Gold & Silver lagging Platinum

In the first graph from www.kitco.com, it is obvious that platinum has been almost parabolic in its rise since about August 14th. Gold, on the other hand has not had the parabolic rise, yet, but has been increasing in price since about June of 2003. Of course, there have been down periods in gold's rise which are not as obvious in platinum. Gold has come down below 900 over night and is staying around 888 at present.

I may have been a bit premature in my buying of Harmony (HMY) yesterday. HMY is selling at 8.65 at present. In the long run, it is better to be on board than sitting on the sidelines. However, it is extremely nice, but extremely rare that one will buy in at the lowest price or sell at the highest price. It is really tough when the prices escalate so rapidly that one feels locked out. Thus, it is often better to buy in a bit early.

While both gold and silver are monetary metals, silver has the added advantage of more commercial manufacturing demand. Thus, silver has some of the demand of the base metals. However, it seems that the boys must jump in to put a cap on both of these metals. If they only manipulated one, the other would be much higher now. Both are below in inflated dollar terms below their highs in 1979 and 1960. Both have much higher to go to catch up with the depreciated dollar, so expect both to go higher after the present consolidation, correction, or whatever you would like to name it.

The dollar has been a bit stronger during the last 24 hours. The Euro has dropped a little, but should make a run for $1.50 this summer. The ECB is expected to lower interest rates, if not this month, then early in the Spring. Therefore, one should ecpect the Euro to dro a bit in price before sprinting ahead to $1.50.

Keep studying the Word of God and applying it in your life. In it you are led to Jesus Christ: the only gate to reconciliation with the Father.

Best to each, Doug