This week's chart is an update on our "take the global view" stance on valuing assets.
Longtime readers know we encourage folks to look at the world's assets through several different lenses. This exposes you to more knowledge, more perspectives, and thus, more opportunities.
One "lens" we're fond of is the price of gold as seen by a European. In U.S. dollar terms, gold is enjoying a modest uptrend. But in the eyes (and pocketbook) of a European, the price of gold is absolutely soaring in response to the deteriorating value of his paper money.
This is the market telling him "there's no such thing as a free lunch"… that the problem with massive nanny state socialism is, sooner or later, you run out of other people's money. Real wealth, as represented by gold, rises in response.
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