Platinum Remains Under Pressure
Platinum futures traded around $1,700 an ounce, staying near one-month lows as elevated oil prices and Treasury yields pressured the precious metals complex. Treasury yields climbed to multi-decade highs amid concerns over persistent energy-driven inflation, which could prompt tighter monetary policy and weigh on non-yielding metals. Oil prices also remain elevated as the US and Iran make little progress in negotiations despite signs of recovering Middle East flows. However, softer-than-expected US inflation data offered some support as markets reduced the odds of another Federal Reserve interest rate hike this month. Meanwhile, platinum’s fundamentals remain mixed, with WPIC forecasting industrial demand to rise 5% in 2026, partly driven by AI infrastructure, but automotive demand is expected 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 traded around $1,700 an ounce, staying near one-month lows as elevated oil prices and Treasury yields pressured the precious metals complex. Treasury yields climbed to multi-decade highs amid concerns over persistent energy-driven inflation, which could prompt tighter monetary policy and weigh on non-yielding metals. Oil prices also remain elevated as the US and Iran make little progress in negotiations despite signs of recovering Middle East flows. However, softer-than-expected US inflation data offered some support as markets reduced the odds of another Federal Reserve interest rate hike this month.
Meanwhile, platinum’s fundamentals remain mixed, with WPIC forecasting industrial demand to rise 5% in 2026, partly driven by AI infrastructure, but automotive demand is expected 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.