Platinum Trades at 10-Week Low

Platinum futures held around $1,880 an ounce, staying near a ten-week low, pressured by broader weakness across precious metals amid growing expectations that central banks may need to raise rates to curb inflation risks from Middle East tensions. Renewed fighting in the region and attacks near the crucial Strait of Hormuz have strained a fragile ceasefire and dimmed hopes for a diplomatic resolution in the war. The prolonged conflict has also kept energy prices elevated, fueling inflation concerns and reinforcing expectations of tighter monetary policy. Meanwhile, the platinum market remains structurally tight, with the World Platinum Investment Council projecting a fourth consecutive annual supply deficit in 2026 as output in major suppliers South Africa and Russia remained constrained by aging mines, high operating costs, and sanctions-related challenges. Automotive demand also remains broadly resilient, supported by hybrid vehicle growth and tighter emissions standards.

Platinum futures traded below $1,950 per ounce, hovering near four-week lows as uncertainty over diplomatic progress in the Middle East kept inflation risks and expectations of prolonged high interest rates in focus. Key sticking points remain, including Iran’s demand to retain control over the Strait of Hormuz and its nuclear program, while hostilities between Israel and Lebanon remained elevated, keeping talks deadlocked and clouding prospects for a broader deal. Even if negotiations progress, elevated energy prices are likely to keep inflation under pressure and support the case for interest rates remaining higher for longer. Meanwhile, the platinum market remains structurally tight, with the World Platinum Investment Council projecting a fourth consecutive annual supply deficit in 2026. Automotive demand also remains broadly resilient, supported by hybrid vehicle growth and tighter emissions standards, while jewelry consumption weakens under higher prices, particularly in China.

Platinum decreased to 1914.00 USD/t.oz, the lowest since April 2026. Over the past 4 weeks, Platinum lost 2.18%, and in the last 12 months, it increased 79.71%.