South Africa has played a significant role in the development of the platinum market. Much of the world’s platinum comes from this region. In fact, 70 percent of the world’s platinum originates from South Africa, but Russia is also a major supplier of this precious metal as well, which must be why the two countries announced a union earlier to expand the platinum market. Investing in platinum is a solid investment as much of the reports indicate that the market is in demand and steadily rising according to Bloomberg. These increases have led many investors to see a new territory with platinum. The following is a rundown on how you can invest in platinum as well.
Platinum Price Chart Code
History of Platinum Investing
When people think of precious metals investing, the two big trades that come to mind are gold and silver, the two metals commonly featured on nightly commodities news reports. Less attention is paid to platinum. But, investors with an eye toward diversification know that platinum offers a different type of play than gold and silver. Platinum trades more heavily as a resource utilized by industry. It also is more likely to move upward against political trends that favor liberal governments. Consequently, platinum provides a greater level of stability, historically, along with a slightly different trend in terms of reactions to global politics and economics.
Why invest in platinum?
Platinum trades somewhat differently than gold. Where gold often trades stronger during times of economic uncertainty, platinum tends to suffer. The trade-off is that, due to the demand-sided aspect of platinum’s role in several industries, platinum often trades higher during periods of global economic strength. From an investing standpoint, this is beneficial, because it gives commodities traders a place to flee as the economy heats up and gold prices collapse through multiple support levels.