Platinum price decline: to invest now or not?
- Thread starter TreasureHunter
- Start date
nicotineandcaffeine
Active Member
9% spread, same as Ag
If it's not AUD or BTC killing off metals, it's USD
If it's not AUD or BTC killing off metals, it's USD
nicotineandcaffeine
Active Member
I'm not bearish plat, I'm not selling, but won't buy until it breaks its 9 years down trend. Close but not quite.
Potential though is great. Very easy market to squeeze and at the moment only one single lonely youtube channel is hyping it
Potential though is great. Very easy market to squeeze and at the moment only one single lonely youtube channel is hyping it
…….And you base this statement on what exactly @nicotineandcaffeine?
With diesel engines on the way out and with negligible demand from jewelry and coins, where is the potential?
Don't hear of any central banks stocking up on platinum either.
But, you might be at least partly right in saying that it is a easy market to squeeze and control with only to main producer countries.
So they may be able to do what the diamond cartel has been doing all these years and release only a small portion of yearly
production to inflate the prices.
But I would not jeopardize my financial future on that slim hope, by investing any significant amounts of capital in platinum that way.
We might as well admit it, the days when platinum was more valuable than gold are in the rear view mirror of world history.
Invest in silver and gold which have been money for thousands of years, and leave this industrial metal where it belongs ( in catalytic converters )
not everybody had the experience of selling Pt at $2,000... now its at 1k after >10 years... so what.. was it good to buy at 600, not a chance how could that b
Silver at 50, when you imagine selling it at that time, when the price is 25, after many years, so what it was good to buy at 14
Silver at 50, when you imagine selling it at that time, when the price is 25, after many years, so what it was good to buy at 14
I considered buying pplt in march, but bought miners instead. Miners went up 3-4x so even if price falls back to $600, I'll only buy a small amount because there will be better bets with more upside with such a collapse. Pt physical is more of fun buy. I like the shine, and it doesn't corrode.
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nicotineandcaffeine
Active Member
More on technicals. High probability of asymmetic returns. Very thin market to squeeze and hype. Easier even than silver.
On fundamentals, Pt as catalyst in exhaust or fuel cells has cheaper alternatives like iron.
Demand from gold counterfeiters.
Be careful what you wish for, platinum prices would have to fall to well under $100 per ounce for the Chinese counterfeiters to get on
board in a big way
I have suspected for a long time that part of the demand for Rd and Pd is for laundering. Companies buying Rd and Pd and the smuggling out of the country. Rd is so expensive, 2kg of Rd "ball bearings" will be worth us$1 million, very easy to put it into a small DHL parcel and send it out of the country. To smuggle the same amount will need 17kg of gold or 1.3tons of silver. This is why I think pt price can go higher because it can serve the same purpose.
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nicotineandcaffeine
Active Member
Interesting but why not continue smuggling with Pd?
Not unknown for old UK and continental gold to be actually Pt
Yes, it will continue but I don't think the demand from smuggling can replace the industrial demand.
Pt has advantages over Pd in that it is more liquid, and is still considered a precious metal and therefore has intrinsic value. Pd has no intrinsic value, don't believe, buy your partner a Pd jewellery and see what happens. Never mind it costs more, it has no demand outside of industry players.
Prudent investors diversify across various bets and asset classes, diversification reduces overall risk, so if Pt is undervalued, there will be speculative demand for it.
It is rarer than gold. It is the main undervalued mainstream precious metal imo
Silver, at the current price, is not a precious metal
There are others, but they are not mainstream and thus the herd is not there yet
Indeed. Napoleon had cutlery made from aluminium. This is the human way. It looks silly now.
TreasureHunter
Well-Known Member
How true: silver now is just a little more expensive than copper. Indeed, it is traded is if it weren't a precious metal.
I would be curious to understand how silver became so undervalued. Everyone is citing the past, but what actually made silver so undervalued (as opposed to gold), is probably due to the industries and lower demand for silver in coins (a few countries did actually include silver in their coins even in the 2000's).
I was at my local show today and ran into a dealer with several platinum eagles. Spoke to him awhile. He's a younger dealer and has done well over the last few years. He is becoming more bullish on platinum. I didn;t buy any from him but listening to him talk has me thinking. With the Biden administration and the push for green industry could platinum have its day again?
The US will eventually need to go for fuel cell. The main problem is the supply chain of battery which is mostly located in Asia and can be disrupted.