Capital Market Highlights: Platinum

The platinum market will maintain a supply deficit in 2016 for the fifth consecutive year as mine production in South Africa has declined due to safety stoppages, partially offset by higher recycling supply and lower jewellery fabricator demand in China. The palladium market also remains in deficit driven by growth in demand and stagnant supply growth. The deficit in both markets could mean higher prices through the 2017 if the increase in car sales continues.

 

Metals

YTD 2016* 
(US $/oz.)

Year End 2015* 
(US $/oz.)

% Change

Platinum

$907

$872

4.0%

Palladium

$676

$547

23.6%

*Source: London Platinum & Palladium Market, as at December 31, 2016