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If Wall Street Can Act Irrationally, So Can Gold
Nov 05, 2019 2:04PM ET
A fine piece there by Barnai. To be sure, on balance in a near-term trading environment, Gold and the S&P trade inversely. And yet broad-term, both not only rise, but by reverse engineering their past price tracks (as we've demonstrated), they can be shown to have risen by identical percentage amounts over specified time periods: 'tis just that the routes they take to arrive at the same percentage increase are generally vastly different. Moreover most broadly: the level S&P today is double its earnings support, whilst Gold today is but half of its currency debasement support. Yet the bottom line remains: the trends are our friends and cash management is king.