Platinum’s blistering rally—up 43% since mid-May—may be running out of steam, according to analysts at ANZ, who warned on Monday that the white metal’s gains appear overdone. The bank cautioned investors about a possible pullback in the near term, even as structural supply deficits remain.
Why Platinum Rallied
Prices surged to an 11-year high, driven by:
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A bullish industry outlook
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Speculative buying amid fears of tighter global supply
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Safe-haven flows as investors sought alternatives to gold
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Platinum’s historical discount to gold, attracting value-driven trades
Spot platinum traded at $1,395.92/oz on Monday, after briefly breaching the $1,400/oz resistance in June.
For daily tracking of precious metals including platinum, gold, and silver, the Commodities API provides real-time and historical spot prices across global markets.
What’s Driving ANZ’s Caution?
Despite the ongoing supply deficit, ANZ pointed to demand-side headwinds:
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Weaker Chinese imports could materialize if prices remain elevated
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Auto sector demand—a key platinum driver—may weaken amid new U.S. tariffs
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The switch from palladium to platinum in catalytic converters is slowing due to platinum’s rising cost
ANZ analysts said platinum could retreat to $1,250/oz if it fails to hold above $1,400. That level is now acting as stiff resistance.
Supply Outlook: Still Tight
The broader supply narrative remains supportive:
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Mine disruptions in South Africa are expected to cut global output by 3% in 2025
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Platinum recycling remains low, keeping the market structurally tight
To monitor miner performance and outlooks in the sector, including production forecasts and risks, the Full Financial as Reported API offers deep insights into financial disclosures of key platinum producers.
Bottom Line
Platinum remains in a long-term supply-deficit cycle, but speculative overreach and macro headwinds could fuel short-term corrections. With $1,400/oz now acting as a critical resistance point, traders should watch for demand signals—particularly from China and automakers—before calling the next leg higher.
