Will Platinum Ever Come Back Above Gold?

people aren't crazy about gold, we are crazy to put our faith in paper money. When economic sanity finally arrives (can't return if it haven't been here), gold will stabilize (the value of paper money will be tied more closely with gold), and platinum will rise due to industrial demand picking back up.

Well, having been there, I can tell you where they were then. They were thinking that gold at $700 an oz. was pretty expensive compared to the gold they were used to at $300-400 an oz. Little did we know back then what the future would bring!



Well, heck... when I don't have any platinum to sell, I only charge a $50 premium per oz. over spot! That's a much better deal, right?

A good local dealer is a real asset to any coin or bullion collector. It's good that you have access to one where you are. I have one as well. He's great but since he runs a pawn shop, coins are not his main interest. I get a lot of good deals from him but his coin quantity is often fairly low. I have "cleaned him out" more than once, even though I did not buy all that many coins at one time.

Well I thnk its rarity keeps the prices up, and industrial demand....

There are actually a lot of industrial uses for platinum

Here is a web page that goes into some detail about platinum and its uses:

http://www.louisianagold.com/platfact.htm

I don't know how platinum use breaks down in ounces, though. My guess is that it is used mostly by industry, so when industry slows so does platinum consumption and therefore platinum prices. Platinum is closely allied with the auto, chemical, petroleum refining, and waste treatment industries.

I would agree with that. Electric cars today are at about the same development point as was the personal computer when the Commodore Vic-20 was selling. Yes, it was a computer but barely. So it goes with electric cars. They will come into their own eventually but that could easily take 25-30 more years of R&D. At the current state of development, they do have some niche applications but are primarily interesting and expensive novelties.

The info in Wikipedia is from 2006. As of that date, about 80% of the platinum uses are industrial and 20% were for jewelry. No mention was made of coins. In any case, platinum use is primarily industrial so as industry slows its production, its consumption of platinum should also slow.

We have seen Pt prices drop like this before. On average, there has been about a 60% rise in the price of Pt in the 2 years following its price drop to below that of gold. The recent drop in Pt prices to below those of gold could very well show significant price gains over the next year or two. Anyone who watched the gold / silver ratio and who uses that to trade in and out of gold and silver in such a way as to maximize their total PM ounces should really be selling Au now and buying Pt. If the typical pattern occurs in this case, they will be able to sell the Pt in a couple of years and buy Au with their profits.
If I had any Au, I would be doing that now.

There is no doubt in my mind that Pt will be higher than gold, and there's even a simple way to make money on this.

Where's a good site to see what LEAPS are available, either in or out of the money?