NFTRH+; Regarding gold stocks, this is no coincidence…

It is no coincidence that gold stocks are positive as broad markets correct to varying degrees.

As the inflation trades cool, gold begins to out-perform. Most gold bugs demand – against reality – that gold act as a supreme inflation hedge, which it is not. Hence, our long-standing insistence that inflation cool down before we can take a positive macro fundamental view.

Here are some pictures that would greatly help gold mining fundamentals if they rise and/or continue rising. Note how gold is already starting to out-perform the most inflation-sensitive stuff, i.e. commodities. That could be the beginning.




Gold/Industrial Metals


Gold/S&P 500

Gold/Global stocks

Let’s add a new twist, given our long standing negative relative view of gold and inflation.

Gold/Inflation Expectations