, I am celebrating a birthday this weekend. And I want to remind you just how lucky we really are.
According to science and our knowledge to date, there have been about 120 billion human beings who have lived in this plane of existence here on Earth. Over half of them died in their 20s and certainly most perished by the age of 35.
We are in that sweet spot where triple-digit lives are going to become more common than ever.
I suppose what I am telling myself and you is to take nothing for granted.
Enjoy your life, and be grateful for every year and thing you achieve on this beautiful planet.
That is all for this week, if you somehow missed my platinum video release from a few days ago I will leave links below for you to see that 13-minute video. So go check it out.
GOING LIVE: https://t.co/WuuzN3FbQ9
— James Anderson (@jameshenryand) November 3, 2021
re: #MintTheCoin #MMT #TungstenCube silliness to start, then we dig a bit into why #Platinum #Bullion around $1k oz solid LT Value https://t.co/ejUaHUH6oN pic.twitter.com/QXMFl9PVVR
And as always, take great care of yourselves, and those you love.
