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Dow Down 50% Against Gold Since Last Record Dow in October 2007
From GoldCore
Dow Down 50% Against Gold Since Last Record Dow in October 2007
Today’s AM fix was USD 1,574.00, EUR 1,207.98 and GBP 1,043.42 per ounce.
Yesterday’s AM fix was USD 1,584.25, EUR 1,214.82 and GBP 1,044.33 per ounce.
Silver is trading at $28.68/oz, €22.10/oz and £19.09/oz. Platinum is trading at $1,596.70/oz, palladium at $736.00/oz and rhodium at $1,200/oz.
Gold rose $1.20 or 0.08% yesterday in New York and closed at $1,575.00/oz. Silver surged to a high of $29.07 and fell down to $28.51, but it still finished with a gain of 0.42%.

Cross Currency Table – (Bloomberg)
Gold edged higher in Asian and European trading today, supported by modest physical demand in Asia and from central banks. This continuing demand is creating expectations that prices will consolidate at current levels before moving higher again.
Dow Gold Ratio, 2003-2013 – (Bloomberg)
Prices have been range bound between $1,564/oz and $1,587/oz over the past few weeks which suggests consolidation.
INDU Index Weekly, 2003-2013 – (Bloomberg)
Currency debasement is being seen internationally and will again benefit gold in the medium and long term. The second round of money printing by the Federal Reserve pushed spot gold prices to a record nominal high of $1,920.94/oz in September 2011.
Given continuing debasement new record nominal gold highs and indeed inflation adjusted gold highs over $2,400/oz will almost certainly be seen in the coming months.
This currency debasement and ‘stimulus’ on a scale never before seen in financial and monetary history contributed to the Dow Jones Industrial Average reaching a new record high yesterday.
Gold Price Weekly, 2003-2013 – (Bloomberg)
The Dow Jones Industrial Average hit a new high yesterday, surpassing the previous high of 14,164 on 9 October 2007 leading to proclamations that ‘happy times are here again.’
However, importantly in gold terms, the Dow has not made any gains whatsoever, rather it has fallen by 50% (see chart).
In gold terms the DJIA has fallen from above 18 to 9.05 today and this clearly shows how the DJIA is not a good barometer for the health of an economy – especially one completely dependent on ultra loose monetary policies.
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Tradition!
Hopenchange.
Damn....cat's out of the bag now.
I've just been looking at some of the technicals on the four year chart of the S&P 500. I have to say, this chart just looks great. Firstly, there's a clear uptrend, which is a good sign. The second thing to look at is that we've had weekly closes above all the moving averages. Then you look at the MACD, which also is up. I have to say this is one of the best charts I have seen in all my life. If you're not in this market, you need to buy now. I'm as certain that stocks are going up as have been about anything in the markets.
Drugs & Alcohol?
Yes please!
http://ajw.asahi.com/article/0311disaster/life_and_death/AJ201303060003
Looks Bullish, eh? Well, I say look at this:
1) https://en.wikipedia.org/wiki/Broadening_top
2) http://investing.money.msn.com/investments/stock-charts/?CA=0&CB=0&CC=0&...
DOW 20k!
DOW 20T!
Dream big.
"Winning". An ounce is an ounce is an ounce, thank you Bernanke!!!
A chart of the nominal high Dow 30 plotted against nominal prices of commodities is a real eye opener.
The only saving grace is that stocks hurt when they slip & fall from your hands, smashing your foot, and their prices aren't transitory.
People really seem to want to buy, touch & hold stock certificates today, appreciating their price & purchasing power stability, liquidity, and above all, fundamental real value.
And a chart of the DOW against oil over the same period would look almost exactly the same as the DOW chart (i.e oil prices have mostly been flat to slightly down hovering $90-100 for past 4-5 years).
Now the DOW in Natural Gas units would be a fucking rocket to the moon with natural gas prices plunging from highs of what 10 to a low of ~2.5 and now hovering around 3.5.
TruthInSunshine if you have a chart of the Dow 30 plotted against a basket of commodities with varying starting points (2007-2008 start w/ 5 year chart, 10 yr from say 2001, 20 yr from 1992 and perhaps one from 1981 and 1950-1960) those might be illuminating (please post!). I've been looking to pull the data down from pricedingold.com and make some plots and it seems ZH is focused not on giving a balanced perspective but almost as 'unbalanced' as CNBC. Merge ZH and CNBC news service with Mandy's tits and maybe you'd have something people would pay attention to.
