Tag - PGMs

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Tuesday, May 27 2014

Platinum Takes a Break from Rising Prices, Strike Continues

Platinum and palladium both took a break from recent price rises on Friday as investors made pre-long weekend cash ins.

That said, analysts believe the halt is only temporary as supply for both metals is still being squeezed. That's largely because ongoing strikes in South Africa look unlikely to let up despite the approach of a new round of mediation talks, The Wall Street Journal notes. As Rich Ilczyszyn, chief market strategist with Chicago-based futures brokerage iiTrader, told the news outlet, “platinum has been a leader and this is just a bit of profit-taking."

As Bloomberg states, the supply shortage for both platinum and palladium is only growing, and will soon become the greatest in 30 years.

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Wednesday, May 21 2014

Platinum market deficit seen widening in 2014

The platinum market is expected to post a deficit of 1.218-million ounces this year, a report from Johnson Matthey showed on Tuesday, the largest shortfall since it began compiling data in 1975.

South Africa, currently facing its longest and costliest platinum miners’ strike ever, is expected to supply quarter of a million fewer ounces of metal in 2014 than last year — some 3.953-million ounces against 4.209-million in 2013.

With Russian output seen dipping by 15,000 ounces, total mined supply of platinum is expected to fall 267,000 ounces to 5.562-million ounces.

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