Gold is undervalued
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.
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