Someone stole the muffler and exhaust system off my car in the parking lot for one simple reason, he said... It contained a hidden “treasure” that would help the thieves cash in.
That treasure was platinum.
Platinum is special because it’s both a precious and an industrial metal.
I’ll get to the second part – and how that ties into my troubles in Mexico – in a bit. But let’s start with what most people think about when someone mentions platinum. Because of its rarity and chemical resilience, it can be used as a store of value – like gold. It’s also used to make jewelry. A lot of people choose it over gold for their wedding rings. During periods of economic distress, people turn their focus – and their wealth – to stable assets that provide a safe store of value, like platinum and gold. For the most part, platinum and gold have followed similar market cycles. When one goes up in price, the other one typically also enjoys a boom. The same goes for busts. Most of the time, platinum trades at a premium to gold. For a long period from 2000 to 2008, an ounce of platinum cost more than twice as much as an ounce of gold. This trend is evident in the platinum-to-gold ratio. A reading above “1” means platinum is trading at its usual premium to gold. Anything less than “1” means gold is valued more. You can see that is what has happened lately...
140
Made with FlippingBook - Online Brochure Maker