Investing in Platinum Coins

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We hear repeatedly how Europe is in recession, the national debt is out of control, and the fiscal cliff will sink us all. Yet, this is indeed the fiscal reality of the world we live in. What you might not know is that the main central banks of the world, including the Federal Reserve are pumping enormous sums of printed money into the world economy. Unfortunately, this is fiat money, and there is nothing of substance backing it. This means we can expect our dollars to buy fewer goods as high inflation enters the picture.

Very soon Congress must again raise the national debt ceiling if the United States is to meet its financial obligations. The last time this event took place the debate turned into a three ring circus between the president and congress. As a result the US had its credit rating dropped a notch for the first time in history. It is likely there will again be posturing when the country runs out of money early in 2013. However, gold, silver, and platinum will soar in price, while stocks tumble.

According to The Daily Beast the president could make this problem go away simply by depositing a $1 trillion dollar platinum coin into the treasury. Joe Gagnon, a former economist at the Federal Reserve says this is what he would do if he was Secretary of the Treasury. The Washington Post’s Brad Plumer reports, that although this scenario is unlikely to happen at least people are discussing it as a real method to avert a crisis.

Investing in gold and silver bullion coins is a popular method of protecting one’s assets from the current down economy and the likely inflation that is looming. Still, many investors ignore platinum. This precious metals is rarer than gold, but unlike gold it is widely used in industry, and is popular in jewelry. Platinum is an essential element in the manufacture of automobile catalytic converters. Given that China car sales are likely to increase 10 percent in 2013 bodes well for the price of platinum. Yet, platinum is under-performing and even trails gold in worth. This is a rare occurrence meaning that platinum is due for a price correction very soon.

Platinum bullion bars are great for large investors, but smaller financiers can invest in tangible platinum bullion coins like the American Platinum Eagle or the Canadian platinum Maple Leaf. Platinum is trading at the bargain price of $1529 per ounce. South Africa is the leading producer of platinum but the supply is often disrupted by strikes and even violent unrest, yet demand continues to rise. Expect platinum to rise in 2013 by a significant margin. Smart investors will buy platinum bullion coins from Monex, the number one name in the business.

The Federal Observer says that precious metals have been on a tear the last few years, and this trend will likely continue. The stock market remains unstable and inflation is poised to rear its ugly head. Still, you can diversify your gold and silver portfolio further by investing in bargain priced platinum, before the price spikes upward. The best way to buy platinum bullion coins is from, because they have been in business for over four decades.