Sunday, December 21, 2008

Gold and Gold Stocks Show Relative Outperformance

As this useful performance chart from the Stock Charts site indicates, gold (GLD; blue line) has considerably outperformed commodities as a whole (DBC; green line) since October. Gold and silver mining stocks (XAU; red line), meanwhile, have taken the performance lead in the past month, perhaps anticipating higher prices to come in the wake of a weakening U.S. dollar.