In his Tuesday morning report, Mr. Rosenberg plugged the value of gold versus the level of the Dow Jones over a period stretching from 1900 to the present day, and found two historical low points: just after 1930, and 1980.
The current decline in markets coupled with the run-up in gold is approaching the same nadir, but is not quite there yet.
“If this ratio ends up retesting the two fundamental lows that it has achieved in the past … what we would be talking about here is a Dow 5,000 trough at some point down the road,” he said.
That's quite a forecast. For trivia's sake: when the gold bull market ended in January of '80, the Dow and the gold price briefly crossed.