Jim RickardsFor our readers unable to make it to this year’s Sovereign Man convention in Chile last month, the following clip will provide a taste of what was missed.  Rickards breaks down his expectations for gold, and outlines the coming scenarios that will propel the metal of kings to $7,000/oz.  Rickards states that the current movement towards multiple global reserve currencies will only exacerbate currency wars, and instead of one Central bank behaving badly (The Fed), we will have 5,6, or 7, and that the IMF will soon begin its own QE, by printing SDRs.
The Currency Wars author points out that if global M2 were to be 100% backed by gold, gold would achieve $44,500/oz, but that even merely using M1 and a mere 40% gold backing results in $7,000/oz gold!

Rickards’ clip from Sovereign Man is below:



  1. But what if much of the gold holdings of the Central Banks and the various governments of the western nations is gone? 
    If the gold has been leased, then it is not available to back a currency.  For instance if there is only 10% of the gold reserves left in the vaults, wouldn’t the calculation in the necessary price of gold for 100% backing be 10 times greater?  This would mean $445,000/oz rather than $44,500/oz.
    In short the implications of the missing gold are hard to imagine.  Exactly how messed up is the world?  Probably much worse than we know!

  2. Jim Rickards Explains How Gold Will Reach $7,000/oz at the Sovereign Man event in Chile
    –  –  –  –  –  –
    Mammoth explains how Bread will reach $15.00/loaf:
    Money-printing work until it doesn’t, and then comes Hyperinflation.

  3. What I want to see is a professional estimation of values (trading ratios) for gold, silver and copper (the historic normal money composite) upon converting all banknotes (global ‘M-1’). This crap of ‘worship at the altar of gold’ is the elitist’s perspective that MUST by it’s nature, circle back around to this very same predicament, because it would physically take microscopic volumes of ‘gold money’ to conduct ‘street level trade’ under their scenario of a gold mono-metallic paradigm.

  4. Trust me you dont want a america backed by gold an silver. Because to do this the goverment will take your gold an silver away for a much cheaper price then you deserve to get. Then raise it to what ever they want. It will come to a point i think though that much of everything wont be worth anything to be taxed, so they will have to eventually let gold an silver climb to the moon. With yes new laws saying you can only sell the the goverment.

  5. I remember reading about the hyperinflation that occurred in Zimbabwe, not many years ago and i remember seeing pictures of people holding up signs that read”Starving Billionaire please help” etc This just goes to show that hyperinflation is a REAL possibilty, when this current system runs out of road its going to be a friggin mess for 99% of the population, having some PM’s will surely make my life a tad better than most, selfish yes but hey its going to be dog eat dog so they had a chance to stack just like me, so sorry if they are chased away at gunpoint but thats the way it will be. Some future we are headed for folks.

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