PGMs, especially platinum seem really undervalued at the moment, and so are miners, especially SBSW (not a pure PGM play, making it even more attractive imo). And I think with the EV story losing at lot ground now, hybrid or pure ICE cars will have a big comeback.
Platinum here is the more interesting one for me, because ~80% come from South Africa and another 10% from Zimbabwe (not much better), whereas palladium is mostly mined in Russia, but there is a lot of palladium coming from nickel operations around the world as well, so the concentration of production isn't that high.
Include a bit of Rhodium in there too, just for that extra kick! Where Platinum and Palladium have additional uses to automotive, Rhodium is almost completely automotive so a purer bet on ICE survival/short TSLA.
I also entertain the speculation that Platinum will one day be upgraded to have monetary status. If the metal had been isolated thousands of years ago rather than just centuries ago I think its standing would be different. It would need a major monetary crisis as a catalyst though... hmm....
I agree with your point about the US. The sole Great Power has all three ingredients to remain in charge: energy independence (LNG, LPG, crude oil; only uranium lags), formidable geography (all enemies are a thousand miles away), and adequate demography. The other three Great Powers, China, Russia, and the EU, have poor demography, questionable geography, and energy dependence (EU and China). Russia is the undisputable leader when it comes to commodities and energy.
That being said, the next years will be turbulent. So, gold and tangible assets, in general, will deliver. Platinum Group Metals is probably the best metal play. Platinum miners are where uranium stocks were in 2020/2021.
PGMs, especially platinum seem really undervalued at the moment, and so are miners, especially SBSW (not a pure PGM play, making it even more attractive imo). And I think with the EV story losing at lot ground now, hybrid or pure ICE cars will have a big comeback.
Platinum here is the more interesting one for me, because ~80% come from South Africa and another 10% from Zimbabwe (not much better), whereas palladium is mostly mined in Russia, but there is a lot of palladium coming from nickel operations around the world as well, so the concentration of production isn't that high.
Include a bit of Rhodium in there too, just for that extra kick! Where Platinum and Palladium have additional uses to automotive, Rhodium is almost completely automotive so a purer bet on ICE survival/short TSLA.
I also entertain the speculation that Platinum will one day be upgraded to have monetary status. If the metal had been isolated thousands of years ago rather than just centuries ago I think its standing would be different. It would need a major monetary crisis as a catalyst though... hmm....
Excellent article!
I agree with your point about the US. The sole Great Power has all three ingredients to remain in charge: energy independence (LNG, LPG, crude oil; only uranium lags), formidable geography (all enemies are a thousand miles away), and adequate demography. The other three Great Powers, China, Russia, and the EU, have poor demography, questionable geography, and energy dependence (EU and China). Russia is the undisputable leader when it comes to commodities and energy.
That being said, the next years will be turbulent. So, gold and tangible assets, in general, will deliver. Platinum Group Metals is probably the best metal play. Platinum miners are where uranium stocks were in 2020/2021.