Platinum Jumps to Four-Year High Amid Million-Ounce Supply Shortfall

Platinum prices surged to their highest level in four years Monday, climbing 7.7% to $1,200.95 per ounce as market tightness and supply deficits intensify pressure on the precious metal.

The advance extended platinum’s rally for a sixth consecutive trading session, pushing the metal to its highest price since May 2021. The metal has gained more than 30% since the start of 2025.

“It’s supported by a combination of tight supply expectations, improving industrial sentiment, and technical follow-through from the broader precious metals rally,” Alexander Zumpfe, a trader at Heraeus Metals Germany, said in a Reuters report.

The World Platinum Investment Council projects a supply deficit of nearly 1 million ounces for 2025, driven by strong automotive demand and constrained mining output. The shortage has pushed one-month lease rates above 13.5% on an annualized basis, compared to typical rates near zero.

“There’s been growing tightness since December,” Ed Sterck, director of research at the World Platinum Investment Council, told Bloomberg. He added that fundamentally, “the market is still headed for a deficit.”

South Africa, which produces around 80% of global platinum, has experienced declining output. Meanwhile, the automotive sector — accounting for approximately 43% of platinum consumption through catalytic converters — saw demand reach a seven-year high in the first quarter of 2025.

Investors moved significant amounts of platinum into US warehouses earlier this year amid concerns about potential trade tariffs. Exchange-traded fund holdings have climbed to a 10-month high, while the premium of spot prices over futures signals immediate supply tightness.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Goliath Resources Hits 10.60 g/t Gold Over 22.82 Metres, Highest Grade Results In Third Distinct Rock Package At Surebet Discovery

Four Countries Control the Fertilizer That Feeds the World | Sage Potash

$10,000 Gold Is Just A Question of Time | Florian Grummes

Recommended

Antimony Resources Drills 5.27% Sb Over 4.95 Metres In Latest Results

Nord Precious Metals Identifies 29 Veins At Castle East Following 3D Modeling

Related News

Canada’s Trade Deficit Tightened in November Following Surge in Gold Shipments

As the demand for precious metals continues to accelerate amid the pandemic, Canada was able...

Thursday, January 7, 2021, 02:51:00 PM

Platinum To Go Above $2,000? – The Daily Dive feat Todd “Bubba” Horwitz

Today on The Daily Dive, we sit down with Todd “Bubba” Horwitz, of BubbaTrading.com. Todd...

Thursday, March 4, 2021, 01:30:00 PM

Is Platinum Moving Towards A Record Deficit?

The platinum market is expected to run a nearly one million ounce deficit in 2023,...

Tuesday, May 16, 2023, 03:04:00 PM

Costco Goes Platinum: The Shiny New Addition to the Wholesaler’s Precious Metal Lineup

Costco (NASDAQ: COST), known for its bulk deals on everything from toilet paper to snacks,...

Thursday, October 3, 2024, 10:19:00 AM

BMO: Investors Remain Underweight In Base & Precious Metals

BMO Capital Markets Metals & Mining analysts recently met with several U.S investors, both long...

Sunday, September 18, 2022, 05:17:00 PM