Best Week for Juan Blanco Since...

very nice call juan, what do you expect to happen in the platinum market now?

 

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This was EXACTLY my point, early last week. PM leadership looks like it's changed!

Well I'm more bullish on Pt than Au, obv. Admittedly I've been a bigger fan of PGM investments for awhile now. I still think Rhodium will be the best PM long term at the current price (a screamin' BUY!) Why? Relative to Gold, Rhodium hasn't been this cheap since late 1996/early 1997. In those very low months' Rhodium prices, the Rh/Au ratio averaged 1.58:1, it's now 1.53:1 ... fwiw the historic lowest monthly price avgs (in recorded USD$ history) are ~1.18:1, 1.25:1 ....so RING THE BELL!

Rhodium just doesn't get any cheaper, folks, and BUY LOW means exactly that too. But each to his or her own choice.

Typically, much rarer Rhodium is ~ 5x - 10x more expensive than Gold. So for Peaks, SELL Rhodium when it's 9x - 12x POG. That's happened 2-3 times every 20 years since the 1960s (anticipating similar long cycles the chart below shows for the 20th C.) History doesn't repeat but usually rhymes.

For bullionist hoarders, long-term holding & profitable selling Rhodium is reasonable speculation at small allocation. If you think POG will be a nominal USD$ 3,000. in 2020 or 2027, your Rhodium SELL target will be $27,000 - 36,000. in 7 - 14 years. Obviously this strategy is NOT for 'flippers' ; personally I don't think any PM bullion makes sense to try to 'flip' anyway though. fwiw I first mentioned 'watch Rh' to clients back in late 2010, years before the Baird Mint ingot was available.

If you believe in diversification (~5-10% your pm stake) and long-term bets (deep reserve until then) ...cheap-cheap Rh ingot from a reputable dealer is the obvious choice now.

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