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Ratio of US Gold Reserves to Federal Debt Falls to Historic Low of 3%
Summary: According to The Kobeissi Letter on X platform, the ratio of US gold reserves to government debt has reached a historic low. Currently, gold reserves only account for 3% of US federal debt, one of the lowest levels on record. Despite the US holding 8133.5 metric tons of gold, with the largest reserves globally, and ...
According to The Kobeissi Letter on X platform, the ratio of US gold reserves to government debt has reached a historic low. Currently, gold reserves only account for 3% of US federal debt, one of the lowest levels on record. Despite the US holding 8133.5 metric tons of gold, with the largest reserves globally, and gold prices reaching historic highs, the ratio remains low. In comparison, in 1980, the ratio was around 18%, six times the current level. To reach the reserve levels of 1980, gold prices would need to rise by 400% to reach $26,000 per ounce. In the 1940s, gold reserves accounted for over 50% of federal debt. To match the ratio from the 1940s, gold prices would need to rise by 1340% to reach approximately $75,000 per ounce. The data on gold reserves highlights the growth of US debt levels.
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Link: Ratio of US Gold Reserves to Federal Debt Falls to Historic Low of 3% [Copy]
