*Source - macro trends
👆🏼 for a _*Golden Sunday*_
A 100 yr old Gold Price chart in USD $ terms
The beauty of this chart is...
_*the GREY LINES are all the RECESSION PERIODS*_
The possible conclusion we can draw from this historical evidence......
_*Gold price goes up just before a recession start & rarely goes up during the period of recessions*_
Pls check the blue line against the backdrop of the grey lines
_*history teaches us a lot, if & only, we are ready to learn from it*_
The 2 big spikes of blue lines you notice are the periods between...
1972 to 1981
2000 to 2012
_And the gap between 1981 peak to the next peak in 2012 is about 31 years_ 😀
_The price didn't touch the 1980 peak, right until about 2007.....a full 27 years_
I'll also share an INR vs USD price chart on Gold, soon
You'll know how much impact this global price & INR depreciation have on it
USD $ is the Purple line
INR ₹ is the Green line
_*Do they move in tandem? Yes....most of the times*_
*Except when, INR Depreciates faster against the USD, than the movement in price of Gold*
Pls notice the 2013 green spike & the last one year's super green spike ...up, up & up
The truth in having common money with an uncommon sense is.....
_*Gold is good to hold as much as we need*_
_*Real Estate is good to hold as much as we need*_
_*Equities are good to hold as much as we need*_
_*Fixed Income are good to hold as much as we need*_
Bottomline....
I've been getting too many emails on the beauty of buying into gold via the Sovereign Gold Bonds, Gold themed Mutual Funds, Gold ETFs.....
History teaches me again on this....
_the more the emails on an asset class, the lesser is the probability that it can deliver over the bound returns for the future_ ....... This is the Ultimate Truth ☺️
No comments:
Post a Comment