During periods when US equities have experienced prolonged losses, precious metals—particularly gold—have shown strong real returns, according to TD Securities’ Izidor Flajsman, as reported by FX Street. In contrast, broad commodity performance during these times has been more varied and less consistent.
Flajsman’s analysis points to gold’s role as a reliable store of value amid equity market downturns, emphasizing its potential as a defensive asset. While commodities as a whole delivered mixed results, gold's resilience stood out notably during these challenging decades.
For Japanese investors navigating volatile global markets, understanding the historical performance of gold versus equities and commodities can inform portfolio diversification strategies, especially given ongoing uncertainties in both FX and equity markets.
