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Post by unlawflcombatnt on Aug 7, 2011 0:33:50 GMT -6
For the last 3 years I've been comparing the prices of both Gold and Platinum. Gold prices rise in relation to Platinum whenever the economy seems to be doing poorly (and when there is true "pessimism" about the future). In contrast, Platinum rises in comparison to Gold when the economy is perceived to be doing better (i.e., when there is true optimism about our economic future.) Over the years I've been watching this, Platinum has usually hovered at a price that's about $300 more per ounce than gold. At one time this year it was over $400 greater than the price of gold. But this gap has been shrinking lately, and they are now less than $100 apart. In the past, a $1712/oz Platinum price would have been paralleled by a $1400/oz Gold price. Instead, however, it is now being paralleled by a $1660+/oz. Gold price. The current, greatly-reduced gap portends poorly for the economy. If the past is any indicator, the current narrow difference is predicting an extreme recession, and probably an outright Depression.
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Post by graybeard on Aug 7, 2011 4:50:57 GMT -6
I believe the big usage for platinum is in catalytic converters, which depends on new car sales.
GB
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Post by unlawflcombatnt on Aug 7, 2011 9:04:12 GMT -6
I believe the big usage for platinum is in catalytic converters, which depends on new car sales. GB That's my understanding, as well. In contrast, gold has essentially no industrial use. It's value is as a storage of wealth only.
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Post by unlawflcombatnt on Aug 8, 2011 11:21:24 GMT -6
As of this writing, according to the above chart, Gold and Platinum are exactly the same price at $1,715/oz. (I wish I was at home so I could take a picture of that graph to save to my files.)
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Post by unlawflcombatnt on Aug 8, 2011 11:24:05 GMT -6
OK. Here's an attempt at a permanent copy of that graphic: Attachments:
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Post by unlawflcombatnt on Aug 8, 2011 22:28:15 GMT -6
Gold is now $45/oz higher than Platinum (which had been as much as $400 more per ounce higher than Gold earlier in the year.) Gold is now risen over +$100/oz since Friday, now at $1,769. It was $1,666/oz on Friday. At the same time, the Dow is down over -1,100 points since Thursday, Aug 4, 2011, having lost -634 points today (and -513 on Friday, Aug 5, 2011) Attachments:
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Post by unlawflcombatnt on Aug 9, 2011 22:39:12 GMT -6
Another day of record Gold prices and another day where the price of Gold exceeds that of Platinum. Attachments:
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Post by jeffolie on Aug 10, 2011 14:14:11 GMT -6
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