Race to Debase - 2010 Q4

GoldSilver.com
JANUARY 03, 2011

Welcome back to the Worldwide Fiat Currency Race to Debase!

Take a moment to examine how gold and silver crushed their paper currency competition in 2010.

In US dollar terms gold was up 29.6% on the year. Beginning the year at $1097, gold showed a steady pace reaching $1421 to close out the year.

Silver absolutely dominated the field with a flurrying finish rounding out an 83% gain for the year. Amazing!

Silver lapped four fiat currencies of the more than 75 we tracked in 2010.

The white metal also threatened to lap seventeen other paper notes with above a 90% appreciation against such names as the euro, the Denmark kroner, and the Vietnamese dong... to name a few.

The Venezuelan bolivar was the ultimate loser against the price of gold and silver with much of this due to the country's double currency devaluation within a year's time! It seems dollars are hard to find in Venezuela and they are currently fetching upwards of 8 bolivar per dollar in the black market (almost twice the official rate of 4.3 bolivars per dollar).

So what happens when the dollar begins to have its upcoming currency crisis? If the reserve currency of the world suffers devaluations, what then is the world's monetary flight to safety?

That's right, 5000 years running, gold and silver have been mankind's ultimate money and safe haven. 2010 was no exception to this rule:

Base Currency vs. One Gold Ounce	1-Jan-10	1-Jan-11	% Gold Gain in 2010
Afghanistan Afghanis	53,343	61,158	14.7%
Albania Leke	104,997	148,940	41.9%
Algeria Dinars	78,965	104,548	32.4%
Argentina Pesos	4,171	5,642	35.3%
Australia Dollars	1,223	1,389	13.6%
Bahamas Dollars	1,097	1,421	29.6%
Bahrain Dinars	414	536	29.5%
Bangladesh Taka	75,662	100,212	32.4%
Barbados Dollars	2,195	2,843	29.5%
Bermuda Dollars	1,097	1,421	29.6%
Brazil Reais	1,914	2,359	23.2%
Bulgaria Leva	1,497	2,081	39.0%
CFA BEAC Francs	502,190	696,322	38.7%
Canada Dollars	1,154	1,418	22.9%
Chile Pesos	556,850	664,883	19.4%
China Yuan Renminbi	7,493	9,369	25.0%
Colombia Pesos	2,244,898	2,722,077	21.3%
Comptoirs FranÃ§ais Francs	91,358	126,675	38.7%

Base Currency vs. One Gold Ounce	1-Jan-10	1-Jan-11	% Gold Gain in 2010
Costa Rica Colones	618,358	715,132	15.7%
Croatia Kuna	5,594	7,844	40.2%
Czech Republic Koruny	20,134	26,558	31.9%
Denmark Kroner	5,701	7,913	38.8%
Dominican Republic Pesos	39,642	52,878	33.4%
East Caribbean Dollars	2,853	3,838	34.5%
Egypt Pounds	6,018	8,252	37.1%
Estonia Krooni	11,979	16,609	38.7%
Euro	766	1,062	38.6%
Fiji Dollars	2,116	2,632	24.4%
Hong Kong Dollars	8,509	11,049	29.8%
Hungary Forint	207,032	295,818	42.9%
IMF Special Drawing Rights	700	923	31.9%
Iceland Kronur	136,181	163,538	20.1%
India Rupees	51,147	63,539	24.2%
Indonesia Rupiahs	10,315,100	12,793,050	24.0%
Iran Rials	10,869,251	14,645,199	34.7%
Iraq Dinars	1,265,793	1,658,832	31.1%
Israel New Shekels	4,136	5,043	21.9%
Jamaica Dollars	98,024	120,397	22.8%

Base Currency vs. One Gold Ounce	1-Jan-10	1-Jan-11	% Gold Gain in 2010
Japan Yen	102,084	115,351	13.0%
Jordan Dinars	779	1,006	29.2%
Kenya Shillings	83,234	114,427	37.5%
Kuwait Dinars	315	400	26.9%
Lebanon Pounds	1,650,963	2,132,175	29.1%
Malaysia Ringgits	3,758	4,384	16.7%
Mauritius Rupees	33,812	42,359	25.3%
Mexico Pesos	14,371	17,571	22.3%
Morocco Dirhams	8,666	11,842	36.6%
New Zealand Dollars	1,512	1,821	20.5%
Norway Kroner	6,332	8,273	30.6%
Oman Rials	423	547	29.4%
Pakistan Rupees	92,518	121,690	31.5%
Peru Nuevos Soles	3,168	3,987	25.9%
Philippines Pesos	50,741	62,032	22.3%
Poland Zlotych	3,128	4,209	34.6%
Qatar Riyals	3,997	5,175	29.5%
Romania New Lei	3,227	4,541	40.7%
Russia Rubles	33,265	43,322	30.2%

Base Currency vs. One Gold Ounce	1-Jan-10	1-Jan-11	% Gold Gain in 2010
Saudi Arabia Riyals	4,116	5,330.58	29.5%
Singapore Dollars	1,542	1,826	18.4%
South Africa Rand	8,108	9,424	16.2%
South Korea Won	1,277,096	1,592,877	24.7%
Sri Lanka Rupees	125,504	157,696	25.6%
Sudan Pounds	2,452	3,551	44.8%
Sweden Kronor	7,848	9,554	21.7%
Switzerland Francs	1,137	1,328	16.8%
Taiwan New Dollars	35,063	41,421	18.1%
Thailand Baht	36,597	42,672	16.6%
Trinidad and Tobago Dollars	6,949	9,012	29.7%
Tunisia Dinars	1,453	1,992	37.1%
Turkey Lira	1,646	2,185	32.8%
United Arab Emirates Dirhams	4,030	5,221	29.6%
United Kingdom Pounds	679	911	34.1%
United States Dollars	1,097	1,421	29.6%
Venezuela Bolivares Fuertes	2,359	6,112	159.1%
Vietnam Dong	20,278,046	27,711,168	36.7%
Zambia Kwacha	5,092,801	6,794,531	33.4%

