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

To: yard_man who wrote (25740)	2/5/1998 2:00:00 PM
From: Knighty Tin	Respond to of 132070

Barry, The main bullish case is that it is a rare asset and it has declined in sympathy with gold without the central bank selling that gold had. The main industrial use for platinum is in catalytic converters, though it is also used in electronics. The Russians are very important. They had huge stores of platinum and their selling has helped crunch the price. We do not know how much they have left. My guess is that the lion's share has already been sold when they were extremely desparate for hard currency. However, that is just a guess and makes the position speculative. Also, it is to Russia's advantage to keep the price high and I think we could eventually see an accomodation between the two biggest producers, Russia and South Africa, the same way we saw it in diamonds. The eps are going to look bad this quarter, so I would buy after the announcement, hoping for a dip. MB