Platts reported that Bank of American Merrill Lynch analysts believe that monetary tightening and higher interest rates in the United States are likely to increase the premium of platinum to gold prices. The bank expects platinum prices to average $1,500 per ounce in Q3 of this year and $1,700 per ounce in Q4.
Articles Tagged "platinum prices"
Platinum Today released its August 2013 Price Report, commenting that platinum began the month at $1,439 per ounce before concerns about Syria brought it above $1,550 in Asian trading in late August. The metal ultimately ended the month at $1,521 following positive GDP growth in the United States.
Forbes reported that according to US government data released on Friday, speculators are continuing to add to bullish platinum and silver positions.
Mineweb reported that platinum prices have risen over their 200-day moving average and from there may increase 11 percent to hit their highest level since February, according to TD Securities.
The Financial Times reported that currently demand, not supply, appears to be the main driver of platinum prices.
ETF Trends reported that platinum prices, as well as the ETFS Physical Platinum Shares (ARCA:PPLT), gained the most in 13 months due to improved demand caused by better conditions in Europe and China.
Bloomberg reported that Chinese and German economic data showing that exports have rebounded is bullish for platinum as it indicates that metals demand will likely see a boost.
Bloomberg reported that as a result of record car sales and mining strikes, many analysts believe that platinum is a better investment than gold. As the year progresses, the metal's premium to gold, which is currently at 8.5 percent, is expected to increase to 19 percent.
Reuters reported that since launching three months ago, the New Gold Platinum exchange-traded fund (ETF) has brought in over half a million ounces — worth $780 million — of the precious metal.
Platinum Today reported that "relatively low" prices for platinum group metals and a rising cost base are together putting pressure on the platinum sector, according to Alison Cowley of Johnson Matthey. She believes good prospects for demand are coming, but thinks that those in the industry need to focus on where production will come from in the future.