June 2015 – Week 4 Edition

Gold rose back above $1200 last week after Janet Yellen and the Federal Reserve hinted that the Fed might only raise rates once, later this year, and would proceed cautiously with any future interest rate increases.  The London gold close was $1178 last Wednesday, before the Federal Reserve’s statement was released that afternoon.  In the next two days, gold closed above $1200 for the first time since May 22.   Unfortunately, gold dipped back below $1200 on Monday, June 22.

The Bill Authorizing American Silver Eagles was Passed 30 Years Ago This Week

30 years ago, on June 21, 1985, Senator James McClure (Rep-Idaho) introduced legislation to use stockpiled U.S. silver to mint a silver bullion coin.  He called it the “Liberty Coin Act,” which was added to House Bill #47, called “Statue of Liberty/Ellis Island Commemorative Coin Act.” The Liberty Coin Act authorized the Secretary of the Treasury to mint and issue silver coins of a certain diameter, weight, fineness, description, design and edge finish. The House approved the Amendment on June 24 and the bill was signed into law by President Ronald Reagan on July 9, 1985, with an effective date of October 1, 1985.  The result was the popular American Silver Eagle, first released by the U.S. Mint on November 24, 1986.

And Now, America Welcomes a Woman to the $10 Bill in 2020

“America’s currency is a way for our nation to make a statement about who we are and what we stand for. Our paper bills – and the images of great American leaders and symbols they depict – have long been a way for us to honor our past and express our values. We have only made changes to the faces on our currency a few times since bills were first put into circulation, and I’m proud that the new $10 will be the first bill in more than a century to feature the portrait of a woman.”

– Treasury Secretary Jacob Lew, June 18, 2015

America’s first Secretary of the Treasury, Alexander Hamilton, has long been the face of the $10 bill, but last Thursday, June 18, current Secretary of the Treasury Jacob Lew announced that Hamilton would be replaced (or, more accurately, joined) by a woman in 2020, to honor the centennial of the passage of the 19^th amendment, authorizing the vote for all women in America.  Other new “wrinkles” include tactile features for the visually impaired and upgraded anti-counterfeiting devices, long overdue on the $10 bill.

The Treasury picked the $10 bill because it was being worked on since 2013 and was next in line for major design modifications to deter counterfeiters – measures which had already been added to larger bills.  Since new security measures and tactile features for the visually impaired were already being prepared for the $10 bill, he said, it’s easier and more logical to produce a new portrait at the same time.  (Meanwhile, those who favor retaining Alexander Hamilton should realize that a portion of the new $10 bills will retain Hamilton’s portrait.)

The idea for placing the face of a woman on a $10 bill is partially credited to Sophia, a 10-year-old girl from Massachusetts, who wrote to President Obama in 2014 wanting to know why there were no women on United States money.  President Obama later spoke with her and wrote her a letter in February, telling her that he thought it was a good idea and that women should have the same opportunity as men. 

Real-life women haven’t been on U.S. paper money since Martha Washington in 1896 (her likeness was on Silver Certificates.).  The leading candidates for the next $10 bill include abolitionist Harriet Tubman (1822-1913), First Lady Eleanor Roosevelt (1884-1962), civil rights pioneer Rosa Parks (1913-2005) and Susan B. Anthony (1820-1906), a pioneer in women’s rights, who was previously on the $1 coin. 

Other women who previously appeared on circulated coins include Sacagawea (on a dollar coin) and Hellen Keller on the Alabama 25¢ of 2003.  Those who point to the unpopularity of the Susan B. Anthony dollar (first minted in 1979) should recall that NO general-circulation dollar coin has ever been popular in America, including the Sacagewa and presidential dollars. However, several women have appeared on Commemorative coins, including Virginia Dare and Eunice Shriver, along with the First Spouse Series of coins. 

Treasury Secretary Lew has said that the choice of the woman to honor on the $10 bill will most likely be made before the end of 2015, possibly even by the end of this summer, so there’s time to cast your vote. The Treasury is taking nominations or votes on Twitter (#thenew10) or on the Treasury’s website, www.thenew10.treasury.gov.  My vote? Since the coin is meant to celebrate a woman who was a champion of our inclusive democracy, I think Susan B. Anthony would be a very good choice, but Harriet Tubman would be an equally good choice, to show how inclusive our nation has become.  Who gets your vote? Let the Treasury know.

News Flash! A Brave Cat won “Dog of the Year” Award

There’s an old news maxim that says “dog bites man” is not news, but “man bites dog” would be a great story!  Here’s a case when a “dog bites boy” story became a “cat bites dog” story that ended with the cat being named “Dog of the Year!”  Confused?  Back in May 2014, “Tara” (the cat) leaped on a dog who was attacking an autistic 6-year-old boy, Jeremy Traintfalio, on his small bike in the family driveway in Bakersfield, California.  Just two seconds after the dog attacked, Tara leaped from seemingly “out of nowhere” to scratch, claw and bite the dog, freeing the boy from the dog’s vicious leg bite. The boy’s mother then rushed to his aid.  The drama was over in a flash but the video went “viral” on a YouTube.

Jeremy’s father, Roger, said “you will usually find Tara close to Jeremy.  If Jeremy falls off his bike, she comes running.  If he starts crying, she comes running.  There’s no question she is partial to Jeremy.”  The father added that “Jeremy and Tara spend a lot of time walking around and talking with one another.”

Last week, Madeline Bernstein, president of the Society for the Prevention of Cruelty to Animals in Los Angeles, named Tara the “National Hero Dog” of the year in the SPCA’s 33^rd annual awards ceremony.  Tara’s “Dog of the Year” trophy was appropriately altered to read “Cat of the year,” and the traditional reward of a year’s worth of Purina dog chow was changed to a year’s worth of free cat food for Tara!

Well played, Tara, well played!

https://www.youtube.com/watch?v=EEa6jZv-Khc

Metals Market Report Archive >