Gold’s Bull Era Signals across Global Markets

In the latest episode of Talking Trades, market analysts and chart technicians Kevin Wadsworth and Patrick Karim examine why gold appears to be in a bull era and what this signifies for a wide range of asset classes. They explain how long-term comparisons against major economic indicators help identify extended periods in which gold gains strength relative to broader markets. These signals have appeared in past cycles and now seem to be emerging again.

Discover more insights with Talking Trades, a weekly educational show hosted by industry experts Kevin Wadsworth and Patrick Karim of NorthStar & BadCharts, analysing the latest movements in the precious metals market.

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A gold bull era is not defined by simple increases in the US dollar price. Instead, it is identified through long-range ratios that fall through multi-year support points. Previous cycles in the 1970s and the early 2000s offer strong reference points, with each period showing similar breakdowns in ratios comparing gold with money supply measures before gold advanced across global markets.

Charts that compare gold with the United States money supply, currency in circulation, and the US dollar index have recently fallen below long-standing trends. These moves point to renewed strength in gold relative to broad economic aggregates. Breakouts in comparisons between gold and consumer price levels or producer price levels reinforce this finding.

Gold’s performance becomes clearer when measured against major equity benchmarks. Ratios such as gold versus the S&P 500, gold versus the Dow, and gold versus the New York Composite Index show important reversals. In earlier cycles, similar reversals suggested that gold was beginning to outperform broader equity markets. Current movements resemble those of earlier periods.

How equity sectors perform when expressed in gold terms is important. Communication services, consumer discretionary companies, consumer staples, industrials, materials, financials, healthcare, and real estate have all fallen sharply in long-term comparisons. These declines reflect underlying weakness that does not appear in nominal charts.

Oil and gas producers often align with commodity cycles, yet they also trail gold at present. Technology, despite its strong nominal gains, remains far below its early-century level when expressed in gold. The comparison shows that nominal performance can conceal long-term loss of strength when measured against a stable reference.

The broad pattern across sectors illustrates a long-running movement in comparative strength. When gold gains against most sectors at once, it suggests a reordering within the wider system. Holders of pension funds, index trackers, and diversified accounts may not notice these changes because nominal performance obscures deeper trends. Long-term gold ratios offer a clearer view of how asset classes compare across entire cycles.

It’s noteworthy that this pattern is consistent with earlier market cycles. In previous periods, widespread sector weakness in gold comparisons often appeared ahead of adjustments in broader markets. This does not speculate on outcomes. Instead, it highlights how the long-range charts document a transition in comparative value. These charts help reveal forces that are not visible in short-term pricing.

A gold bull era is not a narrow event. It reaches across many sectors and influences how various asset classes compare over long periods. Observing these relationships assists in understanding how markets evolve over extended cycles and how gold functions as a reference point for long-term strength.