NYMEX platinum futures rose 3.81% to $1,774.40/oz on June 15, tracking gains in gold and silver as the US-Iran peace deal eased macro uncertainty. Platinum remains 43.6% higher year-over-year, though it has corrected significantly from January's all-time high of $2,735/oz, which saw an intraday extreme of $2,924/oz.
The World Platinum Investment Council projects a fourth consecutive annual supply deficit in 2026. Above-ground stocks are forecast to fall to approximately 3.0 Moz by 2025, covering only four months of global demand. Inventory coverage is expected to drop below four months in 2026, making the market increasingly sensitive to disruptions.
Output from major producers South Africa and Russia remains constrained. South Africa holds approximately 90% of global platinum reserves and accounts for 70-80% of annual mined supply. National primary output has contracted from about 5.3 Moz in 2006 to roughly 3.9 Moz in 2025, a 26% decline sustained across multiple price cycles.
South African producers are facing existential challenges. Eskom power tariffs have risen 60% between 2021 and 2026, while rail logistics bottlenecks restrict concentrate movement. Major producers including Sibanye-Stillwater are in a survival phase, diversifying away from PGMs into battery metals.
Platinum at $1,770/oz is well below the January record but still elevated historically. The structural deficit narrative is intact, supported by constrained South African supply and growing automotive demand. Consider layering hedges on NYMEX futures (50 oz per contract) with a focus on the $1,500-1,700 support zone.