Base Currency vs. One Silver Ounce	1-Jan-10	1-Jan-11	% Silver Gain in 2010
Afghanistan Afghanis	821.03	1,329.80	62.0%
Albania Leke	1,616.07	3,238.49	100.4%
Algeria Dinars	1,215.40	2,273.25	87.0%
Argentina Pesos	64.20	122.67	91.1%
Australia Dollars	18.82	30.21	60.5%
Bahamas Dollars	16.89	30.91	83.0%
Bahrain Dinars	6.37	11.65	82.9%
Bangladesh Taka	1,164.57	2,178.98	87.1%
Barbados Dollars	33.78	61.82	83.0%
Bermuda Dollars	16.89	30.91	83.0%
Brazil Reais	29.46	51.29	74.1%
Bulgaria Leva	23.04	45.24	96.4%
CFA BEAC Francs	7,729.52	15,140.58	95.9%
Canada Dollars	17.77	30.84	73.5%
Chile Pesos	8,570.83	14,456.98	68.7%
China Yuan Renminbi	115.32	203.71	76.6%
Colombia Pesos	34,552.63	59,187.86	71.3%
Comptoirs FranÃ§ais Francs	1,406.16	2,754.37	95.9%

Base Currency vs. One Silver Ounce	1-Jan-10	1-Jan-11	% Silver Gain in 2010
Costa Rica Colones	9,517.54	15,549.56	63.4%
Croatia Kuna	86.10	170.55	98.1%
Czech Republic Koruny	309.89	577.46	86.3%
Denmark Kroner	87.74	172.07	96.1%
Dominican Republic Pesos	610.16	1,149.76	88.4%
East Caribbean Dollars	43.91	83.45	90.0%
Egypt Pounds	92.63	179.42	93.7%
Estonia Krooni	184.37	361.15	95.9%
Euro	11.78	23.08	95.9%
Fiji Dollars	32.57	57.24	75.7%
Hong Kong Dollars	130.97	240.24	83.4%
Hungary Forint	3,186.55	6,432.16	101.9%
IMF Special Drawing Rights	10.77	20.07	86.3%
Iceland Kronur	2,096.05	3,555.91	69.6%
India Rupees	787.24	1,381.57	75.5%
Indonesia Rupiahs	158,766.14	278,167.50	75.2%
Iran Rials	167,295.44	318,439.97	90.3%
Iraq Dinars	19,483.61	36,069.05	85.1%
Israel New Shekels	63.67	109.66	72.2%
Jamaica Dollars	1,508.75	2,617.87	73.5%

Base Currency vs. One Silver Ounce	1-Jan-10	1-Jan-11	% Silver Gain in 2010
Japan Yen	1,571.23	2,508.14	59.6%
Jordan Dinars	11.98	21.88	82.7%
Kenya Shillings	1,281.11	2,488.05	94.2%
Kuwait Dinars	4.85	8.69	79.2%
Lebanon Pounds	25,411.00	46,361.25	82.4%
Malaysia Ringgits	57.84	95.33	64.8%
Mauritius Rupees	520.43	921.04	77.0%
Mexico Pesos	221.19	382.05	72.7%
Morocco Dirhams	133.39	257.48	93.0%
New Zealand Dollars	23.26	39.60	70.3%
Norway Kroner	97.47	179.88	84.5%
Oman Rials	6.50	11.90	83.1%
Pakistan Rupees	1,424.00	2,645.99	85.8%
Peru Nuevos Soles	48.76	86.70	77.8%
Philippines Pesos	780.99	1,348.80	72.7%
Poland Zlotych	48.15	91.53	90.1%
Qatar Riyals	61.52	112.53	82.9%
Romania New Lei	49.67	98.74	98.8%
Russia Rubles	511.99	941.98	84.0%

Base Currency vs. One Silver Ounce	1-Jan-10	1-Jan-11	% Silver Gain in 2010
Saudi Arabia Riyals	63.35	115.91	83.0%
Singapore Dollars	23.73	39.70	67.3%
South Africa Rand	124.80	204.92	64.2%
South Korea Won	19,656.58	34,634.94	76.2%
Sri Lanka Rupees	1,931.71	3,428.88	77.5%
Sudan Pounds	37.74	77.21	104.6%
Sweden Kronor	120.79	207.74	72.0%
Switzerland Francs	17.49	28.88	65.1%
Taiwan New Dollars	539.67	900.64	66.9%
Thailand Baht	563.28	927.84	64.7%
Trinidad and Tobago Dollars	106.95	195.95	83.2%
Tunisia Dinars	22.37	43.32	93.6%
Turkey Lira	25.33	47.52	87.6%
United Arab Emirates Dirhams	62.04	113.53	83.0%
United Kingdom Pounds	10.45	19.80	89.5%
United States Dollars	16.89	30.91	83.0%
Venezuela Bolivares Fuertes	36.31	132.90	266.0%
Vietnam Dong	312,112.09	602,541.71	93.1%
Zambia Kwacha	78,386.49	147,737.85	88.5%