Following post is from another site: One of my favorite charts towards end of J Hussman article (link), showing the price of gold divided by the PM mining basket (as expressed by the XAU Index).
The previous, post-WWII trading band ratio of 2.5 – 5.0 dictated rough company valuations and today’s action (20Jul2015), the Au / XAU ratio at about 22.00.
The reversion back to anywhere close to the valuation mean for the PM mining will be historic IMO … back to waiting patiently for that inevitable reversion to emerge.