Should Long Term Investors Sell Platinum?
Platinum prices have soared in 2025, hitting a ten-year high and climbing over 73 percent year-to-date by early November. On December 17, the spot price reached $1,922 per ounce, up from around $910 at the start of the year.https://fortune.com/article/current-price-of-platinum-12-17-2025/https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf This rally outpaced gold and silver, fueled by strong investor demand and tight supply from South Africa, which produces about 80 percent of the world’s platinum.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-year
The market faced a deep deficit in 2025, the third year in a row, with shortages estimated at 300,000 to 400,000 ounces even after counting investment buying like ETFs and bars.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-yearhttps://www.youtube.com/watch?v=M9FkBSlE1CY Mine output dropped five percent due to aging mines, power problems, and higher costs.https://www.youtube.com/watch?v=M9FkBSlE1CY Demand held firm from autos, hydrogen tech, and jewelry, especially in China where buyers shifted back to platinum.https://www.aberdeeninvestments.com/en-us/investor/insights-and-research/commodities-the-year-that-was-the-year-that-could-be-2026
For 2026, forecasts point to a shift. The World Platinum Investment Council expects a small surplus of 20,000 ounces, thanks to more recycling and a big drop in investment demand by 52 percent or 385,000 ounces.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdfhttps://www.kitco.com/news/article/2025-11-19/balanced-platinum-market-2026-wont-fix-fundamental-long-term-issues-wpic Some profit-taking from ETFs could add 170,000 ounces to supply if prices stay high.https://www.youtube.com/watch?v=M9FkBSlE1CY Auto demand may recover nine percent after a dip, but overall balances narrow.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf
Long-term investors face a choice. Platinum still trades $800 below its inflation-adjusted peak, with high lease rates signaling tightness.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf Analysts see upside, with prices possibly averaging $1,770 by end-2025 and hitting $2,340 in 2026, driven by green energy needs and supply woes.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-year It has lagged before but mirrors 2008’s big run, when it topped $2,100 before falling.https://fortune.com/article/current-price-of-platinum-12-17-2025/ Deficits marked seven of the last 11 years, hinting at lasting strength despite short-term balance.https://www.aberdeeninvestments.com/en-us/investor/insights-and-research/commodities-the-year-that-was-the-year-that-could-be-2026https://www.kitco.com/news/article/2025-11-19/balanced-platinum-market-2026-wont-fix-fundamenta