Platinum
PL · NYMEX · futuresPlatinum and its uses
Platinum is a precious metal used in automotive catalysts, industrial processes, jewellery and other applications. Its price depends on a different balance of demand from gold’s reserve and investment role.
The PL series follows NYMEX futures in USD per troy ounce. The chart measures a defined traded contract rather than the final purchase price of every physical platinum product.
Supply concentration and substitution
Mine production is concentrated in a limited set of important regions. Energy availability, labour conditions and operating interruptions can influence output. Supply cannot always expand quickly when a shortage appears.
Industrial users can sometimes substitute one metal for another, but product design and qualification take time. Changes in palladium prices can affect material choices without producing an immediate switch in consumption.
Interpreting platinum’s market history
Automotive production, inventories and changes in technology can move demand. A potential future energy use is different from substantial current consumption. Gold offers another demand mix. Futures rollovers can affect the continuity of the long chart, while its volume measures contracts rather than total physical metal use.
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