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US Strategic Silver Supply

CladiatorCladiator Posts: 18,050 ✭✭✭✭✭
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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Comments

  • jmski52jmski52 Posts: 22,897 ✭✭✭✭✭
    The Stategic Stockpile had a few hundred million oz. of silver in it for many years after silver coinage was discontinued. 239 million oz. rings a bell with me. At some point, the government determined that it was no longer needed, and the silver was sold off - apparently in 1981. I am pretty sure that those bars and rounds are private issue.
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • wow. historic. Back when the U.S. actually had a stockpile of its own PMs.
  • CladiatorCladiator Posts: 18,050 ✭✭✭✭✭


    << <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.
  • fcfc Posts: 12,793 ✭✭✭
    jmski52 is correct. the govt decided huge piles of silver was not as
    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.
  • jmski52jmski52 Posts: 22,897 ✭✭✭✭✭
    Yes, I remember at the time thinking that it would be cool to have a bar officially made by the Assay Office, and then subsequently finding out that they weren't involved.
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • Foolishly , the U.S. has disposed of all their silver as well as gold .
    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 have a set of those and always wondered what the real deal was behind them.
    Witty sig line currently under construction. Thank you for your patience.
  • jmski52jmski52 Posts: 22,897 ✭✭✭✭✭
    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.
    Q: Are You Printing Money? Bernanke: Not Literally

    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.
    "Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose."
    John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
  • OPAOPA Posts: 17,124 ✭✭✭✭✭
    Don't forget, Congress dicated that the Mints supply of silver for the ASE's had to come from the Strategic Stockpile, until it was exhausted about 8 years ago.
    "Bongo drive 1984 Lincoln that looks like old coin dug from ground."
  • RWBRWB Posts: 8,082
    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.


  • << <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! image
  • cladkingcladking Posts: 28,668 ✭✭✭✭✭
    The stategic stockpile was sold over many years with most of it going in
    one hundred thousand ounce lots if memory serves.
    Tempus fugit.
  • jmski52jmski52 Posts: 22,897 ✭✭✭✭✭
    As silver coinage was being phased out (1965-1970), the government was redeeming silver certificates - first, for silver dollars and then for 1 oz. packets of silver. Those are the real thing, as far as "official government silver".

    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?
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
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