CPM Group’s Jeffrey Christian discusses the market dynamics of platinum and palladium, including supply issues and fabrication demand as key market drivers.

Jeff discusses weaker auto sales as a potential impediment to rising prices due to the industry’s significant use of these metals. However, a shift back to more platinum use in auto catalysts could support higher platinum prices in the long run.

Despite projections of large declines in South African production, CPM Group  projects the price of platinum to rise over the next few years, with $1400 being a pivotal price for long-term investors.

Palladium is expected to experience price decline due to a loss of market share to platinum and  weakening auto industry demand.