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Message:: [QUOTE="Rono, post: 779581, member: 6492"]Hi palerider,   Indeed, the bets at this time based upon historical relationships are to overweight mining stocks relative to bullion and overweight silver relative to gold.   In the former, the gold/XAU ratio has an equilibrium level of 4.0.  Above that means that mining stocks are cheap relative to bullion and below they're dear relative to bullion.  Although I firmly believe this equilibriuim mark should be shifted upwards to 5.0 or even 5.5 due to the advent of the gold ETF's, it's currently at 6.4 and has been has high as 7 and 8.   As for the gold/silver ratio, like you say, historically this has been between 15 to 1 and 20 to 1.   When gold and silver peaked early in 1980, gold hit $850 and silver $50 . . . or 17 to 1.   Right now it's 62 to 1.  And in all fairness, there are many who posit that the ratio number should be adjusted upward due to the fact that silver is no longer used as money.  I disagree due to its even increasing industrial demand.  Will it ever get back to 20 to 1?   Perhaps, but at 62 to 1, I feel it's a safe bet to overweight it relative to gold. As for Palladium and Platinum . . . purely side bets. rono[/QUOTE]