View Full Version : buying platinum selling my gold
12-11-2008, 07:42 PM
When I can buy platinum for almost same price as gold that's a nobrainer. Bought some Platinum futures today and gonna sell out my Gold coins tomorrow.
01-07-2009, 07:15 AM
This has turned out to be a nice short-term investment play, any thoughts on how much longer PT will rise quicker than AU?
01-07-2009, 09:32 AM
I'm not sure why platinum is moving so high so quickly again. It may be an anticipated economic recovery in the coming year or perhaps a reaction to the proposed economic stimulus package.
It seems like it might be a good time to pick up more platinum but I don't think I'd sell any gold at this point. In fact, I'm eagerly anticipating the release of the high relief 2009 St. Gaudens coin.
01-07-2009, 11:07 AM
There has always been only a very small inventory of platinum, usually only a few months worth. If any of you have tried to buy platinum over the past few months you know how difficult it is to find and how much of premium you must pay to buy it. I checked on the COMEX site and they show a total of 1,500 oz of platinum in the vault (compared to millions of ounces of gold in the vault) Perhaps the paper traders ave finally realized that the supply side of the platinum equation is very low relative to the demand.
We all realize that traditionally the major users of platinum have been auto makers and industry, but that has been changing over the past few months. In a crisis economy the normal rules will inevitably change, and possibly the bullion users of platinum have more than taken up the slack left by slow car sales. I took a look at the COMEX site a minute ago and they state that over 50% of platinum is now used in jewlery with only about 20% used in cataysts, while most other sources show that jewlery is only about 20% and catalysts are over 50%. I don't know how COMEX compiles their statistics but if they are correct it would seem that platinum is now much more a money metal and much less an industrial metal than we used to think.
A few months ago it was relatively easy to find 50 oz bars of platinum, now even those are hard to find, and platinum eagles and Maple leafs are nex to impossible to find. Credit suisse has recently promised to release some 1 oz bars, and you can snap them up at Tulving and a few other sites at some pretty reasonable premiums $49, but the market can easily absorb a few thousand oz of platinum. I don't think there is a huge stockpile of platinum sitting around anywhere that could provide a possible flood of metal. The Russians supposedly have a strategic stockpile that used to be several million ounces. The present stockpile is s tate secret but most experts believe it is now less than 1 million ounces. That may sound like a lot to you and me but keep in mind that 1 million ounces only represents less than 1 billion dollars in todays market (about the price of a few large airliners) and it could all be carried in a moderate sized crate on the back of a single sturdy truck.