Yeah I bought some Platinum xD

With inflation as high as it is right now I wanted to invest a little bit more in PMs..

But with gold at nearly $2,000/oz and silver at nearly $26/oz I just couldn’t justify buying more at this moment.

So I decided to pick up a couple of ounces of platinum instead .



It’s the first Platinum I’ve ever purchased lol.

Platinum used to be priced above Gold at some points in the past and so I felt like getting 2 oz of Platinum for the price of 1 oz of Gold could potentially be a really good deal if Platinum prices ever do that again.

What do you guys think? Is Platinum a good deal right now at $980/oz spot?

 

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Platinum has virtually zero track record as a solid hedge against inflation. Its primarily an industrial commodity that’s price is largely dependent on how robust or not the automotive industry is at any given moment.

Ive seen first hand that it can be surprisingly illiquid when you want/need to sell.

Nice coins btw.

 

Hmm in my experience my local dealers are always willing to buy platinum. Although they might only pay spot or slightly less than spot.

As a matter of fact a couple weeks ago I saw one of them purchase a platinum ring from a seller.

But I think it’s likely that the US Dollar will lose more value in the next 5 years than 1 troy oz of Platinum.

Also platinum is a lot rarer than gold while having more industrial use and so I just feel it’s undervalued.

 

You could very well be right on it being undervalued. I’d bet your lcs guy feels the same way. I’ve personally seen mine turn away a guy trying to sell plat eagles back around when pt was hovering around 1700. He told the guy that he had several and that they weren’t moving.

Rarer yes. Used more in industry sure. Automotive almost exclusively, and one seeing a push away from internal combustion engines (which raise demand for catalytic converters) and towards greener EV’s.

It’s a tight market and if you time it well you can make money. I know guys that have. I just wouldn’t buy Pt to hold as a long term hedge. Jmho

 

I like platinum and have about 15 OZ, but havent made any major purchases in that
area in sometime, I remember not so long ago it was the top dog on the block now
ot has dropped to a distant 3rd behind palladium and Gold.

The main reason I dont buy platinum anymore is simple economics, platinums main
Purpose is in the automotive industry and catalytic converters more and more automakers are turning to electric vehicles thus eliminating them, so demand for
to ill also decrease plus everybody loves GOLD

 

I consider it more of a “speculative investment” than an “inflation hedge”.

After I get these 2 troy oz I won’t be buying more for a long time.

But if Platinum goes on a hot streak I can take advantage of it and convert it to gold or silver at a better price than I paid.

My goal is to sell at $1500/oz whether it’s above gold or not and I feel $1500/oz is definitely possible in the next 30-40 years.

 

^ Rock on

 

Yes, I'd say it's a good deal right now but I still prefer gold! That said, I won't buy either one for awhile, low cash flow!

 

Oh yeah I prefer gold too but gold prices right now are just too high.

After looking at all the PM spot prices I felt like Platinum is the only one with a price I can justify paying.

My hope is that one day I can exchange my platinum for gold/silver at a better ratio than exists now.

I know someone who used to stack silver when it was at $7-8 an oz and he stacked hundreds of ounces and then when silver was at $25/oz he sold it all and bought gold with the money.

I’m trying to do something similar except I only need it to rise about 50% rather than 300% for me to sell.

 

I don’t think electric vehicles will be the main vehicle for most people for a long time. They are just too expensive right now.

Not only that but they have alot of limitations. They need regular charging and I think there will always be large swathes of land without any charging available.

Eventually I think they should have some sort solar powered battery as well so that even if someone breaks down or runs out of electricity in the middle of nowhere they can just wait 12 hours or so in the sun and get enough juice to drive to safety.

But I think platinum has other uses such as jewelry as well.

One thing that bugs me is that the Platinum Eagles have a $100 face value and the Gold Eagles only have a $50 despite Gold costing almost twice as much as Platinum.

I know it doesn’t matter because people don’t spend them at face value but I think the legal tender face value should be some sort of representation of the metals value.

