by Kenneth Schortgen, Shotgun Economics:
With two of President Trump’s primary picks to fill vacant slots on the Federal Reserve’s Board of Governors having dropped out in recent weeks, rumors of his newest pick could very well send shockwaves through the central bank. And that is because according to Mish Shedlock in an article published on May 12, Trump appears to be readying Gold Standard advocate Judy Shelton as his next nominee.
Economist Judy Shelton, a Trump economic advisor and a gold standard advocate is rumored to be Trump’s next Fed pick. Bloomberg reports White House Considers Economist Judy Shelton for Fed BoardThe White House is considering conservative economist Judy Shelton to fill one of the two vacancies on the Federal Reserve Board of Governors that President Donald Trump has struggled to fill. She’s currently U.S. executive director for the European Bank for Reconstruction and Development, and previously worked for the Sound Money Project, which was founded to promote awareness about monetary stability and financial privacy. – Money Mavin
Judy Shelton had been a strong pick early on in President Trump’s plans for the Federal Reserve before moving into the role as an adviser and administration financier.
Yet this news of bringing Shelton onto the Fed Board of Governors is not the only gold based news to arrive at the government’s doors as just last week, Congressman Alex Mooney submitted a bill before the House to call for a full and complete audit of the nation’s gold supply.
U.S. Representative Alex Mooney (R-WV) introduced legislation this week to provide for the first audit of United States gold reserves since the Eisenhower Administration. The Gold Reserve Transparency Act (H.R. 2559) – backed by the Sound Money Defense League and government accountability advocates – directs the Comptroller of the United States to conduct a “full assay, inventory, and audit of all gold reserves, including any gold in ‘deep storage,’ of the United States at the place or places where such reserves are kept.” HR 2559 requires more than just a physical assay, inventory, and audit, however. Even if all United States gold can be physically accounted for, it may nevertheless be encumbered with third-party obligations – or otherwise be impaired by bank financialization. – EIN Presswire
With the BIS making the sudden and urgent shift to allow physical gold to become a Tier 1 reserve asset for the central banks, perhaps we should not be surprised that President Trump and his allies in Congress are trying to prepare the way for a return of the Gold Standard in some form, especially as the dollar continues to lose its hegemony on the world stage.