Commodities : Platinum
Platinium demand :
The platinum is part of precious metals. It has several uses:
- Jewelry: Platinum is used in jewelry making.
- Industry of catalytic converters: Platinum is the basic element in the manufacture of catalytic converters.
- Electrical and electronic fields: Platinum is used in the production of hard surfaces as well as fiber optic cables.
- Chemical industry: Platinum is used for fertilizers and explosives.
- Glass: Platinum is used in glassware equipments.
- Investment: Platinum is seen as attractive investment tool and as a good way to cover the assets against the risk of inflation.
- Oil industry: Platinum is used as catalyst in the petroleum industry.
- Medical Sector: Platinum is used in medicines to fight against cancer and implants.
- Spark plugs: Platinum is used in the manufacture of spark plugs with platinum tips.
- Fuel Cells: Platinum is used in the manufacture of fuel cells.
The allocation of the demand in 2006 for a total production of about 7000 tons.
Platinium supply :
Take a look now to the production. Here the geographical allocation of the production of platinum in the world, for a total production of about 7000 tons
Platinium Evolution :
The platinum price is dictated by the law of supply and demand. However, unlike other metals, platinum supply is very limited for two reasons. The first is that the sources of production are very limited, over 90% of production comes from South Africa and Russia. Secondly, the current pace, he remains more than 10 years of mining. This makes the platinum price very volatile. To predict its evolution, several key numbers are important such as country policies largest producers (South Africa and the Russian Federation), the level of Russian stocks and the economic situation of most consumer countries, such as Japan, the United States and Europe.
Platinum is quoted on ounce in U.S. dollars. The evolution of the price is correlated with the dollar. The price of platinum is rising as the dollar felt. This is called negative correlation between the dollar and the platinum, which is illustrated perfectly with these two charts of the EUR / USD and platinum: