Platinum Surges Again, Hitting Highest Level Since 2014 as Platinum-Gold Ratio Nears Resistance

Driven by weakening momentum in gold and rising demand for alternative safe-haven assets, platinum prices climbed sharply on June 26, with a peak increase of 4.6%, marking the highest level since 2014. Palladium also advanced more than 6%, reaching the highest point since November last year. Although tariff policies were expected to suppress demand, the actual outcome has been a wave of stockpiling in both China and the United States, significantly depleting global platinum inventories. Platinum futures extended gains today, trading around USD 1,420 per ounce.

The rapid rise in platinum has brought its price ratio with gold close to a long-term technical resistance. This trend aligns with historical movements observed between 2021 and 2026, and a potential breakout may signal a structural shift in market dynamics. According to TD Securities strategist Daniel Ghali, markets were widely mistaken in anticipating that tariffs would reduce demand, when in fact hoarding behavior in both China and the U.S. is accelerating inventory depletion. Around 500,000 ounces of platinum have reportedly moved into U.S. warehouses, driven by arbitrage opportunities and tariff concerns.

Severe supply tightness is reflected in the futures market, where platinum futures are priced significantly below spot, indicating a pronounced “spot premium.” The implied borrowing cost for one-month platinum remains elevated, with an annualized rate near 13%, far above normal levels. Ghali noted that platinum available for trading is now extremely limited. Major spot markets in London and Zurich have exhibited sustained pressure for several months, confirming the seriousness of the supply shortage.

With geopolitical tensions easing after the ceasefire between Israel and Iran, traders continue to monitor global developments. Meanwhile, platinum’s rise has outpaced most other precious metals, with year-to-date futures gains exceeding 50%. MKS PAMP’s head of metals strategy Nicky Shiels attributed the rally to a continuation of global currency devaluation trades, as investors seek hedging tools beyond gold. Indxx’s Vaihab Agarwal described this shift as a result of “gold fatigue,” where capital rotates to other metals such as silver and platinum once gold reaches record highs.