UBM - Gold And Freight Rates Point To An Industrial Metals Rally
Editor's note: Originally published at tsi-blog.com on August 20, 2019.
[This post is a modified excerpt from a recent TSI commentary]
Gold tends to lead the industrial metals sector at intermediate-term bottoms, i.e., the US$ gold price tends to make an intermediate-term bottom and commence a multi-quarter (or multi-year) upward trend in advance of the Industrial Metals Index (GYX). Evidence of this can be found on the following chart comparison of the US$ gold price and GYX. Specific examples are:
a) The gold price reversed upward in April of 2001 and GYX did the same