Platinum’s “recent declines have put a halt to an earlier rally in 2016, paring this year’s gain to 14 percent. Investors have speculated that resilient automotive sales would boost consumption. The metal has also increased alongside gold, which is up more than 20 percent in 2016 as the Federal Reserve’s decision to delay raising interest rates further boosted the metals’ appeal as a store of value,” according to Bloomberg.

SEE MORE: Soaring Silver ETFs to Snap Up as Metals Shine

Although platinum is not as heavily traded as gold or silver, it is the third-most traded precious metal in the world and it is more scarce than its more popular rivals. Industry observers also believe that platinum companies have overextended operations during the commodities boom in prior years and have suffered from an oversupplied market as a result.

For more news on Precious Metals ETFs, visit our Precious Metals category.

ETFS Physical Platinum Shares

Tom Lydon’s clients own shares of GLD.

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