no, you are correct. The US stock indexes have been losing value relative to commodities, gold and silver since the crash in US stocks began (take a look at $spx:GCC).
However, I’m pretty sure that most gold bugs, myself included, were not expecting a mean reversion to play out by the stock market dropping more than commodities.
I think it is pretty safe to assume that the peak in $SPX:GCC seen in February 2020 won’t be getting taken out for a long time.
That being said, its anyones guess where and when commodities bottom in absolute terms.
Not grasping at all.
I’ll echo Nautilus …. anyone’s guess here on when and where we stabilize.
LIQUIDATION is now the rule. The cycle has turned. CRB has been leading the way.
But not everything drops now at the same speed.
Gold should be the last man standing.
This is different than 2008. When the $SPX started crashing in 2008, roughly around March, it dramatically outperformed $HUI until October 2008, when the $HUI bottomed. $SPX would go on to make a lower low months later, in March 2009 while the $HUI was well into a V-shaped recovery.
This is playing out like 2008… proably aame ratio back then.
Does seem a lot like 2008.
no, you are correct. The US stock indexes have been losing value relative to commodities, gold and silver since the crash in US stocks began (take a look at $spx:GCC).
However, I’m pretty sure that most gold bugs, myself included, were not expecting a mean reversion to play out by the stock market dropping more than commodities.
I think it is pretty safe to assume that the peak in $SPX:GCC seen in February 2020 won’t be getting taken out for a long time.
That being said, its anyones guess where and when commodities bottom in absolute terms.
Meant as a reply to original post.
Not grasping at all.
I’ll echo Nautilus …. anyone’s guess here on when and where we stabilize.
LIQUIDATION is now the rule. The cycle has turned. CRB has been leading the way.
But not everything drops now at the same speed.
Gold should be the last man standing.
This is different than 2008. When the $SPX started crashing in 2008, roughly around March, it dramatically outperformed $HUI until October 2008, when the $HUI bottomed. $SPX would go on to make a lower low months later, in March 2009 while the $HUI was well into a V-shaped recovery.
Guys… something just happened. Check out TIPS!!!!
The Fed is buying TIPS as part of its new 60 nillion a month in bond purchases (QE 5 or whatever you want to call it).
The problem is so far gold doesn’t care and neither do the miners.
Thanks. 60 billion seems low. Always the bare minimum. Then.. what do I know? #theories