..currently S&P500/Gold ratio is about 2 (6000/2935)
..what would it take for it to drop to 1
1. S&P500 fall by 40%, Gold to 3,600
2. S&P500 fall by 20%, Gold to 4,800
..what would it take for it to drop to 0.7
1. S&P500 fall by 60%, Gold to 3,428
2. S&P500 fall by 40%, Gold to 5,142
3. S&P500 fall by 20%, Gold to 6,857 [less likely]
...so Gold could range from $3,400 to $5,000 IMO in the aftermath of the next major market correction, but with Gold initially falling in tandem.
Gold vs. Stocks 2025 May Mirror 1971 - The highest US #stockmarket capitalization vs. GDP in about 100 years may be nearing an apex if #gold is a guide. At 2.0 ounces of the metal equal to the S&P 500 on Feb. 21, the rolling-over ratio appears akin to 1971, when Nixon depegged the dollar from gold.
