Commodity-TV

The whole world of commodities in one App!

Watch Management & Expert Interviews, Site-Visit-Videos, News Shows and receive top and up to date Mining Information on your mobile device worldwide!

Download our unique App for free!
Commodity-TV Play Store
Commodity-TV App Store
Commodity-TV

Social Media


Gold is undervalued

This is supported by the chart of the Gold Dow ratio. This expresses the relation between the index points of the Dow Jones Index and the gold price.

In 1932 the global economic crisis was in full swing and the gold-dow ratio fell to 2. Stock markets stagnated and the upturn in gold prices led to a ratio of 1 in 1980. Compared to the gold price, which was around 850 US dollars per ounce of gold, stocks had bottomed out. In the coming years, equities rose in value and gold fell to a price of 250 US dollars per ounce. That was in the late '90s.

Since 1900, the value of the gold price has reached three times the value of the Dow Jones Index, i.e. a ratio of 1. However, the average value of the gold to Dow ratio since 1900 is around 10. As the peaks of this ratio have become increasingly pronounced, many experts expect the gold to Dow ratio to fall below 1 at the next low. In 2012, by the way, the ratio was still at 8. If the global monetary and financial system were to slide further into the crisis and the ratio fell cautiously to a value of 2, this would mean a gold price of 5,000 US dollars per ounce, with the Dow Jones index at 10,000 points, around half its current level.

Gold is therefore undervalued and the time to invest in gold companies should not be the worst now.

An investment in growth-oriented gold companies such as Revival Gold or Orsu Metals could pay off. Revival Gold - https://www.commodity-tv.net/c/search_adv/?v=298803 - is successfully working on its Beartrack gold project and the nearby Arnett gold project in Idaho. Drilling at Beartrack returned up to 20.1 grams of gold per ton of rock. Further investigations will follow in 2019.

Orsu Metals - https://www.commodity-tv.net/c/search_adv/?v=298670 - is expected to complete the resource estimate for its Sergeevskoe gold project in the Russian Federation this month and an initial economic evaluation will follow in spring 2019.

In accordance with §34 WpHG, I would like to point out that partners, authors and employees can hold shares in the companies mentioned in each case and therefore there is a possible conflict of interest. Only the English version of these messages applies.

Disclaimer: The information provided does not constitute any form of recommendation or advice. We expressly point out the risks involved in securities trading. No liability can be assumed for damages resulting from the use of this blog. I would like to point out that shares and in particular warrant investments are generally associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. I expressly reserve the right to make a mistake, in particular with regard to figures and exchange rates, despite the utmost care. The information contained herein has been obtained from sources believed to be reliable but does not claim to be accurate or complete. Due to court rulings the contents of linked external sites are also to answer for (so among other things district court Hamburg, in the judgement of 12.05.1998 - 312 O 85/98), as long as no explicit dissociation from these takes place. Despite careful control of the contents, I do not assume any liability for the contents of linked external sites. The respective operators are solely responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: www.resource-capital.ch/en/disclaimer.html

Always up to date with the newsletter from SRC

Swiss Resource Capital AG will use the information you provide in this form to keep in touch with you and to provide you with updates and marketing information. To receive our news, you still have to give us permission to send you E-Mails below.

You can change your mind at any time by clicking on the Unsubscribe link, which you can find in the footer of every email you receive from us, or by contacting us at info@resource-capital.ch. We will treat your information with care and respect. For more information about our privacy practices, visit our website. By clicking below, you agree that we may process your information in accordance with these Terms.

We use Mailchimp as our marketing platform. By clicking below to subscribe, you acknowledge that your information will be transferred to Mailchimp for processing. Learn more about Mailchimp's privacy practices here.

* indicates required
PDAC 2019

Always up to date with the newsletter from SRC

Swiss Resource Capital AG will use the information you provide in this form to keep in touch with you and to provide you with updates and marketing information. To receive our news, you still have to give us permission to send you E-Mails below.

You can change your mind at any time by clicking on the Unsubscribe link, which you can find in the footer of every email you receive from us, or by contacting us at info@resource-capital.ch. We will treat your information with care and respect. For more information about our privacy practices, visit our website. By clicking below, you agree that we may process your information in accordance with these Terms.

We use Mailchimp as our marketing platform. By clicking below to subscribe, you acknowledge that your information will be transferred to Mailchimp for processing. Learn more about Mailchimp's privacy practices here.

* indicates required