Platinum Trades at 1-Month High

Platinum futures traded above $2,300 an ounce, touching their highest level in four weeks, as ongoing trade and geopolitical tensions underpinned demand for safe-haven metals. A buildup of US troops in the Middle East kept markets cautious, while Washington sanctioned over 30 entities linked to Iranian oil and arms dealings ahead of renewed nuclear talks in Geneva. At the same time, the Trump administration advanced its tariff agenda, with US Trade Representative Jamieson Greer indicating that a directive lifting the global tariff rate to 15% could be implemented where appropriate. Platinum also continues to draw support from a persistent supply deficit, as mine output, largely concentrated in South Africa, has trailed demand for several years, tightening above-ground inventories. Stronger automotive demand, ongoing palladium-to-platinum substitution in autocatalysts, and renewed investment interest, particularly from Asia, have added further momentum.

Platinum futures climbed toward $2,200 an ounce, hitting a three-week high, as renewed tariff uncertainty and ongoing geopolitical tensions boosted demand for safe-haven metals. President Donald Trump raised global tariffs from 10% to 15% after the US Supreme Court struck down a large portion of his earlier trade measures, prompting concern over trade disruptions. Europe’s trade chief indicated he may suspend ratification of a US deal, and India delayed interim trade talks, though US Trade Representative Jamieson Greer confirmed that existing arrangements with China, the EU, Japan, and South Korea remain intact. Heightened geopolitical risk also supported the rally, with fears of potential US military action against Iran amid stalled nuclear negotiations, even as diplomats plan to reconvene in Geneva later this week. Platinum remained historically high amid ongoing supply tightness, particularly from South Africa, while demand remains underpinned by automotive catalysts.

Platinum futures hovered below $2,100 an ounce, moving in a tight range near two-month lows as a strong US dollar weighed on the market amid thin trading volumes in Asia. The greenback strengthened on robust US economic data and hawkish signals from the Federal Reserve. Minutes from the latest FOMC meeting revealed policymakers were split on the rate outlook, with some signaling further hikes could be warranted if inflation remains elevated. Meanwhile, trading remained subdued due to Lunar New Year closures in major Asian markets, while heightened geopolitical tensions provided support after President Donald Trump warned Tehran to reach a nuclear deal or face consequences, with Iran hinting at possible retaliation. Supply constraints, particularly from South Africa, are also expected to continue, supporting platinum prices, while demand remains underpinned by automotive catalysts.