Platinum Is More Expensive Than Gold Again

This story is interesting.  The price of platinum is now more than the price of gold, per ounce.  For a long time, platinum was much more expensive than gold.  Recently, gold was more expensive than platinum.

Platinum/gold or gold/silver have much lower volatility than gold/FRN or the stock market.  Metals are real money, and prices are mostly stable.

If you look at a 10 year chart of gold/silver/copper/platinum/palladium, they line up pretty closely.  If you add the stock market to the same chart, you’ll see why stocks are a worse investment than metals.

2 Responses to Platinum Is More Expensive Than Gold Again

  1. Keeping in mind that objective costs of platinum mining are way higher than for gold.The fact that gold is more expensive than platinum tells me that gold is overpriced right now. Lots of people overpaid for gold during the crisis.

    • By that measure, gold is at most 20%-50% overpriced. (The historic platinum:gold ratio is 1.2 to 1.5.) Gold still should outperform the stock market. The best hedge is a variety of metals (gold, silver, platinum).

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