Gold is the Bubble – Not the Stock Market

The bull market in stocks kicked off on October 12, 2022. Since then, the S&P 500 has surged 95% - a phenomenal return for long-term investors.

But even that incredible performance pales in comparison to gold’s run. The precious metal has soared an astonishing 154% over the same period.

Lately, everyone seems to be calling for a stock market or “AI bubble.” I’ve said it before, and I’ll say it again - AI is not a bubble. Sure, a few names got ahead of themselves and are due for a healthy pullback. But the megatrend driving artificial intelligence is only in the early innings.

Look beyond the flashy headlines about Big Tech, and you’ll see that the broader market isn’t anywhere near bubble territory. Over the past year, the Invesco S&P 500 Equal Weight Index (RSP) is up just 3%, while the Roundhill Magnificent Seven ETF (MAGS) - the one loaded with the mega-cap AI leaders - is up 35%.

So when someone screams “bubble,” they’re either uninformed… or blinded by the outperformance of seven giant stocks. The other 493 companies in the S&P 500 are doing just fine - not flying too high, not crashing down.

Breaking news: China just walked away from key U.S. trade talks —
and markets are reacting fast.

Most investors see chaos… I see opportunity.

Because history shows every tariff cycle creates massive winners —
the companies positioned on the right side of the trade war.

In my latest video, I reveal the top “Tariff War” stocks set to surge as America
doubles down on manufacturing, energy, and supply-chain independence.

Watch it now before Wall Street catches on.

Now, let’s talk about the real bubble: gold.

I get it - central banks are buying it, and many old-school investors still see it as a safe haven and store of value. But here’s the problem: what does gold actually do?

Outside of jewelry and a handful of industrial uses, gold has very little true utility. It doesn’t produce cash flow, create innovation, or drive economic growth. Its biggest “function” is providing people with peace of mind.

Meanwhile, the companies that make up the S&P 500 are building, innovating, and earning record profits - which is why their stock prices are climbing.

The case for gold as a store of value is understandable… but at these levels, it’s become one of the most crowded trades of the decade.

So if you’re looking for a bubble, don’t point your finger at the stock market - look at gold.

Here’s to the future,
Matt McCall
Editor, Market Insights