Email of the day (2)
"1) A few weeks ago on the audio I believe you said you were going to research the long term link between Platinum and Gold prices. Just wondered what you had found out.
"2) Could you please put DB x-trackers DAX ETF in the Chart Library? Thank you for your service."
Eoin Treacy's view Thank
you for this reminder and I have added the DAX ETF to the Chart Library. I believe
I mentioned the platinum / gold ratio when it had returned to an historically
interesting level near parity.
Over
the last 20 years parity between
the metals has generally been a sign that platinum was about to outperform gold.
However, my point was that this conclusion was based on a comparatively short
timeframe since our platinum data only goes back to 1988. I would dearly like
to see platinum price data that goes back to the 1970s. Equipped with a longer-dated
ratio we could ascertain how the metals behaved relative to each other during
secular bull as well as secular bear markets. I have not yet succeeded in locating
such a price series.
At present
the platinum / gold ratio is currently testing the 1991 low near 0.93 but remains
in a relatively consistent downtrend and little has happened to question the
continued trend of gold's outperformance.