You are viewing a single comment's thread from:

RE: Got Platinum? Menē does.

in #money7 years ago

It is very rare to have platinum at such a discount to all other precious metals! In a year where precious metals have out performed, platinum has under performed. What is your explanation for this? I love that you continue to advertise this site, because it seems very cool! Glad they have a large selection and include more than just gold and silver.

Sort:  

Great question! It is difficult to know with certainty what is causing the anomaly. It is possible that is related to the auto motive industry, but it is also possible that there is confusion that often springs up on how to value a metal that is both semi monetary and also industrial. Similar issues that silver deals with. The market pendulum seems to value one side or the other somewhat arbitrarily. Of course it could also be production related, or market manipulation. The market trends towards smoothing these anomalies out over time. To summarize, i’m not really sure why platinum is acting the way it is (no one does), but I suspect it won’t last forever.

Thank you so much for your detailed answer! Markets tend to return back to equalibrium... the only question is whether or not people are patient enough to wait for it to happen! Have a good one! I am excited to watch the price action or platinum going forward.