Platinum Holds Near Three-Month Low
Platinum futures rose above $1,620 an ounce but remained near a three-month low, as safe-haven demand offered some support amid expectations of higher-for-longer interest rates. Signs of persistent inflationary pressures strenghened the case for the Fed to keep rates elevated for longer, raising concerns over capital-intensive sectors, namely the AI buildout, and supporting demand as investors seek shelter. Meanwhile, global EV sales fell 2% in September, ending six consecutive months of growth, according to Benchmark Mineral Intelligence data. Slower EV adoption could support platinum demand by easing the shift away from combustion-engine vehicles, although resilient hybrid sales have helped cushion the decline. Over the longer term, however, higher rates could exert greater downward pressure in demand for the metal that carries no yield. Additionally, the WPIC sees total demand falling 18%, including a 32% drop in Chinese jewelry demand and a 4% decline in automotive demand.
Platinum futures rose above $1,620 an ounce but remained near a three-month low, as safe-haven demand offered some support amid expectations of higher-for-longer interest rates. Signs of persistent inflationary pressures strenghened the case for the Fed to keep rates elevated for longer, raising concerns over capital-intensive sectors, namely the AI buildout, and supporting demand as investors seek shelter. Meanwhile, global EV sales fell 2% in September, ending six consecutive months of growth, according to Benchmark Mineral Intelligence data.
Slower EV adoption could support platinum demand by easing the shift away from combustion-engine vehicles, although resilient hybrid sales have helped cushion the decline. Over the longer term, however, higher rates could exert greater downward pressure in demand for the metal that carries no yield. Additionally, the WPIC sees total demand falling 18%, including a 32% drop in Chinese jewelry demand and a 4% decline in automotive demand.