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Platinum

BREAK OUT:Gold Trades Above The $1,500 For First Time Since 2013 Our Economic Research Report(Updated monthly) drive.wps.com Trump’s tariff tax obsession may be somewhat comical, but it is creating substantial weakness in China’s currency. That’s because foreign and domestic investors are moving significant amounts of money out of Chinese risk markets and into dollar-denominated safe havens like T-bonds, gold, and the yen. on the other hand, US services growth slows to the weakest level since 2016. The Institute for Supply Management (ISM) said its non-manufacturing activity index fell to 53.7 from 55.1 the month before. Analysts polled by Reuters had forecast a reading of 55.5 for July. A reading above 50 indicates expansion in the sector. Growth in the U.S. services sectors decelerated in July to its weakest level in three years as trade worries weighed on business orders and the outlook for the overall economy, a private survey released on Monday showed. Slower growth in the services sector, which accounts for more than two-thirds of U.S. economic activity, comes at a time that the U.S.-China trade war has been squeezing manufacturers. Top Hedge fund comment Morgan Stanley: If the trade war escalates, a recession will be here in 9 months Morgan Stanley thinks a global recession will come if the trade war escalates through the U.S. raising tariffs to 25% “on all imports from China for 4-6 months.” “As we view the risk of further escalation as high, the risks to the global outlook are decidedly skewed to the downside,” Morgan Stanley chief economist Chetan Ahya says. China has promised to retaliate to new tariffs that President Donald Trump said will begin on Sept. 1. ADVICE AND RECOMMENDATIONS With gold’s impressive rally this summer, prices might be too “pricey” for some investors, which is why We advise buying cheaper precious metal alternatives like platinum and silver. “Gold has had a great run over the last year, up 17%. It’s been a perfect storm of sorts for gold, especially on the interest-rate front. With long-term interest rates declining globally, gold has been an attractive alternative to debt,” Gold is a great alternative to any kind of risk, including economic instability and geopolitical tensions, But, at these levels, gold is just too expensive. “As an example, the 10-year German Bund now yields -0.44%. Investors now pay to invest in German government debt. The advantage of holding gold is that it is a country and government agnostic. Gold can sometimes be viewed by investors as a hedge against governments that might be fiscally/economically irresponsible,” “Yes, the world has added more negative-yielding debt recently, and more will likely follow. But, $1500 gold, we feel, takes into account all of that and then some. One year ago, just prior to global yields falling, gold was trading closer to $1200,” LaForge wrote. Platinum and silver offer much more advantageous hedge solutions to investors, added the bank. “The two we recommend considering are platinum and silver. Both are historically quite cheap versus gold, and in our opinion, may offer more upside potential should gold keep grinding higher,”. “The price of platinum has mostly traded above the price of gold, but that is not the case today. For those looking for an alternative to gold, we recommend consideration of platinum and silver,”
OANDA:XAUUSD
by GoldSilverAnalyst
Platinum Looks BADYou might be wondering where that channel came from. Well I looked at 40 years of historical platinum prices and that's the channel that is formed. So not only is XPT sitting on the support it has established for 15 years making a bear flag, it it is breaking it's supply/demand channel that it took 40 years to establish. Breaking this long term support and even longer term channel would be incredibly bearish for Platinum, especially as gold gears up for what looks like an epic run. Below 750 is the abyss. Fundamental Speculation: I don't do fundamentals usually but this might make sense. Catalytic converts are a major use for platinum and electrification basically kills this use case, even with us being far from full adoption
OANDA:XPTUSDShort
by PJBTrade
GOLD vs PLATINUMHi everyone, Just to share some thoughts. The World Platinum Investment Council has reduced its surplus supply forecast by close to 50% for 2019 due to investment demand. Bear in mind that it is still in surplus, so I don't imagine that the bottom is in yet. Platinum outperforms gold in good times and bad. Since 2003 Platinum significantly out-performed gold (smaller market than gold) but was more heavily impacted by forecast reductions in industrial demand. So I think looking forward it would be safe to say that Platinum is primarily driven by industrial demand while gold is primarily investment driven. So platinum reached its ATH (higher than gold ATH) in 2008 vs gold in 2011. It has out-performed gold on the downside too. I am starting to be quite interested in Platinum, however, think that there is lower to go because: - Industrial demand hasn't picked up (but seems to actually be dropping), - US PMI is way down, - global economic outlook has been reduced by the IMF (outlooks are generally gloomy - we have seen how Platinum reacts in a recession. If 2020 is a recession like a lot of people are pointing to, it would be very difficult to be bullish on Platinum), - Global outlook for motor vehicle sales is down - Platinum is commonly used as a catalytic converter of pollutants in car exhausts. - It hasn't yet met made a 1:1 extension of wave (A) or normal extension of wave C down (I think wave C is about 75% complete with a possible dip to sub-$500), - Any break below $760 territory would point to further correction of Platinum, - Supply is likely to be increased if the price picks up either by processing mining stockpiles, expansion of operations, or by increasing recycling as the prices pick up (presently recycling is down - likely waiting for higher prices), - Given recent US politicians' seemingly anti-environmental stance - the requirement for Catalytic converters could foreseeably be repealed by imperial decree (like the need of coal mines not to dump tailings into waterways) - this could cause a significant reduction in demand for Rhodium, Platinum, and Palladium. This said, presently 90% of cars produced globally have a catalytic converter fitted and the rest of the world would be expected to retain or strengthen limits on exhaust emissions so it would erode export demand for US vehicles, - There is far more interest in electrical, or alternative fuel vehicles which points to long-term pressure on automotive industrial demand. So is it all doom and gloom? An important sign to watch for is for any progress in research on Platinum as a catalyst for the refining and conversion of exhaust of gasoline / petrol. Also, if gold continues its bullish sentiment, this will likely cause upward momentum on Platinum from first investors, and later, from industrial sources (that have to buy). So is there and easy way to buy physical Platinum or is an ETF easier? I would buy physical platinum via bullionstar.com (I am not an affiliate) in Singapore rather than an ETF. The premiums and spreads can be quite low: its Bullion Savings Program Platinum offering (today) presently 3.64% over spot price and 3.51% over buy-back price and vault storage fees are low and the physical metal can be withdrawn or just purchased in their shop. My concern with ETFs (the way most people invest in metals) is that ETFs sell far more "shares" in physical metal than they hold and if the price spikes significantly they will likely be closed and neither be able to pay you back or to send you physical metal. When the price spikes it is very difficult to actually get your hands on the physical metal. Long story short, I will likely be a buyer around $550 and below. Thanks for viewing
TVC:GOLD
by flyinkiwi10
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