Platinum Attempts Recovery
Platinum futures rose above $1,700 an ounce, attempting to rebound from a recent two-month low as falling oil prices offset pressure from elevated Treasury yields and a firm US dollar. Easing crude prices amid signs of improving energy flows from the Middle East are now helping non-yielding metals by reducing inflation concerns and bets on higher-for-longer interest rates. However, Treasury yields remain elevated, with the US 10-year yield near 5.24%, close to its highest since 2007 as persistent energy-driven inflation, a resilient US economy and hawkish signals from Federal Reserve officials strengthened expectations for further rate hikes. Meanwhile, platinum’s fundamentals remain mixed, with WPIC forecasting industrial demand to rise 5% in 2026 but automotive demand to fall 4%, leaving the market with a projected 265,000-ounce surplus. Over the longer term, demand will be underpinned by the rapid build-out of artificial intelligence.
Platinum futures rose above $1,700 an ounce, attempting to rebound from a recent two-month low as falling oil prices offset pressure from elevated Treasury yields and a firm US dollar. Easing crude prices amid signs of improving energy flows from the Middle East are now helping non-yielding metals by reducing inflation concerns and bets on higher-for-longer interest rates. 24%, close to its highest since 2007 as persistent energy-driven inflation, a resilient US economy and hawkish signals from Federal Reserve officials strengthened expectations for further rate hikes.
Meanwhile, platinum’s fundamentals remain mixed, with WPIC forecasting industrial demand to rise 5% in 2026 but automotive demand to fall 4%, leaving the market with a projected 265,000-ounce surplus. Over the longer term, demand will be underpinned by the rapid build-out of artificial intelligence.