Platinum Rebounds from Multi-Month Lows
Platinum futures rose above $1,650 an ounce, bouncing off from a recent nine-week low as a sharp decline in US Treasury yields and easing oil prices lifted the market. A rally in US government bonds pulled yields down from a 24-year peak, weighing on the US dollar and reducing the opportunity cost of holding non-yielding metals such as the platinum. Oil prices also declined, easing concerns over persistent energy-driven inflation and higher-for-longer interest rates. Markets now largely expect the Federal Reserve to keep interest rates unchanged this month. Meanwhile, the WPIC’s forecast of a market surplus in 2026 could limit gains, with total demand expected to fall 18%, including a 32% drop in Chinese jewelry demand and a 4% decline in automotive demand. Elsewhere, a state-owned firm in Zimbabwe, the world’s third-largest platinum reserves, also plans to develop a mining project in Darwendale next year, with an estimated 44 million ounces of platinum-group metals.
Platinum futures rose above $1,650 an ounce, bouncing off from a recent nine-week low as a sharp decline in US Treasury yields and easing oil prices lifted the market. A rally in US government bonds pulled yields down from a 24-year peak, weighing on the US dollar and reducing the opportunity cost of holding non-yielding metals such as the platinum. Oil prices also declined, easing concerns over persistent energy-driven inflation and higher-for-longer interest rates. Markets now largely expect the Federal Reserve to keep interest rates unchanged this month.
Meanwhile, the WPIC’s forecast of a market surplus in 2026 could limit gains, with total demand expected to fall 18%, including a 32% drop in Chinese jewelry demand and a 4% decline in automotive demand. Elsewhere, a state-owned firm in Zimbabwe, the world’s third-largest platinum reserves, also plans to develop a mining project in Darwendale next year, with an estimated 44 million ounces of platinum-group metals.