Jump to content



Photo

Gold/Silver Ratio highest in over 5000 years


  • Please log in to reply
27 replies to this topic

#1 Russ

Russ

    Member

  • Traders-Talk User
  • 6,153 posts

Posted 20 March 2020 - 07:43 AM

"In short, I can’t say exactly what has driven this ratio to the highest level in some 5,120 years, but it does prove one thing beyond a doubt:  the financial markets are in an extraordinary, unprecedented situation.

One view of the ratio, by Wheaton Precious Metals1, is that the ratio is “an indicator of the global monetary condition.” According to their analysis, “during periods of inflationary monetary proliferation, the ratio falls. During eras of deflationary monetary destruction, the ratio rises. To put it plainly, these highs are alerting us to a pervasive capital shortage.” That agrees with what I found, that the ratio tends to rise when inflation expectations fall. It would also explain why this historical high coincides with the most powerful coordinated central bank injection of funds since the Global Financial Crisis, and indeed perhaps ever.It would also go along with the widening currency basis and the Fed’s move to make currency swaps more available. Perhaps the 5,000-year high in this indicator is warning us of a tremendous deflationary period ahead."   https://www.nasdaq.c...ears-2020-03-17

 

031720mg1.png?itok=Vsi8rv-s


Edited by Russ, 20 March 2020 - 07:45 AM.

"Nulla tenaci invia est via" - Latin for "For the tenacious, no road is impossible".
"In order to master the markets, you must first master yourself" ... JP Morgan
"Most people lose money because they cannot admit they are wrong"... Martin Armstrong



http://marketvisions.blogspot.com/

#2 darnelds

darnelds

    Member

  • Traders-Talk User
  • 484 posts

Posted 26 March 2020 - 10:56 AM

Makes sense.  Interest rates are at a 5000-year low.



#3 senorBS

senorBS

    Member

  • TT Member+
  • 9,298 posts

Posted 26 March 2020 - 04:08 PM

sure looks like a parabolic blowoff/final high move into that 128 area, now back to 112 area. GSR spiked up with DXY which has now reversed sharply back below 100 level, both these moves are very possibly be done and fits in IMO with miner/silver panic 2008 type bottom and only 13% selloff in gold, wild times

 

Senor



#4 dougie

dougie

    Member

  • Traders-Talk User
  • 7,057 posts

Posted 26 March 2020 - 06:58 PM

no physical gold to be had...imagine that



#5 Smithy

Smithy

    Member

  • Traders-Talk User
  • 1,293 posts

Posted 26 March 2020 - 10:29 PM

Well, physical gold and silver are available IF you are willing to pay +25%.

 

The word is there isn't much gold available for futures delivery either.

June gold futures are +$25 over spot, as opposed to the usual $2-3.

 

Comex has expanded what constitutes deliverable gold to include 400 oz London bars, and 1 kg bars etc.

Might see some drama if the shorts get squeezed coming into one of the expiration dates.



#6 dharma

dharma

    Member

  • Traders-Talk User
  • 8,402 posts

Posted 27 March 2020 - 10:52 AM

there is no question in my mind that we are and have been in a huge deflationary period. i have shown charts of mining indexes/gold where in about 08-09 period the miners continued to lose ground to gold into the present date.  `so to my mind this is obvious. i dont remember when i came on board here, back then to the present i have been saying we are going to see a redeux of the 70s w/stagflation as the prominent factor.  all the printing that we are seeing by the fed and congress will be the start of that.  and that is when the miners will be the best investment class on the board. we have entered into  the depression , this virus is the kickoff.     i believe we will see silver , poor mans gold , when the public wakes up this is where they will run. it hasnt started yet. 

i am believer in the great cycle so named by wd gann. the 90  year cycle , go back to 1842, 1932 , and 2022-3  for the bottom in the stock market . avi gilburt and martin armstrong are calling for new highs in the broad market.  i dont doubt that but i think when the music stops  there will be no safety nets

dharma

yesterday i saw videos of folks standing on lines in the cold trying to get into hospitals  how about some money for hospitals and decent  health care.  when do the citizens get humane treatment  this situation is getting really bad.  do all you can to stay inside and healthy . there is no one going to ride in on a white horse to save you



#7 Russ

Russ

    Member

  • Traders-Talk User
  • 6,153 posts

Posted 27 March 2020 - 03:58 PM

there is no question in my mind that we are and have been in a huge deflationary period. i have shown charts of mining indexes/gold where in about 08-09 period the miners continued to lose ground to gold into the present date.  `so to my mind this is obvious. i dont remember when i came on board here, back then to the present i have been saying we are going to see a redeux of the 70s w/stagflation as the prominent factor.  all the printing that we are seeing by the fed and congress will be the start of that.  and that is when the miners will be the best investment class on the board. we have entered into  the depression , this virus is the kickoff.     i believe we will see silver , poor mans gold , when the public wakes up this is where they will run. it hasnt started yet. 

i am believer in the great cycle so named by wd gann. the 90  year cycle , go back to 1842, 1932 , and 2022-3  for the bottom in the stock market . avi gilburt and martin armstrong are calling for new highs in the broad market.  i dont doubt that but i think when the music stops  there will be no safety nets

dharma

yesterday i saw videos of folks standing on lines in the cold trying to get into hospitals  how about some money for hospitals and decent  health care.  when do the citizens get humane treatment  this situation is getting really bad.  do all you can to stay inside and healthy . there is no one going to ride in on a white horse to save you

Seems like Martin threw in the towel on his bull market targets of 40 and 65k dow, he is now talking great depression.


"Nulla tenaci invia est via" - Latin for "For the tenacious, no road is impossible".
"In order to master the markets, you must first master yourself" ... JP Morgan
"Most people lose money because they cannot admit they are wrong"... Martin Armstrong



http://marketvisions.blogspot.com/

#8 Smithy

Smithy

    Member

  • Traders-Talk User
  • 1,293 posts

Posted 27 March 2020 - 04:28 PM

Seems like Martin threw in the towel on his bull market targets of 40 and 65k dow, he is now talking great depression.

----------------------

Got a link?



#9 Russ

Russ

    Member

  • Traders-Talk User
  • 6,153 posts

Posted 29 March 2020 - 09:47 AM

Seems like Martin threw in the towel on his bull market targets of 40 and 65k dow, he is now talking great depression.

----------------------

Got a link?

https://www.traders-...n/?hl=armstrong


"Nulla tenaci invia est via" - Latin for "For the tenacious, no road is impossible".
"In order to master the markets, you must first master yourself" ... JP Morgan
"Most people lose money because they cannot admit they are wrong"... Martin Armstrong



http://marketvisions.blogspot.com/

#10 Smithy

Smithy

    Member

  • Traders-Talk User
  • 1,293 posts

Posted 29 March 2020 - 10:28 AM

Thanks Russ.