|Dow-Gold Ratio (monthly, linear scale)|
Yesterday, the market cheered the Go6 along with some strong earnings. But we will have a good idea that America has solved a good bit of its problems when this ratio bottoms and climbs above the blue (EMA 35) line for a month or two.
It would be really cool to have to abandon the current investment theme (precious metals) and go forth and invest in the new America. That is because I would prefer not to be a gold bug, and that dear reader is because it would mean my country was fixing itself for real. As yet, despite the cheer that was expressed yesterday, the Dow-Gold ratio remains on the mat.