Platinum prices hit 4-month high, Gold prices rise on global economy hopes
Platinum and palladium have outperformed gold so far this year on an improving economic outlook, and after mining disruptions in South Africa as well as a drop in supply from Russia triggered fears of a deficit. Both metals are used in jewellery and auto catalysts.
Palladium is expected to set a record average high this year and platinum is seen posting its best price performance in two years as South Africa's supply problems worsen and the economic cycle starts to favour industrial metals, a Reuters poll showed.
Platinum hit a high of $1,714.75 an ounce and was at $1,712.99 by 0257 GMT, up $7.00. It powered to a record $2,290 in early 2008 after a power crisis in main producer South Africa disrupted mining and sparked fears of a supply deficit.
Palladium rose $1.05 an ounce to $764.49, after rising as high as 766.22 an ounce on Tuesday.
"It is quite clear that this year, the demand will (exceed) supply. I think we are seeing steady buying actually. There's a steady flow into those metals from investors all around," said Yuichi Ikemizu, branch manager for Standard Bank in Tokyo.
"I think we could try $1,750 for platinum and for palladium, the target is $800," said Ikemizu, referring to the short-term resistance levels.
Data showed on Tuesday the
Be the first to comment.