Platinum and Gold Spread Trading: A Case Study

Platinum is trading at the largest discount to gold in over 30 years. The record spread was seen on 21 January 2016 at $284/oz. Platinum price has been trading at a premium to gold for most of the last three decades. This provides spread trading opportunities using CME’s flagship Gold (GC) and Platinum (PL) futures.

This article discusses the details of trading the Platinum and Gold spread, as well as advantages and an example trade. 


All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.

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