PGMs - finding favour with funds

摘要

Platinum and palladium both hit impressive price highs in late March on a return of fund buying on theback of the general strength in the precious metals complex. On 30 March platinum touched dollar l,084/oz, a new record price, whilst palladium reached 3 1/2-year highs around dollar 345/oz. These price highs did not translate into monthly gains for platinum, which averaged dollar l/oz lower than February's average. Volatility for platinum also declined from the highs reached in January, perhaps an indication that the momentum behind its price moves is beginning to stall. On the other hand, palladium managed an average 7 percent higher than in February at dollar 310/oz, the first time a month has topped dollar 300-plus since October 2002. And palladium witnessed a return of volatility from its somewhat somnambulist price moves over the last two years or so.