Been Paying Attention?

I read an article that covered JP Morgan taking huge positions in physical platinum over the last year or so. They are packing a vault with platinum bricks. The article stated that Deutsche Bank is doing the same thing. It mentioned that platinum is used only for diesel catalytic converters these days and diesel cars are taking over in Europe and that there is also a high world demand for heavy equipment partially due to the tsunami in Japan and earthquake recovery in many parts of the world? Sounds like they know something to me.

It can't be a very big vault. All the platinum ever mined would only fill the basement of an average sized house.

That is how you know that gold has hit a crazy level and just has to crash. Platinum is 1000 times more rarer then gold and gold should not be anywhere near the level it currently is and is way over priced.

I agree with the guy above that the fools that own gold should sell it and buy Platinum which has always been worth more then gold and won't crash as hard.

"Platinum which has always been worth more then gold and won't crash as hard."

Not always true. They used to counterfeit gold coins with platinum because it was junk they threw away. A lot of those old counterfeits can be worth a lot of money now. Even today it mostly has a industry base. When the car manufacturing dropped a few years ago platinum went down really low. That being said, I would really like a 1/10 oz platinum eagle. :-)

Indeed so... condor droppings, for instance... and they aren't worth crap.

In the past, there have only been a few times wherein the price of Au exceeded the price of Pt. In every case, that was a very strong BUY signal for Pt. It is likely to be so now as well. I agree with the suggestion to sell Au and buy Pt.



Could be that they do, Junior. On the other hand, aren't these some of the same guys who are shorting and trying to manipulate the silver market? Could be that they are going to lose their donkey on silver and want to make up those losses with Pt?



Yes, Pd is 1/2 the price of Pt but it is not a 100% substitute. Auto engine exhaust is a complex mixture of gases that require catalytic breakdown to convert them into less harmful components. Pd works very well on some of them. Pt works very well on others plus a few of the same. By using very tiny amounts of both metals, usually on a carbon-silica substrate, it becomes possible to create a much more widely effective catalyst. A few other metals are also present in trace amounts but they are more common and a lot less expensive than the Pt-Pd metals.