Walter de Wet Discusses Platinum Outlook

Mineweb reported an interview with Standard Bank’s Walter de Wet discussing the future of platinum and platinum group metals.

Walter de Wet said:

Platinum has been very weak and a lot has to do with the demand especially out of Europe and concerns around that – of course Europe and Japan being the big platinum markets from the auto-catalyst sector and our view is that Europe is already in recession – demand is probably going to be weak probably for the most part of this year.  On top of that is we’ve also had liquidation from the investment community – not only in platinum and palladium, but in other commodities too and that did help push prices lower.  Obviously as with all these things one has to look at where the cost of production sits and certainly we do think that platinum below $1400 is fundamentally from a cost of production perspective just too low.

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