Oil's Pain Is Gold's Gain as Nervous Traders Seek Safety: Chart

Oil’s plunge into a bear market is bolstering gold’s appeal as a haven as traders question the outlook for inflation and economic growth. One ounce of gold buys 29 barrels of oil, the most since just before Donald Trump ascended to the U.S. presidency. “This ratio on the highs may suggest nervousness in the financial markets about global economic prospects as the energy commodity drops compared with the safe-haven asset,” said Tai Wong, head of base and precious-metals trading at BMO Capital Markets.