Why Platinum Prices Are Poised to Surge In 2022 and Beyond

Platinum ScrapRecycle Precious MetalsRecycle Refine Platinum
Written By Barry Lenson

“The World Platinum Investment Council (WPIC) said on Wednesday the global platinum market would see a much larger surplus this year than it previously forecast and another big oversupply in 2022.”

“Platinum Market Heading for Biggest Surplus in Years: WPIC,” The Business News, November 24, 2021

If you are one of our regular readers, you know that we have often pointed out that platinum is scarce. Because it is not mined in many regions of the world, demand for it is high, and is likely to remain so . . . forever. Therefore, we have recommended investing in platinum scrap and having us reclaim the platinum it contains.

But as calendar year 2021 closed, something very unusual is happening with platinum . . .

There is actually a surplus of the metal

Manufacturers of industrial catalysts, spray nozzles that are used in manufacturing, and even platinum engagement rings can simply buy all the platinum they want. The stuff is available. And platinum prices, during 2021, which were highest in January, have trended down. It is now trading at $960.00.

Why has the price dropped in the long term? If you poke around online, you will find some answers. One is that for some reason, China has decided to export more of the metal to the U.S., even though in order to do that, it has to accept a lower trading point.

A Profitable “Buy and Hold” Strategy for Investing in Platinum Scrap

Chances are very good that in calendar year 2022 or beyond, the trading price of platinum is going to bounce strongly back, because the demand for the metal is not going to go away. Even though there is a surplus available now that is depressing prices, that is likely to change.

Platinum will continue to be used in industrial catalysts, in catalytic converters, in hydrogen fuel cell cars, in jewelry, in electronics . . . and in countless other ways.

Therefore, we would encourage you to buy platinum now and hold it until the turnaround occurs.

Or even better, invest in platinum scrap and hold it until the turnaround comes. We are talking about platinum scrap in the form of:

  • Electrical contacts and electrodes

  • Filings, bench sweepings and floor sweepings from industrial sites

  • Jewelry

  • Oxygen sensors

  • Platinum mesh and sponges that were used in plating and other industrial applications

  • Used laboratory testing equipment

Call Us When You Are Ready to Make Money

Call our precious metal refining consultants at 800-426-2344 when you are ready to recycle your precious metal scrap. Or just give us a call to discuss a strategy that will work for you in calendar years 2022 and beyond.

It will be a great year for investing in platinum. We know that if you invest wisely by buying scrap and low prices and holding it until the value rebounds, you stand to make a lot of money by investing in platinum.

Barry Lenson
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