A Second Secular Gold Bull Market Is Born In Early 2001
The second (i.e. current) secular gold bull market was birthed with the new millennium. Indeed, investors worldwide stampeded to buy gold as it bottomed at about $256/oz in 2001. And from 2001 to late 2011, the gold price soared hyperbolically +650%. But as all secular bull markets occasionally correct (regardless of asset class), gold too has corrected down 39% during the past three years. Consequently, the shiny yellow today is grossly over-sold…taking into account its extremely bullish fundamentals.
The gold price chart below covers the period from 1960 to 2020 (i.e. 60 years). It is imperative to notice the Price “Y-Axis” is in Logarithmic Scale…as this study suggests the US$ price of gold can go viral from here to the year 2020.