DERIVATIVES, DEBT, GDP, GOLD & SILVER
Earlier on today I posted a slide titled "Global DEBT .....we are here..!!"
Above I wanted to show the relationship between DERIVATIVES, DEBT, GDP, ASSETS, UNFUNDED LIABILITIES and their relationship to GOLD & SILVER.
Global Valuations are approximately as follows...
DERIVATIVES = $1,500 trillion.
UNFUNDED LIABILITIES = $750 trillion.
DEBT= $275 trillion.
ASSETS = $275 trillion.
GDP = $75 trillion.
GOLD = $7.6 trillion.
(175,000 tonnes* = 5.6 bn ounces)
Current Price = $1,350 oz.
SILVER = $0.9 trillion.
(1,450,000 tonnes* = 46.4 bn ounces)
Current Price = $19.50 oz.
*All the Gold and Silver available on the Planet, above and below ground, mined and to be mined.
I have tried to scale the slide the best I could, but unfortunately due to the relative size of the DERIVATIVES in comparison to the total valuation of GOLD and SILVER the chart is for representation purposes and not to an accurate scale.
The purpose of the exercise was to demonstrate should ALL Unfunded Future Liabilities as of this date be backed by GOLD on the basis that all GOLD both mined and un-mined, used and un-used, was available the price of GOLD would need to be $133,223 oz.
Should the same calculation be done for SILVER the price of SILVER would need to be $16,250 oz.
It is therefore not surprising then at $1,350 oz and $19.50 oz respectively both GOLD and SILVER are currently WAY UNDERVALUED.
Due to current Global Financial pressures and an unprecedented growth in Global Debt, matched by an Unfunded Liability Exposure I am sticking firmly to the following Price Targets set to be achieved by 2021.
GOLD = $27,000 oz.
SILVER = $700.00 oz.
Thank you for reading and please feel free to share.
Stephen