Thank you! :) I love running calculations just for fun! 🤓 If only I were better at it. The other day, I charted all the prices for the Dow-Gold ratio. It was very interesting, but I don't trust my numbers. I got a low of 1.3:1 in Feb. 1990, a high of 42.19:1 in Aug. 1999, and a current of 16.79:1 when gold was $2348.20 and the Dow was $39433. Then I calculated an average factor of 21.75:1 for an average price of gold at $1813 when the Dow was at $39,433 which was quite lower than the actual price of gold at that time. For silver, I really don't trust my numbers from the charts because I couldn't pinpoint them. July 2001 Dow ~ 10,500 -- Dow-Silver Ratio 2488.84 -- Price of Silver about $4/oz April 2011 Dow ~ 12,500 -- Dow-Silver Ratio 263.6 -- Price of Silver about $50/oz May 2024 Dow ~ 40,003.59 -- Dow-Silver Ratio 1266.34 -- Price of Silver about $31.64/oz Roughly applying the 2001 factor of 2488.84 and using the then Dow price of $40,003.59, I got a lowest silver price of $16.07 per ounce. Applying the 2011 factor of 263.6 gave a highest silver price of $151.75. Averaging the two ($16.07 and $151.75), I got an average price of $83.91 per ounce of silver if the Dow held steady. That seemed great but high. Alternatively, I then averaged the two factors ((2488.84 + 263.61)/2 = 1376.23), applied that factor to the more current Dow price of $40,003.59 and got a price per ounce of silver at $29.06, but that seems flawed. At that point I stopped, but it was still entertaining. 🤓 With the GSR you mentioned plus the deviation, I got the following: At a Current Silver Price of $32.15, GSR is 73.08:1 At 82.5:1 = Silver Price of $28.98 At 70:1 = Silver Price of $33.57 At 57.5:1 = Silver Price of $40.86 Super interesting. Back to work now. :)

Oh...and thank you...I'll definitely remember that this all changes if gold is overvalued or there are any changes in the Dow, etc.

@@LaurenTGage If you work with ratios between assets, you can only conclude if the one asset is under- or overvalued compared to the other asset. You cannot determine a fair price. If the Dow is overvalued and the ratio between the Dow and gold is at the average, then gold is overvalued as well. To determine a fair price for a particular asset, you need to compare an asset to a more objective measure to which that asset has a long term high correlation. For instance, you can compare the gold price to M2 money supply, M2 money supply per capita or global GDP (as GDP = money supply x velocity of money). Personally, I use Global Nominal GDP as published by the World Bank and the IMF. Both stock market indices and gold have a high correlation to Global Nominal GDP. Real estate has a higher correlation to inflation. If for the past 50 years you correct the gold price for Global Nominal GDP growth, then you'll get a median gold price of $1,885.- or an average gold price of $2,092.-. The significant difference between median and average, means the data is asymmetric. As the average is higher than the median, it indicates that the price spikes of gold are larger than the throughs. For long term (>20 years) purposes you could say the fair value of gold is the average of $2,092.-. For short to medium term you could say the fair value of gold is the median of $1,885.-. Considering the current gold price of $2,340.- gold is overvalued any which way you look at it. But as the standard deviation is about $1,000.-, gold isn't grossly overvalued. As the gold-to-silver-ratio since 1985 is a symmetric sideways trending dataseries with an average and median of about 70:1, then you can derive the fair value for silver to be either $29.86 (long term) or $26.93 (short to medium term). If you gauge the stock market using the MSCI World Index and correct this index for Global GDP growth, then the average and median are just about 1% different. That is a symmetric data series. The fair value of the MSCI World is about 2,475. As the MSCI World Index now stands at 3,430, you can conclude it is highly likely the MSCI World Index is overvalued. As the standard deviation is about 700, the MSCI World Index is, in my opinion, grossly overvalued. The MSCI World Index is even in its top 17th percentile. This is mainly due to a 70% US weighting and high weighting of tech stocks. This coincides with the conclusion you can draw from the CAPE ratio. Equal weighted indices and value stock indices aren't grossly overvalued (only very slightly overvalued).

@@cyclingphilosopher8798 I'm so glad your comment didn't get deleted with the re-publish. This is awesome information.

Thank you and God bless!

Wow. That's a great compliment and means a lot to me. Thank you very much @michaellindquist1023! :)