2022 Will Be Another Great Year to Invest in Precious Metals

Platinum ScrapRecycle Precious MetalsRecycle Refine Platinum
Written By Barry Lenson

Yes, it will. Why? Some of the reasons will surprise you.

  • Inflation, which everyone is worried about, can actually make it more profitable to invest in precious metals. There are several reasons. One is simply that the prices of precious metals will rise, along with the prices of everything else, due to inflation. Another reason is that manufacturers of electronic devices, jewelry, thermocouples – and everything else that contains precious metals – will be paying more for the precious metals they need to make their products. So your gold scrap, platinum scrap, and silver scrap will be more in demand and will therefore rise in value.

  • Trade frictions with China and Russia will increase the demand for precious metals. We don’t know what new conflicts will arise between the U.S. and other countries, but we do know that Russia seems poised to invade Ukraine and that a number of countries (including the U.S. and Canada) are not sending official delegations to the upcoming Olympics in China. (We are, however, sending athletes to compete.) If imports of gold, silver and platinum from those countries slow to a trickle, the prices of those metals will rise here in the U.S. as the demand for them increases.

  • Luxury spending is on the rise. As the pandemic fades away, people are resuming their spending on luxury items like jewelry, home furnishings, expensive electronics, and more. Again, this will increase the demand for the precious metals those items contain, and the value of your precious metal investments will rise.

  • New charging facilities will be built across the country for electric cars. Each of them will include individual charging stations, each of which will contain circuit boards that contain quantities of gold.

  • Supply chain disruptions are reducing the supply of available gold and other precious metals. That means that the demand for the precious metals you invest in is likely to rise, along with their value.

  • The coming effort to renew America’s infrastructure will make for bigger profits in precious metals. First, the demand for gold, silver and platinum will increase because they will be needed in new buildings and their systems. Second, demolition of older buildings will create supplies of precious metal scrap that can be bought at low prices. And when you put low prices and high demand together, the result will be opportunities for investors to make more money by investing in precious metals.

And at the Same Time . . .

As prices rise due to demand, it is also possible today to acquire scrap at low prices. Again, some trends are at work. To mention just a few, malls and retail spaces are being shut down and converted for other uses such as office space and apartments. The thermocouples and electronics they contained can be bought now at low prices.

Another trend is that vast numbers of obsolete electronic devices – everything from digital cameras to remotes to old cellphones – are now available because they have been replaced with newer technologies.

How can you determine how much your scrap is worth? You can send samples to Specialty Metals Smelters and Refiners for testing. We are here at 800-426-2344 to answer all your questions about making money in precious metals as this new year begins.

Barry Lenson
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