Stocks Priced in Gold Expose the Big Wall Street Lie
What Happens When You Stop Thinking in Dollars?
I used to believe stocks always go up. It’s what everyone said, right? Buy and hold. Trust the system.
But one day, I stumbled across a chart that flipped everything upside down.
It wasn’t the S&P 500 in dollars — it was stocks priced in gold.
And suddenly, that beautiful, upward-only chart started looking a lot messier.
What if we’ve been measuring success with the wrong ruler?
What if the real story isn’t growth, but illusion?
1. The S&P 500 in Gold Terms: A Completely Different Picture
You’ve probably seen that classic S&P 500 chart — the one that looks like a never-ending escalator to riches.
But when you switch from dollars to grams of gold, the story changes. Dramatically.
The S&P 500 in gold terms isn’t a smooth ride up. It’s a rollercoaster with sharp climbs and devastating drops.
If you bought in the late 1990s and held until 2025, you’re pretty much flat in gold.
Think about that: 25 years, and no real gain — at least not when you remove the inflation filter.
Wall Street shows you the version that flatters fiat currency. But gold?
Gold tells the truth.
2. Why Gold vs Stocks Performance Reveals the Real Story
Here’s where it gets uncomfortable: the reason stocks “go up” might have more to do with the dollar going down than actual wealth creation.
Gold vs stocks performance strips out the noise of inflation, QE, and monetary policy.
It’s like lifting the hood on a car and seeing what’s really powering it.
Spoiler: it’s not all engines — it’s a lot of borrowed fumes.
Let me give you an analogy. Picture two runners. One’s on a treadmill (the stock market in USD), and the other is outside on a track (stocks priced in gold).
The treadmill runner looks like he’s flying — until you realise he’s not actually moving forward.
That’s what happens when you measure stock market performance only in dollars.
3. Inflation Adjusted Stock Returns Are Less Impressive Than You Think
Now let’s talk inflation — the silent killer of your portfolio.
Every year, your dollars buy less.
So when your portfolio grows 7% but inflation is eating away 3–4% of that quietly in the background, you’re not really making the gains you think you are.
Inflation adjusted stock returns look far less impressive, especially over long timeframes.
When you price assets in gold, which historically holds its purchasing power, you’re looking at performance that’s stripped of central bank illusions.
And let’s be real: The US dollar has lost over 96% of its purchasing power since 1913
(source).
That’s not a leak — it’s a full-on rupture.
Meanwhile, gold holds value.
Gold is the yardstick that doesn’t shrink.
4. Gold as a Store of Value Isn’t Attractive— But It’s Real
People love to dunk on gold.
“It doesn’t yield anything!”
“It’s a barbarous relic!”
Yeah, I’ve heard it all.
But here’s the truth: gold doesn’t go up — currencies go down.
Gold as a store of value isn’t supposed to be a growth machine.
It’s supposed to be a mirror.
It shows you what your money’s really worth, and what your so-called returns actually mean in the real world.
You know what else doesn’t yield anything? A fire extinguisher.
But you’ll be glad to have one when the system catches fire.
So no, gold’s not attractive. But it’s honest.
And if you’re not into hoarding bars in a safe, gold ETFs like GLD or PHYS make it easy to get exposure without the storage drama.
They track gold’s price and offer a more accessible way to anchor your portfolio to something real.
5. What “Stocks Priced in Gold” Tells Us About the Next 10 Years
If you’re still thinking in dollars, you’re measuring wealth with a ruler that keeps shrinking.
“Stocks priced in gold” is more than a contrarian take — it’s a wake-up call.
As central banks keep printing and deficits balloon, you need to ask:
am I actually getting richer, or just riding the wave of currency debasement?
We’re entering a new era where smart investors think in real terms — not fiat ones. That means using gold (or other scarcity-based stores of value like Bitcoin or land) to measure performance and risk.
The idea that “stocks only go up” is a myth — one that cracks wide open the moment you change your measuring stick.
Are You Really Wealthier — Or Just Fooling Yourself?
If I had seen this chart ten years ago, I might have invested very differently. I wouldn’t have ditched stocks — but I’d have thought twice about leaning entirely on the “stocks always win” narrative.
Because if the only way that thesis holds is by sprinkling in 2% yields over decades (historically low, by the way), you might want to rethink the narrative.
When you measure performance in gold instead of dollars, the truth gets uncomfortable.
But discomfort breeds clarity.
So ask yourself:
If your portfolio is flat in gold, are you really making progress?
Or are you just spinning your wheels on Wall Street’s treadmill?
It’s time to stop playing the game by their rules — and start thinking in real value.
The information contained within this blog article is for educational purposes only and is not intended as financial or investment advice.
This information is considered accurate and correct at the date of publication. Changes in circumstances after the time of publication may impact the accuracy of the information.
The performance figures quoted refer to the past, and past performance is not a guarantee of future performance or a reliable guide to future performance.
No representation or warranty is given as to the accuracy or completeness of this information.
Do your own research before making any trading decisions.
