manojsai (< 20)

silver platinum and palladium.

November 09, 2009 – Comments (0)

while gold has been rising the other royal metals have kept on the sidelines. now it is changing....

Platinum is extremely rare, with estimated new mine production of only about 210 tonnes per year. This scarcity can make platinum significantly more expensive than both silver and gold.ETF for platinum are PGM AND PTM and  both are showing good technical strenght.

Deutsche Bank expects platinum prices to average $1,394 in 2010, and sees palladium at an average $321, while JPMorgan sees platinum at $1,338 in 2010 and palladium at $306, up from a forecast $250 for 2009. Around half of all platinum and palladium produced each year is bought by the car industry for use in catalytic converters.

A sharp drop in automotive demand knocked platinum group metals prices in 2008 as the onset of recession hit car buying. Buying of platinum- and palladium-backed exchange-traded funds has also added a key layer of demand. Holdings of ETF Securities' palladium fund have risen 388,000 ounces to record levels this year -- almost matching total investment demand for palladium in 2008.