I think the precious metals markets is saying there is a problem with the fiscal policies of those countries predisposed to engaging in money printing “quantitative easing” because they let their government debt get out of control. Borrow and spend leads to crushing interest charges, whereas print and spend doesn’t have that issue.
Instead the issue is asset inflation, which we pretend isn’t a component of “inflation”. Platinum is an asset along with gold, silver, stocks, etc. Seems all the precious metals are moving in unison, although metals like silver and platinum may also be moving because of their use in manufacturing.
Dependent_Survey_546 on
The rats are fleeing the ship it would appear.
endeend8 on
Platinum and palladium are super tight markets owned by like three companies in 3 countries not like gold with thousands of mines, so its susceptible to super sharp squeeze. Also US and EU are rolling back Mandatory EV targets which means combustion and hybrid vehicles will be on roads for much longer than projected. Most palladium is used for catalytic converters.
3 Comments
I think the precious metals markets is saying there is a problem with the fiscal policies of those countries predisposed to engaging in money printing “quantitative easing” because they let their government debt get out of control. Borrow and spend leads to crushing interest charges, whereas print and spend doesn’t have that issue.
Instead the issue is asset inflation, which we pretend isn’t a component of “inflation”. Platinum is an asset along with gold, silver, stocks, etc. Seems all the precious metals are moving in unison, although metals like silver and platinum may also be moving because of their use in manufacturing.
The rats are fleeing the ship it would appear.
Platinum and palladium are super tight markets owned by like three companies in 3 countries not like gold with thousands of mines, so its susceptible to super sharp squeeze. Also US and EU are rolling back Mandatory EV targets which means combustion and hybrid vehicles will be on roads for much longer than projected. Most palladium is used for catalytic converters.