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US Strategic Silver Supply
Cladiator
Posts: 17,921 ✭✭✭✭✭
So for years I've seen those silver rounds and bars that are printed with information saying they are made from silver out of the US Strategic Silver Supply out of the US Assay office in SF. They're all dated 1981. Does anyone know the story behind this silver and how it came to be made into bullion rounds/bars available to the general public?
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I knew it would happen.
<< <i>I am pretty sure that those bars and rounds are private issue. >>
I believe you are correct. From what I can gather I think the government sold off the "stockpile" to private companies and one such company produced these bars and rounds with it.
strategic as aluminum, cobalt, and other items which are more important. i am guessing at the other items.. maganese or similair
things from what i remember reading.
I knew it would happen.
Any gold still at Ft. Knox is actually owned by the British at this point , and
has been since the 1970's . It is all part of the "New World Order"
Those Rothchilds swindled us good !
Lewis
I knew it would happen.
<< <i>The thing is, the silver really DID come from the US Assay Office in SF. I remember an article in Coin World about this at the time. >>
I picked up a batch of those in 10 ounce bars many years ago.
I knew they were produced by a private company, but as you say, if did come from the US stockpile.
Still have them, they make a nice looking bar and a bit unusual.
Same date, 1981, probably made by the same outfit that produced the rounds and smaller bars.
The 10 ouncers look exactly like that 1 ounce bar.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
“The Silver Purchase Act of June 19, 1934 nationalized silver, as had been done with gold, and required all domestically produced silver to be sold to the government at fixed prices under the executive order of August 9. Again, as with gold, the government price was greater than the open market price and silver flowed into treasury vaults from domestic and overseas producers. By law, purchases of silver were to continue until they equaled one-third of the value of gold held by the treasury, but this never occurred.” This produced a huge stockpile of silver which grew to the point where even silver state senators began objecting to the purchases.
“The government was required to purchase all domestically produced silver at $0.6465 per Troy ounce. Although American producers were given a very generous price for their product (the open market price was approximately $0.41), it was also a good deal for the government. Because President Roosevelt had refused to devalue the dollar in relation to silver (as permitted under the Thomas Amendment of 1933), the silver could be coined or stockpiled at the monetary value of $1.2929 per ounce, instantly doubling the value of the silver.”
[The above is a very short excerpt from a forthcoming book on US numismatics and monetary policy from the Great Depression through World War II.]
The Silver Purchase Act, with occasional changes to the buying price, continued in force until 1964 when the market price of the metal finally exceeded its monetary value. Remaining stockpiles were gradually sold during the next decades at market prices. Some was struck into silver tokens and some was sold in bar form. Until the 1934 act was revoked, the government was required to exchange silver certificates for the legal monetary value of metal. This, plus domestic coinage use, drew down the stockpile. It was not some arbitrary or "foolish" disposition as one misinformed poster claims.
<< <i>Some background:
“The Silver Purchase Act of June 19, 1934 nationalized silver, as had been done with gold, and required all domestically produced silver to be sold to the government at fixed prices under the executive order of August 9. Again, as with gold, the government price was greater than the open market price and silver flowed into treasury vaults from domestic and overseas producers. By law, purchases of silver were to continue until they equaled one-third of the value of gold held by the treasury, but this never occurred.” This produced a huge stockpile of silver which grew to the point where even silver state senators began objecting to the purchases.
“The government was required to purchase all domestically produced silver at $0.6465 per Troy ounce. Although American producers were given a very generous price for their product (the open market price was approximately $0.41), it was also a good deal for the government. Because President Roosevelt had refused to devalue the dollar in relation to silver (as permitted under the Thomas Amendment of 1933), the silver could be coined or stockpiled at the monetary value of $1.2929 per ounce, instantly doubling the value of the silver.”
[The above is a very short excerpt from a forthcoming book on US numismatics and monetary policy from the Great Depression through World War II.]
The Silver Purchase Act, with occasional changes to the buying price, continued in force until 1964 when the market price of the metal finally exceeded its monetary value. Remaining stockpiles were gradually sold during the next decades at market prices. Some was struck into silver tokens and some was sold in bar form. Until the 1934 act was revoked, the government was required to exchange silver certificates for the legal monetary value of metal. This, plus domestic coinage use, drew down the stockpile. It was not some arbitrary or "foolish" disposition as one misinformed poster claims. >>
Extremely interesting....thanks for sharing!
one hundred thousand ounce lots if memory serves.
Does anyone have one of those? Could you post a pic? It would be great to see one!!
The silver certificates were good for silver redemption beyond 1970, but I don't recall exactly when they ceased to accept silver certificates for silver. Anyone remember?
I knew it would happen.