Platinum to recover as soon as Gold starts to rise – Commerzbank

Although the Gold market is likely to pick up in the medium to long term, there is a lack of momentum in the short term, which also means that the price recovery on the Platinum market will be a wait-and-see affair despite the undersupply, strategists at Commerzbank say.

Gold market is likely to pick up in the medium to long term

Next Wednesday, the World Platinum Investment Council (WPIC) will present its annual results for 2023 in its new quarterly report: Back in November, the WPIC had already forecast a record deficit of 1 million ounces for last year, which incidentally did not prevent the platinum price from ending the year down a good 7% despite the year-end rally. The start to this year is hardly any better.

In our view, however, the price has fallen too low. After all, demand is expected to exceed supply again this year, even if the gap will probably be much smaller than last year. As soon as the Gold price starts to rise, we therefore expect Platinum prices to rise.