• 778 days Will The ECB Continue To Hike Rates?
  • 778 days Forbes: Aramco Remains Largest Company In The Middle East
  • 780 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,180 days Could Crypto Overtake Traditional Investment?
  • 1,185 days Americans Still Quitting Jobs At Record Pace
  • 1,187 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,190 days Is The Dollar Too Strong?
  • 1,190 days Big Tech Disappoints Investors on Earnings Calls
  • 1,191 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,193 days China Is Quietly Trying To Distance Itself From Russia
  • 1,193 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,197 days Crypto Investors Won Big In 2021
  • 1,197 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,198 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,200 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,201 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,204 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,205 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,205 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,207 days Are NFTs About To Take Over Gaming?
  1. Home
  2. Markets
  3. Other

Nominal Gold & Gold-Oil Ratio

Gold is getting into an area at which it could take a hit at any time. This would be healthy and perhaps add sustainability. The chart says our 920 target remains locked and loaded, but I would rather get there with a little angst in the mix as opposed to a hyped up blow off. Shorter term indicators are becoming over bought and a test of the breakout to all time highs would be healthy.

It is interesting to note that oil's all time highs are being jiggered in the media to adjust for inflation and not panic people (it's only at the 1970's levels!) while the barbarous relic of the past has not nearly kept up with inflation. "Who would own such a bum asset?" asks the average paper pusher. This is a big part of the reason for our $2000+ eventual (years out) target; catch up moves can be a bitch. Meanwhile, in the here and now, we await a break of the downtrend in the Gold-Oil Ratio. Here is a chart with an interesting correlation to the USD for your consideration.

PS: I am aware of all the typo's on the charts - it's early. ;-)

 

Back to homepage

Leave a comment

Leave a comment