Chart of the Day - Thursday, February 18th, 2021
February 18, 2021
Today’s Chart of the Day was shared on Twitter by Ryan Detrick (@RyanDetrick). The chart shows the Copper/Gold ratio in black, and the 10-year Treasury yield ($TNX) over the past 15-years. Ryan points out that a rising Copper/Gold ratio is a sign of an improving economy and higher interest rates. Just take a look at how strongly correlated the Copper/Gold ratio has been to the 10-year Treasury yield over the years. If Copper continues to outperform Gold, expect interest rates to head north as well. For more on this relationship, check out this white paper.