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View Full Version : Platinum hit below $900 per oz. This Really Bites Now.



refrep
10-16-2008, 08:43 AM
Well, at least Platinium has company with Gold, Silver, and Rhodium all taking huge hits. Don't know the reasoning. All i know is i'm holding out... MO

Coldtrader
10-16-2008, 09:45 AM
I don't know why people are so stubborn around here to accept prices will drop in the next while. A smart investor is dynamic and adjusts his/her strategy around the conditions.

American Eagle
10-16-2008, 09:53 AM
BEcause most people here were sold by PM websites the notion that PMs wold go to the moon and then some, that even if the Global Economy collapsed and Industrial/Jewelry demand dried up for PMs they would magically still go up because they are well.......Gold, Silver and Platinum.

What we are seeing is what happens not when the economy of one country collapses, but what happens when the whole Global Economy goes to the Toilette.

If a single country's economy collapses, yes you will see PMs rise against your currency because the metal is being propped up by other economies around the Globe, but when the problem is worldwide and the Industrial/Jewelry sectors (the biggest sectors for all PMs) dry up, then the metals take a beating. The investment sector (investment silver, Gold, Platinum) is just too small to keep the metals up when the whole Globe slumps in a borderline Great Depression.

refrep
10-16-2008, 10:28 AM
I don't know why people are so stubborn around here to accept prices will drop in the next while. A smart investor is dynamic and adjusts his/her strategy around the conditions.

So i guess i'm just an idiot. oh well. i know where the dollar is headed and i'm just fine holding on to platinum.

rstones199
10-16-2008, 10:50 AM
I don't know why people are so stubborn around here to accept prices will drop in the next while. A smart investor is dynamic and adjusts his/her strategy around the conditions.

AMEN Coldtrader! I get tired of hearing how we are going to have hyperinflation. How this “fiat” dollar is going to worthless shortly, BLAH BLAH BLAH BLAH. People just simply need to accept that PM’s are out of favor right now and probably will be for some time.

The only platinum I own is the 2007 and 2008 Platinum proof 1oz Eagles. Eventually, I would like to get them all from 1997 on up. The lower platinum goes , the better for me!

Heruur
10-16-2008, 01:47 PM
Ok here is the skinny. WHY are you buying PM's to begin with? A quick buck or security? Here is my forecast, looks like a pretty good storm is coming!

Sure we all regret that we held on above $1.5K but the truth is a ring of people are trading large amounts of paper Au, Pt, and Ag to prevent a run from the dollar. The pgm's were however overbought (especially RHODIUM) and due for a correction in the price. The unfortunate news is they will fail, likely shortly after the elections in the USA or after the new president takes office. When this happens, the prices of the PM's will skyrocket probably gold and silver first and the PGM's later.

We are currently in a SHORT BEAR phase of the commodity market as people are scrambling for CASH liquidity to cover their shorts on paper assets. The good news you should be able to get a WONDERFUL buying opportunity over the next few months, but DO NOT BUY PAPER! Projected lows are Ag $7-8, Au $660 Pt $700, Pd, $125 were about there NOW! There will be a cross over where Au will be more expensive than Pt in a week or so. As for Rhodium holders it's going to touch $6-700 and will stay there! OUCH!

Eventually, early winter 2008, the storm will move in and there will be a flight from fiat currency to hard assets and possibly severe inflation will set in.

In early spring 09 we will have $30-40 Ag, Pt at 3000+/oz Au at 1500+/oz, pd $??? If there is an actual full blown currency collapse then all PGM's will take a hit and the traditional monetary metals of GOLD and SILVER will reign supreme for a while, until the economies restructure. Then all the PGM's will take off into hyperspace and beyond in value.

Already there is a HUGE disparity between PAPER and the real thing. For instance on eBay, PLATINUM is selling at a MINIMUM of about $1250 an ounce from questionable dealers, a mean of $1350 and a high of about $1550 for middle of the road "collector's" bullion pieces. Fractional pieces fetch similar to the $1350 to $1600/oz range

bullionbull
10-16-2008, 06:55 PM
I'm tempted to get in on Platinum on these lower prices.. but every PM is taking a beating...

The beatings will continue until morale improves!:cool:

Frank
10-16-2008, 10:25 PM
I suspect funds are forced to sell-off, more sell-off might be expected as stocks are not doing well. Thus, the beating.

Own Real Money
10-16-2008, 10:34 PM
I suspect funds are forced to sell-off, more sell-off might be expected as stocks are not doing well. Thus, the beating.

I agree, More margin calls to come. Once they are played out, hyper-inflation will take over and the PM move will be higher.

American Eagle
10-17-2008, 09:21 AM
I agree, More margin calls to come. Once they are played out, hyper-inflation will take over and the PM move will be higher.

We may well see hyperinflation. However, hyperinflation is not a byproduct of reduced levels of margin calls.

CatManMatt
10-18-2008, 05:00 PM
refrep....you are the only forum member one here who is equally bitter about the recent downfall of platinum.:mad: i feel your pain...and now i think we have to be in it for the longer term...just hold onto it whatever goes down must come up...or something of that nature