OPINION — Goldenomics 102: The Shadow Price of Gold
This opinion piece was submitted to the Investing News Network (INN) by Darren Brady Nelson, who is an external contributor. INN believes it may be of interest to readers and has copy edited the material to ensure adherence to the company’s style guide; however, INN does not guarantee the accuracy or thoroughness of the information reported by external contributors. The opinions expressed by external contributors do not reflect the opinions of INN and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
By Darren Brady Nelson
One of the underrated, and easily dismissed, stories from the first 100 days of the second Donald J. Trump presidency was in March 2025, when the president said: “We’re actually going to Fort Knox to see if the gold is there, because maybe somebody stole the gold. Tonnes of gold.”
Two developments have happened since. First was his May 2025 executive order “Restoring Gold Standard Science.” Second was his signing the July 2025 GENIUS Act. The former could be a word teaser for “Restoring The Gold Standard.” The latter seems to be a step in that direction.
Fort Knox gold
The US Department of the Treasury’s Weekly Release of US Foreign Exchange Reserves shows the levels of various official assets, including gold. It reported gold of 261.499 million fine troy ounces. An estimated 56 percent of that is in Fort Knox, with the remainder in West Point, Denver and New York.
The Federal Reserve Act 1913 still gives the power to the US Federal Reserve: “To deal in gold coin and bullion at home or abroad, to make loans thereon, exchange Federal reserve notes for gold, gold coin, or gold certificates, and to contract for loans of gold coin or bullion (and much more).”
The question of how much gold is in Fort Knox and elsewhere is not only important for the purposes of DOGE, but even more so in the case of a potential return to a gold standard. And such an incredible return is not mere speculation, but is due to some credible public comments.
Trump gold standard
Private citizen Trump commented, as a presidential candidate, about a possible return to a gold standard in June 2016, when he said: “Bringing back the gold standard would be very hard to do, but, boy, would it be wonderful. We’d have a standard on which to base our money.”
More recently, Steve Bannon stated in December 2023: “Nixon took us off the gold standard … over a weekend … in an emergency executive order. That is going to be reviewed strongly in the second Trump term … getting rid of the Fed, yeah, maybe you start with converting back into gold.”
Economist Judy Shelton has an October 2024 book as a guide: “When the US dollar is backed by gold, America prospers, and so does the rest of the world. But this is no curmudgeonly demand to return to the gold standard of yore;…
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