Loading ...THE DOW WILL LOSE 97% IN REAL TERMS – GOLD
The Dow/Gold ratio is today 15. In 1980 it was 1 to 1. The ratio topped in 1999 and the long term trend is now down as the chart below shows.
The target for the ratio is 0.5 to 1. This means that the Dow will lose 97% against the Dow in coming years.
Few people believe this magnitude of decline is possible.
But remember the Dow in itself went down 90% from 1929 to 1932 and that it took 25 years before it recovered.
This time the situation is drastically worse both from a debt point of view and overvaluation of stocks. So 95%+ is not unrealistic.