Following a prolonged period of rangebound pricing (~$900-$1,100/oz), platinum prices surpassed $1,330/oz as of 18 June, marking its highest level since 2014. Despite the >55% YTD rally in prices, neither supply nor demand forecasts are expected to respond in the near-term. Accordingly, the platinum market is still expected to post a near million-ounce deficit in 2025f.On the supply side, platinum is mined almost exclusively as par of broader PGM operations or as a nickel byproduct, making it difficult to scale in isolation. Furthermore, PGM basket price considerations (not only platinum prices) and long project lead times limit near-term production responsiveness.At the same time, platinum is an essential metal for demand across the automotive and industrial sectors supporting expectations for near-term resilience. This is consistent with historical patterns, where price movements have taken multiple years to trigger substitution efforts. As a result, no imminent adjustment in market fundamentals is anticipated.
