Definition of Mint ratio:
Investors trade the ratio by buying gold and selling silver, and vice versa. The relationship between these two precious metals is taken to be a measure of investors’ economic optimism, as the mint ratio is inversely correlated to risk appetite. The mint ratio rises in downturns, for example, because investors often seek out gold in periods of uncertainty and silver tends to underperform because it is an industrial metal.
The mint ratio, or gold/silver ratio, is the price of an ounce of gold divided by the price of an ounce of silver, and is the exchange rate between the two precious metals. It is sometimes used as a proxy for market risk, and whether risky assets are overvalued or undervalued.
Price of an ounce of gold divided by the price of an ounce of silver.
Meaning of Mint ratio & Mint ratio Definition