2023 - WATCH OUT FOR GOLD - SILVER - SP500 -
GOLD - SILVER - SP500 -
I have a little spreadsheet in which I recorded every ‘ MAJOR EVENTS’ since 1920 to the opening and closing of some of the most popular investments in history. Its a hobby thing.....
During times of economic or political upheaval, the performance of these investments rebounds in Similar ways. Especially since 1972/3/4 during and after the Oil Embargo.
As the global economy continues to face uncertain times, many investors are looking for safe-haven assets to protect their wealth. One popular option is to invest in precious metals such as gold and silver, which are known for their stability and value. In particular, during a recession, the relationship between gold, silver, and the S&P 500 index is worth examining.
Historically, gold and silver have been viewed as safe-haven assets that can provide a hedge against economic downturns and market volatility. This is because precious metals are considered to have inherent value and are not subject to the same risks as stocks and other financial instruments. As a result, when the stock market experiences a downturn, investors may turn to gold and silver as a way to protect their wealth. But let's not forget, Old money is now shifting to a newer asset class, mainly Bitcoin.
One way to measure the relationship between gold, silver, and the S&P 500 is to examine their price movements over time, which is what I’ve shown above .
However, it is essential to note that the relationship between gold, silver, and the S&P 500 is only sometimes predictable. While gold and silver may perform well during a recession, there are also times when their prices may decline. This is because the demand for these assets is not always constant, and can be influenced by a variety of factors, such as interest rates, inflation, and global economic conditions.
Overall, while there is a general correlation between gold, silver, and the S&P 500 during a recession, it is not always a direct relationship. Investing in precious metals can be an excellent way to diversify a portfolio and protect against market volatility, but it is essential to monitor market conditions carefully and consider the potential risks before making any investment decisions.