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Past crashes suggest gold's recovery will take years.

Friday, April 26, 2013 - 03:10

April 26 - We've had the crash, now what for gold? A look back at the biggest losses in other major markets suggest it could take years for gold to recover. Just how many remains to be seen.

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Gold is having especially this year. This follows a -- -- stuck to the month. April 15 2015. Was a historic day for the -- of its biggest fall in fifty years under nominal terms its biggest fall ever. So where does gold go from here no one knows with any certainty of course but what happened back then and 1983. How does goals collapsed last week compared with -- atrocities and other markets and what happened next. But gold had spent much of 1979. To 1982. About 500 dollar tonight's. But when 1983 NORTHERN IRELAND the market go back to go. As the US she called -- -- and and took the so called Reagan boom the safe haven appeal of gold evaporated. And the prices tumbled. It didn't it's on back above 500 dollars for almost twenty years. After the so called so what -- despite months opened Monday. Solo went into up along bear market and slumping as -- C Dulles fifty United's. An -- 1993. It didn't get back above nine dollars and nine -- and six -- 97 trust level but up to ninety yeah. Oil prices have rockets -- in late 1990. Off the Saddam Hussein invaded Kuwait. But the US led desert storm offensive against -- started on January 17 1991. And oil instantly tumbled by almost 55%. I -- -- supply would quickly come back onto the market. Crises did that come up. -- it took a full nine years to get back to pre crush levels around 51 dollars -- This was the Friday after Lehman and was the biggest one day total with some loss on ten year treasury notes on the Bank of America Merrill Lynch index. I'm hugely volatile time of course on the yields rose further in the coming weeks. As you can see here -- Trace today's extended them -- you'd go run a new set a record low in July last year. The day after the famous plaza accord to weaken the dollar what's hot doubled in value during the first half of the 1980s. -- seven -- as well she's. The dollar actually failed so much and so quickly -- -- G-7 was forced to stop the ball only two years wakes up with the -- -- caught. The dollar has been a -- media as plaza levels since. The infamous black Monday stock market crash of October 1987. S&P fell further in the following months before starting -- recovery. And then it's on to -- trust labels for two years. -- often thought though there was no stopping it drawn up to 1553. Points and LE 2000. So what lessons can we draw from gold from these examples. You could say it usually takes years but pricing is to get back to -- -- ties. But with markets supported by trillions of dollars essential by a quick statement we Oden a brave new world. -- we gave up photos of.

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Past crashes suggest gold's recovery will take years.

Friday, April 26, 2013 - 03:10