A platinum-back exchange traded fund (ETF) could soon be launched by a large U.S. bank with the potential to be quite larger than the two European products. Allan Seccombe for Miningmx.com writes the main concern is if a big U.S. fund goes for it, and the liquidity needed to support the ETF is not there, then $1,500 is around the corner.
This week on the London stock exchange commodity tools were launched to give access to palladium, platinum, gold and silver and a precious metals basket. The response was slow. Last year, when a platinum fund was speculated, the price rose to $1,400/oz. on the rumors. The price could rise to $1,450 this year, driven by the price of gold.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.