Howdy folks, Platinum set a new high this morning on supply/demand issues AND the rumor that there is a plan to start up a new platinum ETF (exchange traded fund) similar to those for gold and the one for silver. The bullion demand this would cause could push the price up another 15-20%. And this dovetails on the recent discussion about palladium as it is an industrial substitute for platinum. The author was wondering about the chance that Uncle would start to mint a palladium bullion coin (like Canada). Frankly, I don't see it personally as this is an awfully thin market and commercial gits that they are, this might be a bit much even for the Mint. However, nothing would really surprise me with their marketing strategies, so who knows. As a bit of side info, and not offering investment advice, folks need to realize that these bullion ETF's (gold and silver and perhaps platinum) are considered Collectables by the IRS. This means that if you own them in a taxable acct, the long term gains are taxed at 28% as compared to a plain vanilla precious metals mutual fund which is taxed at 15%. http://www.bloomberg.com/apps/news?pid=20601012&sid=ae00hrgyPdBQ&refer=commodities peace, rono
"Platinum for immediate delivery rose 4.9 percent to $1,248 an ounce as of 5:15 p.m. in London. Earlier, it climbed as much as 6.3 percent to $1,264.50. A close at that price would give the metal the biggest one-day gain since May 1, 2000. It traded at a record $1,340 on May 12." Thanks, Rono, I had missed the jump in platinum. Thanks for the link.
Whew! What a difference a day makes, huh? Up to $1350 yesterday down to $1150 today... all because of an unfounded rumor.
"Platinum Falls From Record as Investors Cast Doubt on Introduction of Fund Platinum slumped the most in almost 18 years in London, wiping out two days of gains, as some investors doubted the prospect of an exchange-traded fund being introduced for the precious metal." Today's news.
