This chart shows the inflation adjusted performance of the Dow Jones Industrial Average over the three major secular market cycles of the last 100 years. Each graph line begins and ends at the lowest point of the cycle.Data Sources: Yahoo Finance, BLS
This chart compares the early stage secular bull market in gold that began in April of 2001 with the Dow Jones Industrial Average secular bull market that began back in May of 1982. Since the dow and gold tend to move in a counter-cyclical fashion, it would seem to indicate that the Dow bull market is on its last legs while the gold bull run could have quite a long way to go yet.
This chart shows the ratio of gold (priced in dollars) to the S&P 500 market index. This ratio is a good indicator of investor confidence in the dollar/fiat currency system. A low ratio signifies high confidence (gold low, S&P high) and a high ratio signals a lack of confidence (gold high, S&P low). The ratio hit its peak of 5.94 back in January of 1980 when gold briefly traded over $800 an ounce.
This chart tracks the ratio of the Dow Jones Industrial Average to the price of gold. The number tells you how many ounces of gold it would take to buy the Dow on any given month. Previous cycle lows have been 1.94 ounces in February of 1933 and 1.29 ounces in January of 1980.
This chart shows the inflation adjusted performance of the S&P 500 over the three major secular market cycles of the last 100 years. Each graph line begins and ends at the lowest point of the cycle and is adjusted for inflation using the headline CPI.
This chart compares the four largest market bubbles of the last 100 years. It includes the Dow Jones Industrial Average in the 20s, gold in the 70s, technology stocks in the 90s and the recent oil price bubble.
This chart shows the S&P 500 annual % change compared to the spread between the 10-year and 3-month Treasury (Yield Curve) using standard deviation and a 6-month moving average. The yield curve leads the S&P by roughly 24 months and has been shifted backwards by that amount to illustrate how closely the two indicators track together.