Tether (USDT) is 4002.8× the size of Precious Metals USD (PMUSD) by market capitalisation. Over the past 30 days, USDT is ahead by 16.8 percentage points (PMUSD -16.7% against USDT +0.0%). Their daily returns move barely together (correlation 0.26 across 27 shared trading days). PMUSD has been the more volatile of the two, at 152% annualised against USDT's 0%.
| Period | PMUSD | USDT | Ahead |
|---|---|---|---|
| 7 days | -8.83% | -0.01% | USDT |
| 30 days | -16.74% | +0.05% | USDT |
| Metric | PMUSD | USDT |
|---|---|---|
| Max drawdown (400d) | -26.2% | -0.0% |
| Risk-adjusted return (90d) | -0.11 | 0.19 |
Relative strength over 90 days: USDT outperformed PMUSD by 25.2% — measured on the PMUSD/USDT ratio, so it holds regardless of market direction.
Measured on daily returns rather than on prices. Two assets that both simply trend upward score near 1.0 on raw prices whether or not they move together, so returns are what answer the question people mean by correlation.