MILLIONAIRE METRIC Vancouver, Calgary & Toronto Single Family Detached and a Millionaire all priced in $CAD Ounces of Gold
The chart above attempts to look for breakouts or breakdowns in the hot Canadian real estate markets when valued in a globally traded "currency".
Bullion attracts investment when credit markets contract because of its classic use as a hedge against currency depreciation and its ability to act as a store of value.
In February 2020 the nominal price of gold rose 3.9% in CAD and 2.3% in USD keeping the TSX Gold Index well above the midpoint of the last 6 year price channel and breaking above the 2016 high.
Gold pricing is being liberated by the underlying price of oil which after rallying since June 2017 is heading lower as the U.S. Dollar rallies. But Interference to this trend is also being provided by the need for global USD debt holders to sell gold which is a liquid commodity to offset the need to raise USD for debt repayment.
This chart downtrend is your friend if you own gold and are looking for an entry into the single family housing market. Calgary housing has been heading towards a value proposition especially with earnings in Alberta that remain the highest in Canada.