Platinum Falls to Nine-Week Low
Platinum futures fell below $1,700 an ounce to their lowest level in just over two months, pressured by investment flows and a weaker demand outlook. Elevated energy prices have fueled concerns over persistent inflation and debt affordability, pushing sovereign yields to multi-year highs and increasing the opportunity cost of holding non-yielding assets such as platinum. Bearish sentiment was reinforced by the World Platinum Investment Council’s forecast of a market surplus in 2026, with total demand expected to decline 18%, including a 32% drop in Chinese jewelry demand and a 4% decline from automakers. Additional supply could also weigh on prices, as a state-owned firm in Zimbabwe, the world’s third-largest platinum reserves, plans to develop a mining project in Darwendale next year, with an estimated 44 million ounces of platinum-group metals. Over the longer term, however, rapid AI infrastructure expansion could support demand.
Platinum futures fell below $1,700 an ounce to their lowest level in just over two months, pressured by investment flows and a weaker demand outlook. Elevated energy prices have fueled concerns over persistent inflation and debt affordability, pushing sovereign yields to multi-year highs and increasing the opportunity cost of holding non-yielding assets such as platinum. Bearish sentiment was reinforced by the World Platinum Investment Council’s forecast of a market surplus in 2026, with total demand expected to decline 18%, including a 32% drop in Chinese jewelry demand and a 4% decline from automakers.
Additional supply could also weigh on prices, as a state-owned firm in Zimbabwe, the world’s third-largest platinum reserves, plans to develop a mining project in Darwendale next year, with an estimated 44 million ounces of platinum-group metals. Over the longer term, however, rapid AI infrastructure expansion could support demand.