Platinum Hits 4-week Low

Platinum climbed back above $2,200 per ounce as investors bought the metal following a recent slump that pushed prices below $2,000 for the first time since December. The sharp moves came after profit-taking following last week’s record-high rally and was intensified by US President Donald Trump’s nomination of Kevin Warsh as the next Fed chair, a pick widely seen as more hawkish than other contenders. Meanwhile, near-term demand showed signs of softening, as elevated prices risked reducing autocatalyst purchases and encouraging substitution toward palladium. However, downside is partially limited by tight supply fundamentals: platinum markets remain structurally undersupplied, with South African production, accounting for roughly 70% of global output, constrained by chronic underinvestment and operational disruptions.

Platinum decreased 5.02% to 2015 USD/t.oz

Platinum futures fell below $2,100 per ounce, retreating sharply from the record $2,878 reached on January 26th as the rally unraveled under heavy profit taking and a decisive rebound in the US dollar. The stronger greenback reduced the appeal of dollar priced commodities and forced a rapid unwinding of speculative positions that had pushed prices far ahead of near term physical demand. The correction was amplified by broad liquidation across precious metals, with sharp losses in gold and silver spilling over into platinum amid thin liquidity. At the same time, near term demand signals softened, as elevated prices risked curbing autocatalyst purchases and encouraging substitution toward palladium. Still, downside remains partially cushioned by tight supply fundamentals, with platinum markets structurally undersupplied as South African production, which represents roughly 70% of global output, remains constrained by chronic underinvestment and operational disruptions.