Comments on: Real bear markets last at least three years http://sovereignspeculator.com/2008/09/16/real-bear-markets-last-at-least-three-years/ Thoughts on the markets and the decline of the west Fri, 09 Dec 2011 21:16:58 +0000 http://wordpress.org/?v=2.6 By: Mike http://sovereignspeculator.com/2008/09/16/real-bear-markets-last-at-least-three-years/#comment-177 Mike Wed, 17 Sep 2008 14:27:17 +0000 http://sovereignspeculator.com/?p=962#comment-177 Totally agree. The longer gold lingers below 1000, the lower the nominal Dow will go. Adjusted for inflation, the Dow 800 of 1982 would be about 2500 today. Why is it crazy to think it could go that low again? Dow 40 of 1932 would be like 800-1200 today. Stocks are equity, and as we have seen lately, equity can go POOF when heavy leverage is involved. Totally agree.

The longer gold lingers below 1000, the lower the nominal Dow will go. Adjusted for inflation, the Dow 800 of 1982 would be about 2500 today. Why is it crazy to think it could go that low again? Dow 40 of 1932 would be like 800-1200 today.

Stocks are equity, and as we have seen lately, equity can go POOF when heavy leverage is involved.

]]> By: hcrosby http://sovereignspeculator.com/2008/09/16/real-bear-markets-last-at-least-three-years/#comment-176 hcrosby Wed, 17 Sep 2008 13:47:09 +0000 http://sovereignspeculator.com/?p=962#comment-176 I have been saying for some years that we would once again reach a point where one ounce of gold will purchase the entire Dow. It happened in 1932, and again in 1980. The only unanswered question is, at what price will they converge? $8,000? $5,000? $3,000? Who knows. But the Dow has a long way to go down, and gold has a long way to go up. I have been saying for some years that we would once again reach a point where one ounce of gold will purchase the entire Dow. It happened in 1932, and again in 1980. The only unanswered question is, at what price will they converge?

$8,000? $5,000? $3,000? Who knows. But the Dow has a long way to go down, and gold has a long way to go up.

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