When a former Chairman of the Federal Reserve gives a speech, you wouldn’t expect him to say anything surprising or controversial. But that’s exactly what Alan Greenspan did in a talk to the Council on Foreign Relations. It was so controversial that these remarks were deleted from the official CFR transcript.
It was in response to what seemed like a simple and non-threatening question from Gillian Tett of the Financial Times:
TETT: Do you think that gold is currently a good investment?
GREENSPAN: Yes… Remember what we’re looking at. Gold is a currency. It is still, by all evidence, a premier currency. No fiat currency, including the dollar, can match it… Why do central banks put money into an asset which has no rate of return… If you look at the data with a very few exceptions, all of the developed countries have gold reserves. Why?
TETT: I imagine right now, it’s because of a question mark hanging over the value of fiat currency, the credibility going forward.
GREENSPAN: Well, that’s what I’m getting at.
The CFR consists of political and financial insiders who hate gold because it threatens their wealth and power. They will do everything in their power to keep the fiat currency game going for as long as possible – and keep the price of gold suppressed.
That’s why Greenspan’s remarks about gold were struck from the ‘official’ record.