14th January 2013 Weekly Bulletin

This website uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more about cookies

14th January 2013 Weekly Bulletin

Johnson Matthey London Base Prices at 0900 hrs, $/oz:

Pt Pd Rh
Monday 14th January 1,658.00 704.00 1,080.00
Tuesday 15th January 1,684.00 712.00 1,100.00
Wednesday 16th January 1,690.00 726.00 1,100.00
Thursday 17th January 1,695.00 730.00 1,130.00
Friday 18th January 1,673.00 723.00 1,150.00

A long-awaited restructuring plan announced by Anglo American Platinum (AAP) on Tuesday was the trigger for much price action in the pgm markets. Both platinum and palladium reached multi-month highs and platinum regained a premium over gold. Profit-taking tempered the rally in spot prices mid-week, and news of the end of a brief illegal strike at Anglo took the wind out of a further speculative rally. By Friday signs of recovery in the US economy, including a strong pick-up in the rate of US new housing starts and lower jobless claims, helped propel commodity prices higher.

Platinum

In the results of its year-long strategic review, AAP announced the closure of four shafts in the Rustenburg area and the preparation for sale of its Union mine, resulting in a fall in planned platinum output by 400,000 oz. The news, generally in line with expectations, was welcomed by the market as a sign that South African miners are dealing with unprofitable operations and moving towards a smaller, more viable mining sector. The ensuing price rally saw platinum trade above $1,700, a 3-month high, and reassert a premium over gold for the first time since March 2012.

Palladium

Palladium prices were also on an upwards trend this week, benefitting from a further improvement in the fundamental outlook as a result of South African mine restructuring. By Friday, the Johnson Matthey Base Price was $732, the highest since September 2011.

Rhodium

Rhodium moved higher this week on a combination of short covering and speculative buying in the light of the Anglo announcement as well as decent physical demand in Asia. By Friday, rhodium was trading at a two-month high of $1,150.

Johnson Matthey,  
Orchard Road,  Royston, 
Hertfordshire SG8 5HE, 
United Kingdom