As a FYI a couple weeks ago sales galore in the food stores. Now virtually nothing. Package sizes/portions continue to shrink and I DO NOT see too many people with filled baskets anymore. Petrol pulled back from $4 prints to about 3.7. I keep waiting to see if as I suspect they are going to crush PMs to make it look like they broke support (and see if they actually DO break downside support which I'm not sure they will for long) just to fuck with pm hoarders. <sarc>I can't wait to see them flood the market with ammo to drive down gun prices</sarc>. Production costs for real goods over past 10 years have skyrocketed on almost all real goods, lumber, copper, steel, aluminum, etc. AND have not come down dramatically as far as I can see except when places get stuck with too much inventory of finished goods and have to blow the stuff out at or near cost to clear the decks all the while hammering on workers by reducing COI increases, raises, bonuses (as if there was such a thing for the common worker) and pocketing the cash. Obama care will be Obummer care probly to every company and especially every small business. So I don't know why the ADP payrolls show small businesses hiring because I don't see it unless they are subcontractors or temps.
I think it's almost funny that Ben hasn't tried to strike out against all those bad 'cash and pm hoarders' who are ruining the economy. Perhaps he is afraid they would rightly 'strike back'.
But who in the F cares what Ben thinks! The fucker is a total meglomaniac in meglomaniac conspiracy to buy ahem take over every asset in the world (including what goes into and out of our mouths) for his silent and near invisible masters.
As a last note on looking at a lot of charts on pricedingold it does NOT look like gold is 'over valued' but similiarly it is not 'undervalued' dramatically against other measures over the past 100 years. IT WAS undervalued in the 90's. Silver looks to me to be the undervalued pm and I'm happy to keep buying. I'm starting to get concerned that my stacks on my new 20' yacht might end up at the bottom of the ocean so I'm getting a nuclear powered bitcoin cryptoenhanced locator beacon so the FEDs can find it easily when TSHF.
This is untrue. It set a new all time high just yesterday. I heard it on the news.
You really have some things to learn about modern finance, Mr. Durden.
I count two broken sarcastometers.
I count three...
Now that it's flipped back to "2" I have an idea...
~~~
I could jump in there & make it "3"... Then we could create a PAPER MARKET & book bets on whether it switches back to "2" or not... With the manipulation plan underway, we could pretend we're like two jews battling it out for JC Penney... Maybe even cut Druckenmiller in on a little side action with some insider info...
The world has gone barbarous.
While everyone else will be buck ass naked when the paper tide goes out.
Only a matter of when, not 'if' in my opinion.
The second round of money printing by the Federal Reserve pushed spot gold prices to a record nominal high of $1,920.94/oz in September 2011.
QE4evah! Gold = $50k/oz
Fuck you Fed
Just imagine what that chart would look like if the "Gold will be $3000/oz by the end of 2012" crowd had an inkling of a clue.
But what of the miners... theres a serious bear market their folks...
Fuck paper.
a horrible prophylactic
Times is, pardon the pun, hard.
Miners have experienced 10+% cost increases per year, so the only way for them to keep margins stable are increasing gold prices. Gold has been range bound for two years, so their margin declined.
Watch this great presentation by Pierre Lassonde for more:
http://www.gowebcasting.com/events/denver-gold-group/2012/09/10/keynote-...
The only great pm stocks are streaming and royalty companies, ie FNV, RGLD, SAND.
You're doing it wrong. You always measure everything in dollars bro.
Expect a visit from a Drone near you.
Jim Sinclair is a shill and Goldcore is a pumper and dumper. $4000 gold? That's a pipe dream. Precious metals are going to ZERO!
thank you for your thorough analysis...
now wake up and go to sleep...please
Cut him some slack.....he was just holding the chart upside down.
yup, either that or MDB got a serious competition...
Is that you Ben?
Not zero. One. One metric ton of gold is the equivalent of one metric ton of gold
It used to be the equivalent of and fungible with one million United States Dollars (for foreigners) at a time when the gallon gas costed 25 cents, but hey, we don't want to remember that - and since I'm talking about 1968 many won't remember thanks to the drugs of that age
And they were good drugs bro.
<Was that my out loud voice?>
I actually feel sorry for those people that DO remember...
great charts & analysis. You have convinced me, thanks so much.
He doesn't need to convince you, just himself. Easier that way and much more satisfying.
Jim Sinclair is a shill and Goldcore is a pumper and dumper. $4000 gold? That's a pipe dream. Precious metals are going to ZERO!
Dude, wake up.If that were remotely close to the case WHY are CB's loading up, and every country outside the Western Hemisphere, sucking it up like a Hoover?.
Because they WANT to lose money on it?........FUNNY!
Maybe, but Gold's high hydrophilia and associated propension to cause boating accidents and be lost forever in larger water bodies is not being taken into account in that graphic.
Unless you are a large enough entity with the means to keep it far way from water during transportation or, at least, to minimize the risk during travel on or over water, the real returns of physical Gold have to include a discount factor for "boating accident losses". Unless of course, it's paper gold, which floats.
Agreed, statistically speaking, Gold stackers seem to be a careless bunch with their loot and are hopeless sailors. Its a deadly combination.
they can't resist. it's the evil metal, you see? it forces the owner to develop strange habits. the first symtom is often the point of no return: living within your means
I logged in just to one up you!
