In the early 1980’s, just before the mega-bull market was about to awaken, you only needed 1.5 ounces of gold. But at the top, in 1999, you needed almost 49 ounces of gold to afford the Dow. Over time, the two don’t always move opposite each other but during the past few years, not only has the stock market fallen, but gold has gone up. That has resulted in an unwinding of the ratio. While the Dow Jones Industrial has only fallen 25% from its 1999 top, priced in gold, it has fallen almost 80%. We’re back to the levels that we saw in the early 1990’s Read more...