Loading ...He knows exactly what he’s talking about, and it all made perfect sense to me. And that old Dow Gold Ratio, its been a long time since the last one, ($800 Gold 800 Dow) and it will probably happen again. Or very close to it.
Even 10,000 Dow and $5,000 gold would be good. But sure, 20,000 Dow and $20,000 Gold is possible. Won’t surprise me. Dollars are very small these days, like $1 the size of 4 slices bread. $1 used to buy 10 loaves of bread.
You can almost compare a Dollar to a Copper penny. I think a 95% pure Copper penny is realistically worth a lot more than 4 slices of bread. And Copper on COMEX at $2.25/lb is ridiculously cheap. Geez, decent chop meat $4-$6/lb, and we eat it.
Pierre Lassonde was right, lower energy costs adds a lot of profits onto metals and their miners.
Plus it all fits with everything reversing. Gold has been too low for too long. As Rodney Dangerfield used to say, it got no respect. Reverse? Gold gets respect. And the miners? They will be like money producers. Imagine more power than the Fed Banks or the Treasury? Would they getaway with that? It would be like us allowed to print $100 bills in the basement.