By Michelle Smith — Exclusive to Platinum Investing News
Earlier this month, platinum received a boost from positive Chinese manufacturing data, but overall the Eurozone financial crisis has proven to be a real concern for the market.
The average global price for platinum in March was $1,661.70, according to data from Johnson Matthey, but thus far this month the average has plunged to $1,605.47.
In London, the price of platinum fell below £1,600 for the first time in two months last week. In New York, platinum has dropped as low as $1,575.
Standard Bank described the recent increase in short positions on the NYMEX as “alarming.” This uptick, which the bank notes is the highest since August 2011, is “the surest signal we’ve had in a while that the market is turning against the metal.”
This weakness has come in spite of reports that strikes and safety stoppages have weighed notably on South African production. As opposed to being concerned with supply, investors largely appear to want clear indications of strong demand.
Standard Bank said it sees value in platinum when it is in the range of $1,550 to $1,600.