Prices for Platinum and Palladium rise significantly – Commerzbank

The price of Platinum rose significantly this week, as did the price of Palladium, Commerzbank's commodity analyst Carsten Fritsch notes.

Platinum and Palladium are exceptionally cheap compared to Gold

"Platinum rose by 5.6% on Tuesday alone and then reached its highest level in almost a year on Wednesday at $1,090 per troy ounce. At the same time, Palladium rose by around 8% to just over $1,055 per troy ounce, which was a 3½-month high. Prior to this, several market observers had published their new forecasts for Platinum group metals. In most cases, these showed that the markets remain in a supply deficit."

"However, demand is expected to decline, in some areas even quite significantly. Therefore, the new forecasts cannot necessarily be seen as the reason for the price jump. However, they may have been taken as an opportunity. After all, with a price discount of more than $2,200 compared to Gold and a price ratio of more than 3:1, Platinum and Palladium are exceptionally cheap compared to Gold. It remains to be seen whether the recent price rises will last."

"There have been price spikes in Platinum and Palladium before in recent months. However, as in October 2024 and in the case of Platinum in May 2024, these were reversed after a short time. For the prices of Platinum and Palladium to rise permanently and make up ground against Gold, the uncertainty surrounding the tariff policy would have to subside which seems unlikely for the time being."