The Platinum Eagle should be $50, the Gold Eagle should be $100 and the Palladium Eagle should be $200 in my opinion. Those are all far below intrinsic value but symbolically representative of their value relative to each other via the face value.

 

try some Rhodium if you want something truly unique

 

Yeah, but those relative values are transient. Not too long ago the proportions would've been Gold $100, Platinum $200, Palladium $50. Palladium is historically the cheaper alternative to platinum.

I've got a soft spot in my heart for platinum because it's just so useful. But the main demand by volume was catalytic converters for internal-combustion vehicles, and that application is doomed in the long term just as surely as silver in photographic film.

 

But keep in mind that just as demand for platinum for catalytic converters is doomed in the long term it’s also very likely that new uses for platinum will be found.

Like how silver is used for everything from burn cream (to prevent infection since silver kills bacteria) to water purification (same reason).

In fact I read that in the old days people would drop a silver coin in a barrel of water to kill bacteria.

Who knows what knew technology in the future might require platinum and because platinum is so rare (30 times rarer than gold) even a small demand could cause huge price increases.


In my case the worst thing that can happen is platinum stays low and I keep my coins

 

Oh, absolutely. It's a super-special metal, and even though there are entire chemistry careers devoted to "find something that works as well as platinum but is cheaper", it'll always be useful.

 

I’ve never held pure platinum in my hands before but I read it’s even denser & heavier than gold so it will be interesting to hold one in one hand and a 1 oz AGE in another hand.

If it’s that heavy it must be really hard to counterfeit. Usually tungsten is used to counterfeit gold because it’s close in weight & density but if someone tried to use tungsten to counterfeit platinum it would be too light still.

I hope it has a use in future technology. It would be cool if it was used in spacecraft or something like that. Kind of like how gold is used in astronaut ‍ visors to block the light from the sun.

 

Currently Rhodium price is $19,250 per OZ, not sure if that option is available for
anybody in this room...LOL

 

One problem for space applications is that it is so dense, which translates to heavy, which translates to expensive. Launching a kilo of platinum to geosync orbit would cost just about as much as the metal itself. But if that one kilo of platinum can do a job that would take two or three kilos of (say) aluminum, it's cheaper, because of fuel savings. I'm just not sure what that application would be.

 

Just came back from California and you would be amazed on how many Teslas I saw
hundreds and that was just at the mall ! also starting to see resales of these as well
a Tesla dealership just opened up down the street and there starting to sell there as
well, use to be pre order only ! my nest car is going to be electric not sure which
one yet as I just started looking, but I think people are looking at EV,S hard these
days just because of the high gas prices which are way out of control and will only get worse not better, becoming dependent on foreign oil and energy sucks ! and
I think were breaking that chain slowly but surely.

Yeah that bugs me to, but remember Platinum use to be the top dog so they just
gave it a higher value...LOL, but pretty meaningless unless GOLD drops to $50 an OZ..LOL

 

I was thinking if it was used as some sort of shielding or heat protection or something like that. Platinum is notable for having a pretty high melting temperature.

While it’s true other metals have even higher melting temperatures I was just hypothesizing that perhaps platinum might have unique features.

Basically what I’m trying to say is that if you asked someone in 1922 what applications exist for gold & silver they would never be able to imagine being used in computer chips or astronaut visors.

They’d probably say they were only good for money, jewelry and ornamentation.

Platinum might have a future use that is similar where we just can’t imagine the technology yet.

 

Yeah for sure if I had $19,250 to spend on bullion I would definitely buy 1 oz gold eagles, 1 oz gold buffalos and St. Gaudens Double Eagles.

I’ve never seen a dealer selling rhodium.

Although I imagine at that price it might be feasible to buy by the gram?

At $19,250 per troy oz that comes out to $618.97 per gram spot.

I can imagine it would indeed be feasible to sell & buy 1 gram rhodium bars, or even 5 gram bars to the mass public.