Platinum Falls on News of South African Agreement

Jun. 12, 2014 08:16AM PST

Bloomberg reported that the white metal, along with its sister metal palladium, fell after rising earlier this week following news of a possible resolution to an ongoing strike in South Africa.

Bloomberg reported that the white metal, along with its sister metal palladium, fell after rising earlier this week following news of a possible resolution to an ongoing strike in South Africa. According to Bloomberg, Amplats (LSE:AAL), Implats (JSE:IMP) and Lonmin (LSE:LMI) have reached an agreement ‘in principle’ with the Association of Mineworkers and Construction Union to end the strike.

As quoted in the publication:

Platinum for July delivery dropped 2.4 percent to $1,445 an ounce in New York. It reached $1,488.40 yesterday, the highest since May 23. Prices rose 5.3 percent this year, compared with palladium’s 15 percent gain. Anglo American Platinum Ltd., Impala and Lonmin Plc expect to get feedback tomorrow. South African government-led meetings ended June 9 without agreement. The AMCU is meeting members at various mines today to obtain members’ opinion on the proposal.

Click here to read the full Bloomberg article.