In 1933, private ownership of gold was outlawed by the U.S. government.
As Yogi Berra would say, "Deja vu all over again." Americans who are
privately acquiring gold, mostly in coins, might have a surprise coming.
Based upon history I will encourage you to digest this scenario: The federal government will purchase your coins, bullions, etc., possibly excluding jewelry under a certain dollar amount at the prevailing market price of gold. It will become a crime to own gold. You will sell your gold to the government in exchange for paper or electronic dollars. What then will happen to the price of gold after the deadline for private ownership has expired?
If you're old enough, you’ll remember when the U.S. Treasury asked that you use your silver dimes, quarters and 50-cent and dollar pieces and turn them into the government and get paper for your silver coins. What followed was the price of silver skyrocketing, which was in the mid-’60s.
We're not trying to alarm those who have gold as an asset, but it is necessary to inform you what's being discussed inside the Fed/White House locker room. By the way, this is a plan being led and will be implemented by the Treasury and Secretary Geithner.