That's OK, the sheeple masses have now been thoroughly conditioned to just believe if a stock index is high, that means all is well. Unfortunately for them reality will crush them sooner or later....silly humans, Dumbest. Species. Eva.
Gold edged higher in Asian and European trading today, supported by modest physical demand in Asia and from central banks.
While in the shithole of America the paper game continues which is funded by a fraudulent group of American Jewsih gangsters using taxpayer money to run paper assetts higher and Gold lower!
Well then we gotta fuck this bitch higher!
Looks like they're charging ahead for DOW 15K print by Friday close!
interesting. when looking at the chart, it shows that since 2009, the dow has been just as good an inflation hedge as gold.
I'll cherry pick my own timeline thank you very much.
Its the *textbook* definition of a secular bear market: rapidly rising prices, but overall lower valuations due to inflation. Ahh, its wonderful to have had Congress and Presidents for DECADES that won't even fight the puppet strings, much less admit who pulls them.
It's totally natural for it to rise 8.77% in two months or so.......especially with all of this recovery circle jerking around me.....now excuse me as I play Homeless Person Pitfall by Activision by jumping over numerous snapping hungries to get to my job that just saw travel costs rise AGAIN.
I'd gladly trade this fucking gold bar for a ladder.
be nimble
http://www.globalindustrial.com/p/janitorial-maintenance/ladders/rolling...
this one seems like a fair trade
The real cost is delivering it to the depths of a cave filled with scorpions.
Yes, but this will provide a way out from the cave....you really should keep those things in a cage. I'll have UPS unpack it for extra and they can drop it into your abode.....
But if I do that, I can't label them "free range".
Cage free scorpions are better tasting when smoking their tails....a little more expensive. I guess you are cutting costs by raising them yourself. Never shotgun a scorpion tail.....major hallucinations followed by diarrhea.
Our time will come, us gold holders. Faith and patience.
Dow now FDIC insured.
Which would be great if the FDIC had any funding.
Which would be great if the FDIC had any funding.
What???????????????, are you kidding man, they have 7 Billlion in Reserves to cover 12+ Trillion in deposits.
They have US covered/sarc
It is so nice to hear from MDB. I bet Tyler just laughs and laughs IF he even reads his posts. Humor is good.
Which in a way is odd, since the Dow is an income producing asset (admitedly 100% owned by the Criminal Banking Cabal through the DTCC) while gold is a metal that has very little use.
Thermometers and barometers have little use too. They don't give you a return, they don't "produce" anything, and you can't eat them. But they are a gauge on what they were designed to measure, as gold is on the monetary system.
The argument that gold is unproductive is about as lame as can be. A $20 bill is also unproductive. No point to those arguments.
Fundamentals of the US economy suggest a DOW 1000 but, so long as we have printed confetti and a media willing to lie to the public daily about the state of the economy, things will worsen as the market goes higher till we have a collapse and that is where the drones and the 160 million rounds of ammo bought by Napolitano come in. Sit by and be quiet while they fuck with your life, liberty and pursuit of happiness. This is the middle of a tyrannical takeover and the people are too busy getting free telephones to see what the hell is going on around them! Shameful, lazy Americans created by liberalism and a courrpt media will end this great country!
And that's all that needs to be said. If you don't have the physical in hand, you don't have squat
So...how many of these DJIA companies have more than 25% of their workforce in the United States?
How many of the companies whose stocks currently comprise the DJIA were included in that ever-changing (and cherry-picking) 'metric' 10 or 20 years ago?
More to the point, how many stocks of losing or bankrupt companies WERE part of the DOW, but are no longer?
The DOW is as meaningless a metric over any multi-year period as is the US Dollar Index.
DingDing. We have a winner! +1
But, but, but GOLD is down 20% since August 2011 and the Dow is up huge in that time frame!
I have a bet with a friend that Gold will break $2000 within 4 months of Congress raising the Debt Limit over $18 Trillion. I guess we will never find out who wins because they exceeded the current Debt Limit of $16.4 Trillion in December of 2012, and just ignored it.
But in 2007 GM and Citi were Dow components, now they are took out so today's Dow is not same as old one.
Today paper golds are 100x of physical gold, then paper maybe 5x of physical gold.
Today we have 20T debts, then we have 10T.
Dow more than 50% down against Dollars soon: http://www.bloomberg.com/video/dow-dropping-to-5-000-starting-this-year-...
"range bound"..!!!!?????
"consolidation"..!!!!?????????
The PM's have been sadistictly manipulated by phsycotic sociopaths that have NEVER done an honest days work in their lives.
With the Blessings of the goverment that your tax dollars support.
Fuck yous bankers.
And fuck YOU'S politicians that allow these terrorist to operate on American soil......
Fuck YOU'S.....!!!!???*&%$#@!
the Dow Gold Ratio says everything....