Gold to Platinum ratio almost 1:1

Discussion in 'Platinum' started by Dabloodymess, Aug 8, 2011.

  1. Dabloodymess

    Dabloodymess Active Member

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    So its pretty interesting that the gap between gold and platinum is closing quite rapidly right now.

    It is my understanding that platinum is quite a bit rarer than gold, so what does everyone think... any implications or plans to capitalise?
     
  2. Ouch

    Ouch Active Member

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    I'll probably be buying platinum from here on since my annual target ounces for gold and silver have already been exceeded. It is said that all the platinum ever mined only fits into an average lounge room.
     
  3. Smoothcriminal

    Smoothcriminal New Member Silver Stacker

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    Not in a major way - may get a single ounce more because I see it as good value and want my future wedding band to be Platinum than for investment purposes. Gold/silver are up because global economy is shaky and people go safe plat/pall are more industrial plays (I know silver is to a degree as well :) ) and won't get the same good ride IMO.
     
  4. Dabloodymess

    Dabloodymess Active Member

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    Wow! Well I didnt know that.

    I only really have taken an interest in platinum since I traded thucy for a 1/10 plat koala on Saturday on a whim :)
     
  5. Sargeant Argent

    Sargeant Argent New Member

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    Gold production is 80 - 90 million oz.s to platinums 5 million oz. a year. Plsatinum is also more costly to refine. However gold has over 4000 years of history as money, platinum does not and I'm finding out more and more that investing in pms is as much a pyschological game as anything else, as peoples perceptions rather than the facts define the market. If the facts defined the market silver would be well over 100 an oz.
    So even though platinum is much more rare I don't see the sane upside as with gold and silver however I believe it should be and has historically been more expensive than gold so at par with gold it seems like a sensible buy.
     
  6. aleks

    aleks Well-Known Member Silver Stacker

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    If you are swapping (your) gold for platinum are you saying the economic situation is about to reverse and we are about to enter a boom?

    Hardly anyone on this forum would agree with that but then again not many on this forum thought the GSR would have gone to 29 to 40+ recently.
     
  7. Ag

    Ag Well-Known Member Silver Stacker

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    Believe 30 times 'rarer'...as mentioned might not actually make the same returns as gold - that said many don't feel silver is a precious metal :lol:

    I don't hold gold but would hold alittle Platinum based on the parity ratio - often sold below spot here
     
  8. Matthew 26:14

    Matthew 26:14 New Member

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    As of a minute ago:

    Gold = $1,715

    Platinum = $1,716

    Been a few years since I've seen that, 2007? 2008?

    Interesting.
     
  9. Au.Ag.Mzch

    Au.Ag.Mzch New Member

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    I'm going to be mightily agro if the COMEX or other fraudsters come in tomorrow morning and change the margin requirements or something that slams the price down just like in May
     
  10. goldpelican

    goldpelican Administrator Staff Member

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    Zing! Au $1711, Pt $1706.

    Might have to get me a Pt Platypus for the personal stack!
     
  11. goldpelican

    goldpelican Administrator Staff Member

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    Might merge this thread with the other one - a gold/platinum thread doesn't really fit in the Silver forum :)
     
  12. jnkmbx

    jnkmbx Well-Known Member

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    Sure is interesting.

    People swapped silver for gold the last time, maybe it might be gold to platinum this time. :p

    Seems like a better deal too, except that platinum is industrial and GFC2 means industry will suffer for the medium-term.
     
  13. Matthew 26:14

    Matthew 26:14 New Member

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    Many elements are extremely rare but carry relatively low value:

    Ruthenium ---> Annual production, 12 tonnes. Price per ounce $US 180

    Osmium ---> Least abundant natural element on earth, less than 1 tonne annual production. $US 380 per ounce

    Iridium ---> Gold is 40 times more abundant in the earth's crust. $1,050 per ounce.

    So for example you'd think because of its natural rarity Iridium would be 40 times the price of gold, around $68,000 an ounce, not so !
     
  14. goldpelican

    goldpelican Administrator Staff Member

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    Exactly my argument against the "15:1" crowd for gold/silver. If silver gets to a ratio of 15 with gold, it will because of market dynamics, not physical ratios in the earth's crust.

    Not disputing that 15:1 mightn't happen, just that it won't be because of relative rarity.
     
  15. Argentum

    Argentum Active Member

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    first platinum coin i haerd of was 3,6 and 12 roubles by last russian czar end of 19th century, just thought youd find this interesting, there could be older ones but never heard of em
     
  16. THUCYDIDES79

    THUCYDIDES79 New Member Silver Stacker

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    During the 1st part of the 19th Century in Russia they had coins of the following denominations and weights

    1 Rouble SILVER 0.5786 oz asw ( note almost same weight as modern 50 Schilling Austrian coins )
    3 Roubles GOLD 0.1157 oz agw
    3 Roubles PLATINUM 0.3327 oz apw

    So at that time the Russians had the following ratios in circulation


    SILVER GOLD PLATINUM
    1.7358 = 0.1157 = 0.3327

    So an ounce of Gold would be redeemable for 15 oz of Silver or 2.87 oz of Platinum

    However the mintage numbers of Platinum coins was much much lower than the gold or silver coins
    and these Platinum coins carry a great premium over their melt value today

    ie.

    http://shop.ebay.com/i.html?_nkw=3+...roubles&_osacat=0&_trksid=p3286.c0.m270.l1313
     
  17. Matthew 26:14

    Matthew 26:14 New Member

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    Just about all Platinum products unavailable at apmex, plenty as of last week.....
     
  18. heyimderrick

    heyimderrick Active Member

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    I have a mixed feeling on all PMs at the moment. While I own silver, gold and platinum, I can't decide if platinum and silver are undervalued or if gold is actually overbought near-term.
     
  19. Matthew 26:14

    Matthew 26:14 New Member

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    Gold / Platinum Ratio ---> 1.02

    Gold now $30 an oz more expensive than platinum !
     
  20. goldpelican

    goldpelican Administrator Staff Member

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    Yeah, super sez I can haz platinum? :)
     

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