Can one of you metalheads explain why gold hasn't shot through 2000 today?

[MrMuppet]

Well, why do you think gold has not cracked 2k?

My personal take and the only viable reason: People do not buy gold, period.

Stop trying to explain things, try to understand what the people who are involved might do next.
When everything goes to shit, why would I rush into an asset that has no yield, is expensive to store and has no real value aside from being heavy and shiny?
I would try to squeeze out the last bit of risk free return possible - > hello treasuries

 

[padutrader]

though it seems it should be that way.

why
gold follows stocks with a time lag

so if stocks go up, gold does too.

if stocks turn down ,gold does too but after a lag......so it continues up a bit and then turns down.

 

[tsfx]

(tapping fingers on desk, patiently waiting for an answer...)

You'd think that in this type of market there would be a stampede into gold.

JP Morgan manipulating the price again?

Market isn’t the same as it’s been a decade ago. Supply has become waay smarter, faster and more efficient to take the other side of your position. He has no need to get out of the position while u do. Which way do u think the price will go then? Everybody knows that you want to buy gold in todays environment.

 

[dealmaker]

(tapping fingers on desk, patiently waiting for an answer...)

You'd think that in this type of market there would be a stampede into gold.

JP Morgan manipulating the price again?

Just a guess; oil is down, Russia is selling the gold they have been accumulating last few years...

 

[schizo]

dow has bottomed out

Man, you need to be instituitionalized.

 

[schizo]

Gold Price, Gold Stocks And The Coronavirus: Here Are Lessons From 2008

Investor's Business Daily

 

[RedDuke]

Man, you need to be instituitionalized.

Not really, Padu has a fantasy and hoping reality will catch up. When you all long, it most often does, but when it doesn't........

 

[themickey]

I've seen this kind of thing before... not that this will will be like other, of course.

Initially, gold bumps up as the market starts to decline.

Then, gold "goes down less than the market".... resisting the decline.

Then, gold capitulates to the downside. Perhaps it becomes a matter of "if you can't sell what you want (out of your portfolio), you sell what you can".

Historically it has not been, "gold soars while market declines".. though it seems it should be that way.

Long time players likely recognize this and is the reason they are not "stampeding into gold".

Historically as Scat mentions, gold has a tendency to fall once a large bearish market gets underway.
Gold has a tendency imo to rise due to seasonality of Asian gift buying but also of late Central Banks buying.
I would assume under a bearish market condition gold which was previously hoarded would begin to enter the market selling.

 

[wartrace]

On a day when equities are down 7%+ it is pretty respectable that gold maintained value. I hold gold as insurance.

 

[SunTrader]

Took a look at SPX /Spot Gold ratio and see that it topped out in Sept '18 and has been trending lower till recently it just cratered of course: