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Is platinum now a better buy than gold?

tincuptincup Posts: 5,169 ✭✭✭✭✭
edited November 21, 2024 7:44PM in Precious Metals

Since it appears that internal combustion engine vehicles may now likely continue to be produced, and perhaps in increasing numbers, given the direction the country may be heading....

Demand cound increase for the platinum metals again. Gold is likely to remain on an increasing trend for a while yet... but perhaps platinum may see some good increases if industrial demand picks back up?

----- kj

Comments

  • cohodkcohodk Posts: 19,171 ✭✭✭✭✭

    I like platinum.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • blitzdudeblitzdude Posts: 5,927 ✭✭✭✭✭

    I wouldn't expect any big increase in demand. Combustion engines will continue to go the way of the dinosaurs.

    That said current demand for the Pt outstrips supply and when compared to the gutter metal the ratio suggests it's a screaming buy. It is not a premium friendly metal so if investing, one is best to stick with the paper version. I must confess I failed to follow my own advice and have recently added a few physical ozT in addition to the paper version. RGDS!

    The whole worlds off its rocker, buy Gold™.
    BOOMIN!™

  • tincuptincup Posts: 5,169 ✭✭✭✭✭

    @blitzdude said:
    I wouldn't expect any big increase in demand. Combustion engines will continue to go the way of the dinosaurs.

    That said current demand for the Pt outstrips supply and when compared to the gutter metal the ratio suggests it's a screaming buy. It is not a premium friendly metal so if investing, one is best to stick with the paper version. I must confess I failed to follow my own advice and have recently added a few physical ozT in addition to the paper version. RGDS!

    I have to admit that premium that seems to go with platinum gives one pause. Probably would take a rather large increase in the price before one could recoup that amount with any sellback. Much as I prefer 'physical' rather than 'paper', platinum may be the exception.

    ----- kj
  • jmski52jmski52 Posts: 22,883 ✭✭✭✭✭

    Platinum has been lackluster for some time now, but it's also undervalued. For investment purposes, it must overcome a larger spread just to break even, but it's 10X scarcer than gold and it has industrial uses that make it attractive.

    Taking those factors into consideration, I would expect gold to have a more certain positive near term outlook based on gold's fundamentals including central bank buying, interest in backing a BRICS trade unit and gold's current upward momentum having recently bounced off of its 100 day moving average. Several big banks have forecast higher gold prices as well.

    I like platinum and it will have its day, but right now it's about gold and soon, silver.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • AzurescensAzurescens Posts: 2,761 ✭✭✭✭✭

    @jmski52 said:
    Platinum has been lackluster for some time now, but it's also undervalued. For investment purposes, it must overcome a larger spread just to break even, but it's 10X scarcer than gold and it has industrial uses that make it attractive.

    Taking those factors into consideration, I would expect gold to have a more certain positive near term outlook based on gold's fundamentals including central bank buying, interest in backing a BRICS trade unit and gold's current upward momentum having recently bounced off of its 100 day moving average. Several big banks have forecast higher gold prices as well.

    I like platinum and it will have its day, but right now it's about gold and soon, silver.

    To piggy back on this, I think a lot of platinum's higher prices back in the day were due to its popularity in culture.

    When we saw $2250/oz, life was all about huge platinum chains and dental implants which caused a massive spike in demand. People rapped about platinum, people coated their gold in platinum, bought platinum wedding rings and wanted platinum teeth.

    That being said, I don't think we will see anything like those glory days any time soon. However, I believe it is a very volatile metal.

    To me, its attractiveness is that - when it explodes (not if) - it is going to be a doozy of a day. So I guess it boils down to the question: are you patient enough?

    I'm very long on platinum and buy deals when I see it because I think it is undervalued. I'm 40 and believe I'll see a nice payday in my lifetime.

  • WCCWCC Posts: 2,601 ✭✭✭✭✭

    I'm not interested in platinum or palladium now.

    But palladium spot was about $140 (2005 to my recollection but maybe not), I declined to buy it because the premium on 1oz bars (no coins then that I know) was $30 or 20%+.

    I should have bought it anyway.

  • DoubleEagle59DoubleEagle59 Posts: 8,321 ✭✭✭✭✭

    I like Platinum and have made a purchase or two recently.

    Big historical discount when compared to gold, but will it climb to its former PM heights?

    I think so, but who knows when.

  • bronco2078bronco2078 Posts: 10,239 ✭✭✭✭✭

    catalytic converter prices are trash. platinum will under perform unless some new tech suddenly depends on it

    as far as the coins go besides the US mint did anyone ever make money?

    I've owned a few and found the hard to buy because of premiums and very hard to sell for the same reason.

    Paying +20% each way is suicide

  • WCCWCC Posts: 2,601 ✭✭✭✭✭

    @bronco2078 said:
    catalytic converter prices are trash. platinum will under perform unless some new tech suddenly depends on it

    as far as the coins go besides the US mint did anyone ever make money?

    I've owned a few and found the hard to buy because of premiums and very hard to sell for the same reason.

    Paying +20% each way is suicide

    I don't believe there is much of a hobbyist collector base for it. More for the fractionals because it's more affordable, but there is always demand for a low mintage but not actually scarce US NCLT. It's my inference there are more buyers due to the mintage for speculation than buying it because it's wanted as a collectible.

    Above is from reading the two books written by the author of that mega thread.

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