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Platinum Price May Hit $2,000

By JCK Staff
Posted on May 17, 2011
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The price of platinum could rise to as much as $2,000 per ounce in the next six months, according to Johnson Matthey’s “Platinum 2011” report, released May 16.

The company further predicted the price of platinum will average $1,870 an ounce in the next six months, after averaging $1,762 during the six months that ended April 2011.

The company, which manufactures catalysts and chemicals used in the refining of precious metals, cited “positive supply-demand fundamentals and continuing global economic growth” for the continued price growth.

The price of palladium was also forecast to rise, with Johnson Matthey predicting its price will average $825 in the new six months, compared to an average of $762 in the six months that ended April 2011.

Other key figures from the report:

- Gross demand for platinum in 2010 increased by 16 percent to 7.88 million ounces.

- Purchases of platinum for jewelry in 2010 fell by 14 percent to 2.42 million ounces, following an extremely strong 2009, due in part to rising metal prices.   

- Worldwide demand for palladium in jewelry last year fell 20 percent.

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