Technical Analysis—SPX / PPI Price Relative
Figure 1. $SPX:Producer Price Index (or proxy of inflation) Ratio Chart (Courtesy: TradingView.com ) @NorthstarCharts has shared the above long-term $SPX:$ PPIACO ratio chart. It shows how the S&P index is doing against changes in the producer price index (or PPIACO ). The interpretation of it is this: So $SPX can go up but inflation will go up faster—meaning the line will still drop. Basically, @NorthstarCharts is still bullish on metals moving up on this asset rotation. $SPX:$$PPI The below charts were drawn using stockcharts.com: Figure 2. $SPX:$$PPI (Producer Price Index; Courtesy: stockcharts.com ) on 10/08/2022 Video 1. The 2022 Bear market Cycle Is Still Playing Out (YouTube link ) References TradingView.com