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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (88317)	1/11/2001 7:15:44 PM
From: ild	Read Replies (2) \| Respond to of 132070

MB, How do you put an income spread on ASA? Do you sell at the money leap and buy far out of the money? Like you sold VPYMC and bought VPYMB? Thanx, ild

To: Knighty Tin who wrote (88317)	1/12/2001 8:42:26 AM
From: Horgad	Read Replies (1) \| Respond to of 132070

Thanks for your response and continued good ideas. It sounds like we are on about the same page regarding the near term future of platinum group metals. My trading is far less sophisticated then you imagine. Yesterday I traded in my physical platinum bullion for gold. I bought the platinum at around $400 an ounce not so long ago partly due to your writings about the metal and associated stocks. (I am still kicking myself for not getting into to the stocks.) As for Rhodium converters I have no idea, but I caught wind of research being done on gold converters to replace the platinum group ones. --------------------------------------------------- news.ft.com Carmakers seek route to beat spiralling costs By Ruth Sullivan Published: January 8 2001 20:38GMT \| Last Updated: January 8 2001 22:23GMT Car manufacturers are becoming increasingly concerned at the soaring cost of palladium, which they use to make catalytic converters for car exhausts. The amount of palladium used in the manufacture of catalytic converters can vary from 4-20 grams depending on the vehicle size, and is prompting manufacturers to find ways around the problem. Some are trying to cut back in the use of precious group metals. "Many are practising a more thrifty approach, using less metal for the same effect," said Ross Norman, an analyst at Thebulliondesk.com. Others prefer to switch from palladium to platinum, its sister precious metal. But the move is not an overnight exercise for those yet to switch. A change of metal will require additional planning in the overall engine design. Changing to platinum may only bring short-term relief as it is not as resistant as palladium and its price is firming alongside its sister metal. On Monday, it fixed at $625 an ounce, just short of 13-year highs, while last week it hit a peak of $638 an ounce. Gold, which is not giving such a sparkling performance, is also being considered by some carmakers as a future alternative to palladium but tests on the use of gold for catalytic converters are still at an early stage. Such is the level of concern over switching to alternative metals that a conference run by Anglo-Gold and Mintec, the US mine planning and geological software company, will be held in South Africa next month. South Africa is the leading producer of platinum and has recently increased its output in order to meet the strong demand from carmakers. Neither does the short-term future look more promising for palladium users. Russia, the leading exporter, which accounts for two-thirds of the nearly 8m ounces of palladium produced globally last year, is driving prices ever higher by sitting on a stockpile of the metal and worrying markets over short supply and erratic deliveries. Industry observers note that carmakers have also been driving demand for palladium by stockpiling when prices began rising dramatically. Tightening global legislation on emission of toxic gases is also rising, as environmental awareness grows, and places a heavy demand on catalytic converter manufacturers. With such a scenario ahead, analysts are not optimistic that there will be a quick solution to the problem. "It seems inevitable that the price increase will be passed on to the consumer at some point," Mr Norman said.