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.
Chart of the Day - Thursday, February 18th, 2021
February 18, 2021
