Gold’s Price History

Gold’s Price History

$XAU, $GLD, $USD, $XAG, $SLV

The following is a deep dive into past Gold’s Price History by James Anderson who begins with a gold price chart covering more than the last 700 years.

Leading into the USD price of gold since the 1776 founding of the United States of America (USA) through the post-1971 fully fiat Federal note era to today headed into Y 2020.

During the US nation’s historically brief +240 year history, the price of gold has swung from as low as 20.67 oz to a high close to 2,000 oz in the late Summer of Y 2011.

Here is this same chart with some historic eras annotated so the viewer can follow along with gold price history here in the USA.

From Y 1776 to present day, the majority of non-war US history, the price of gold was steady at 20.67 per oz USD beginning with the Bimetallic Standard then to the Gold Standard and Y 1873 demonetization of Silver.

The chart does not fully reflect that during the nation’s 1st major gold price mania, the gold price peaked to 160 oz in late Y 1869.

This was following the US Civil War and much in part due to the public’s general mistrust of fiat (paper) dollar currency issued at the time. 

Since the industrial revolution of the mid-1800’s and into the 20th Century, due to ingenuity and other contributing factors. 

Both world physical gold production and the global population of human beings began exponentially rising in comparison to the prior 350-400 years in time.

Given that gold is next to molecularly impossible to destroy and preciously expensive. Gold is hardly ever wasted or lost without being recycled. 

Not how the total ounces of physical gold per person data in the chart below, we can see that gold production of the world has outpaced total human beings living from the beginning of the last century into this 21st Century.

The following video can also give viewers and readers a better understanding of the size and scale of the world’s biggest gold miners beginning in Y 1900 and moving into the 2020’s.

When the video’s data begins, the USA was the world’s leading gold produced in Y 1900 yielding just over 100 tonnes to start that century.

During the late 1960’s, the government partnered central banks were buying as much physical gold bullion as they are today. Then it was the nation of South Africa, which has currently still mined over 25% of all the physical gold the world currently has, was yielding close to 1,000 tonnes of gold per year out of gold mines.

Some of South Africa’s gold mines descend over 2 miles below the surface to gather the precious Yellow metal.

Headed into the 2020’s, China regularly leads the world in gold mining output with over 400 tonnes annually produced typically per year.

Indeed as we head into the 2020’s, both China Gold Demand and Russia Gold Demand are now at historic marks as they respectively work and even perhaps coordinate to de-US dollarize their 21st Century futures.

Most reading are unaware that following World War 2 the United States enjoyed having Official Gold Reserves of over 20,000 tonnes. 

This is mainly why the prior version of the now fiat Fed note was used to anchor the global monetary system under the Bretton Woods agreement.

Given that repressed commodity, values are now near 100-yr low-level valuations Vs large US stocks, James is convinced investors and savers should buy and maintain a prudent physical bullion position now before more unfunded promises debase away in the coming decades.

Paul Ebeling, Editor

Have a terrific weekend.

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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