Platinum Remains Above $2000
2026-05-08 02:51
By
Joshua Ferrer
1 min. read
Platinum futures traded above $2,000 an ounce, staying at their highest since April 22 as persistent tight supply conditions offset inflation risks from renewed Middle East tensions.
Fresh clashes between the US and Iran in the Strait of Hormuz raised doubts about the month-long ceasefire and heightened worries over prolonged energy supply disruptions.
The escalation revived inflation fears and reinforced expectations that central banks might keep interest rates higher for longer, dampening demand for the non-yielding metal.
Still, investors focused on signs that the US is seeking to de-escalate tensions, while also awaiting Iran’s response to a proposal to reopen the strait.
The platinum market also remains structurally tight, with output concentrated in South Africa and Russia, making production vulnerable to disruption.
In South Africa, aging mines, high power costs, and only gradual gains from new projects continue to limit growth, while Russia faces sanctions-related constraints.