10.16.26 - Was Shelton Hired to Build America's Gold Response?

10.16.26 - Was Shelton Hired to Build America's Gold Response?

Gold last traded at $4,163 an ounce. Silver at $57.04 an ounce.

Was Judy Shelton Hired to Build America's Gold Response? -ZeroHedge

Authored By a GoldFix Founder and Exec at a prominent Investment Firm

The recent appointment of Judy Shelton as Counsellor to the United States Treasury is intriguing. With her views on the overreach of the Fed, she'll find herself in good company with the leadership at both the Fed and the Treasury. An agenda is taking place. Her appointment did not require Senate approval, proxies for the new economic orthodoxy, unlike the stalled gubernatorial nomination to the Fed in 2019/20. She has been specifically appointed to "advise the Secretary on currency policy, with a particular focus on evaluating financial conditions in China."[1]

However, she is not a recognised expert on China. She is a currency expert and well known for her "unorthodox" views on monetary policy, including the Treasury Trust Bonds (TTBs), a USD Sovereign funding instrument linked to gold. Through this lens, we may speculate on the Counsellor's likely involvement. As widely reported on Goldfix for some years and now leeching into the mainstream media[2], China appears to be building the infrastructure to allow for trade settlement within a gold envelope. China is rapidly building new export markets to minimise her dependence on the US and needs to build de-dollarised payment rails to these markets. This is entirely rational from a Chinese perspective. It is also entirely rational for an exporter of raw materials to China, and an importer of Chinese goods to prefer gold as a store of value to US Treasuries.

Enter the TTB. The idea is a long-dated bond that provides cheap funding to the US Treasury as it gives the holder the option to chose redemption in gold or USD.