Gold News

Bankster Hate Gold? Must Really Hate Oil

What the gold/oil ratio says about yellow and black...

The GOLD PRICE has been taking a hit but importantly, crude oil is taking a harder hit, writes Gary Tanashian in his Notes from the Rabbit Hole.
Let us hear no ghost stories about Banksters attacking gold or as Larry would say inflicting a "take down" on poor old gold, as if it's planned, personal and a war of good vs. evil. Well it is, but "evil" is a moving target and sometimes wolves hide in sheep's clothing.

Using the associated ETFs, let's take a look.

It's a metal dug out of the ground that represents an ancient tie to monetary value. So, if gold is getting dunked today, what do you suppose is happening to a commodity that is not monetary?

Oh, well I guess it's not personal. In fact, the gold price is ticking a new recovery high vs. the oil price.

So if the Banksters hate gold they must utterly despise oil.

Either that or the markets are simply doing what they are supposed to be doing at this point of the macro in transition. A side benefit, that will confuse the 'buy gold, silver, copper, oil, hogs!!!' herd, a rising Gold/Oil ratio is a discretely positive fundamental for the gold mining industry.

Gary Tanashian successfully owned and operated a progressive medical component manufacturing company for 21 years, through various economic cycles. This experience gave Gary an understanding of and appreciation for global macroeconomics as it relates to individual markets and sectors. Along the way, Gary developed an almost geek-like interest in technical analysis (TA), to add to a long-time interest in human psychology. Various unique macro market ratio indicators were also added to the mix, with the result being a financial market newsletter, Notes From the Rabbit Hole (NFTRH) that combines these attributes.

See the full archive of Gary Tanashian.

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