With Friday’s loss, PPLT slumped by about 6.5% last week, extending its monthly loss to nearly 5% and its year-to-date loss to over 16%.
“Platinum prices tumbled to 10-year lows as the collapse of Turkey’s lira rippled through markets and weakened the currency of top producer South Africa, underlining persistent oversupply of the autocatalyst metal,” reports Reuters.
On the demand side, platinum will continue to enjoy robust industrial demand. Additionally, platinum jewelry is starting to enjoy a jump in demand as well, especially among the Millennial generation – younger generations in traditional gold-centric economies like India saw 2017 platinum jewelry sales jump 25%, according to Platinum Guild International.
Getting Bearish on Platinum
“Once much more valuable than gold and palladium, platinum has tumbled 25 percent from January highs to below $780 an ounce. This week it hit its lowest since October 2008 and a new record low relative to gold,” according to Reuters.