Consider this:

  1. Commodities are the lowest they have been perhaps ever relative to financial assets.
  2. Gold miners are perhaps the lowest they have ever been relative to the price of gold.
  3. The world has never been as indebted as it is now
  4. We are living in the only period of time when no currency on the planet is tied to a hard asset
  5. The world just embarked on the largest money printing scheme ever
  6. Helicopter money is coming
  7. The world is in a recession and might go into a depression

You can potentially live a hundred life times without ever seeing an asset class (gold miners) this undervalued with this many tail winds.

The tragedy is that after the worst bear market ever (percentage wise), the vast majority will not be in anywhere near the bottom.

We are living in the most “modern” monetary era ever, with the most “modern” monetary schemes ever, on top of living in a world where gold has never been so “far away” from the average person’s conscious.

Peak FIAT/financial engineering was always destined to coincide with peak real value ignorance.

Come to think of it, this might be beyond a generational event.

What is also tragic (and telling) are the record highs in gold/X ratios because it tells us that the small minority of “smart money” knows what is happening since gold has never traded more like a monetary metal since the world abandoned the gold standard than today.

 

Leave a Reply

Your email address will not be published. Required fields are marked *

Name *
Email *
Website

If you want to show appreciation