It was a tough day on the markets for the precious metals. Platinum plunged the furthest, at 6 percent, while gold dropped more than 2 percent and silver by 5 percent. The drop was instigated earlier in the session as economic worries prompted Asian traders to sell off metals.
BHP Billiton’s CEO Marius Kloppers denied on the South African inspired rumours that the company was preparing to bid for Impala Platinum. For more information, click here For BHP’s website, click here
Platinum declined more than 6 percent on Tuesday to its lowest since mid-September last year, due to weakening demand from automakers and general weakness in precious metals. Kazuhiko Saito of Interes Capital Management in Tokyo said: EU automobile production decreases. Both gold and platinum continue to be bearish. Platinum may be fall to below $1,200. [...]
Rival bidders like Impala Platinum are seeking ways to challenge Xstrata’s takeover bid for £5bn UK-listed Lonmin. A top institutional investor said: It seems clear that Lonmin will be sold – if not to Xstrata then somebody else. Click here for full story.
Platinum gained in Asian trading for a second time in eight days due to short covering as traders tooks the rise in crude oil prices as a signal that the metal would extend this month’s 20 percent decline. For more information, click here
Platinum gained for a second day in Asian trading due to speculations about short covering. Barclays Capital Inc. analysts led by Jordon Kotick were quoted as saying: A bout of short covering could ensue into the $1,638 to $1,712 an ounce resistance zone in the sessions ahead. Click here for more information.
Shares of Impala Platinum, world’s second-biggest platinum producer, surged in Johannesburg trading on speculation that BHP Bilton could make a bid to acquire the company. Garth Mackenzie, head of derivatives trading at BoE Stockbrokers in Johannesburg, said: Speculation in the market that BHP may be planning a bid for Impala is moving this stock. Click here [...]
South African platinum company Wesizwe Platinum Ltd has evolved itself this year into a platinum miner from an exploration player. Robert Raiy, company’s acting chairman, said: The company completed a feasibility study on its flagship Frischgewaagd-Ledig project a year ahead of schedule, paving the way for the start of construction work and the production of ore [...]
Platinum Australia forecasts that the shortfall in platinum is expected to increase this year. Platinum Australia managing director John Lewins said: The platinum market was in deficit last year by 500,000 ounces (oz) but there was demand of seven million oz. For more information, click here
Platinum plunged to its lowest point in over seven months as growing concern of economic slowdown reigned over diminishing supply. All precious metals were impacted this week as crude dropped and the US dollar gained some steam against the Euro and the Pound.
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