What will platinum be worth in 10 years? The most bullish forecasts suggest the platinum price could exceed $4,000 an ounce by the end of 2031.
The average price for platinum is projected to rise to US$1,150 in the fourth quarter of 2022.
Long-term predictions from Coin Price Forecast are also bullish, albeit pointing to more modest gains. The website estimated that platinum could reach $1,050 an ounce by the end of 2021, $1,231 by the end of 2022, $1,749 at the end of 2025 and average $2,864 an ounce in December 2030.
There is “high confidence” in the expected growth of 1% in total platinum mining supply for 2022, as well as the expected reduction in industrial demand of 13% from the “exceptional” levels seen in 2021, the WPIC report said.
The global platinum supply is also expected to grow in 2022 as mine production increases. In November, the World Platinum Investment Council forecasted a surplus of 637,000 ounces for 2022. "The key to the market balance in the coming year is likely to be investment demand.
"The global economy continues to recover with the IMF projecting a growth rate of 5.9% in 2021, with platinum poised to benefit as a result. Residual pandemic effects, such as the semiconductor shortages, will continue to inhibit platinum demand in 2021 and 2022, both of which would otherwise be far higher.
LongForecast suggests a forecast for 2022 suggests a January close of around $1,042; and closing February around $1,056. In 2023 the commodity should see closing highs of $1,206 in December. The platinum price forecast for 2025 suggests the price should close at $1,191 in January.
The global platinum market is expected to remain in a surplus of 637,000 oz in 2022, the World Platinum Investment Council (WPIC) said in its Platinum Quarterly report Nov. 24, after it raised its 2021 surplus outlook to 769,000 oz, from 190,000 oz.
Platinum Is in a Supply Deficit, Lifting Prices
With mining stalled, the global platinum market entered a supply deficit. In other words, demand for platinum is exceeding the available supply of the precious metal. During the first quarter of 2021, demand for the metal rose by 26%.
If you look at the material value of precious metals, platinum sits at the top. ... As an investment, platinum doesn't have as long a history as gold, which has been facilitating trade since ancient civilizations. Unlike gold, platinum is highly malleable.
What is the highest price platinum has ever been? The all-time high platinum price was about $2,270 per troy ounce. It was reached in March of 2008.
The World Bank predicts the price of gold to decrease to $1,740/oz in 2021 from an average of $1,775/oz in 2020. In the next 10 years, the gold price is expected to decrease to $1,400/oz by 2030.
Platinum: Despite being nearly identical in appearance, platinum is more valuable than gold. Platinum's high price point can be attributed to its rarity and density as precious metals are often priced by their weight.
The short-term price prediction for silver is set at $16.91/toz by the end of 2019, according to the World Bank. The long-term prediction to 2030 forecasts a significant drop in the commodity's price, reaching $13.42/toz by then.
Platinum also has poor resale value as only a limited number of shops buy it back. Besides, compared with gold jewellery, making charges, close to Rs 500 per gram, are much higher for platinum jewellery. ... When you go for 95% purity, you need to be careful about the remaining 5% that is added to the jewellery.
Platinum has been shown to improve the effectiveness of precious metals allocations by acting as a long-term portfolio diversifier. It is significant to note that if investors in gold had included even 5% of platinum in their portfolios, their risk-adjusted returns would have been higher over the past 30 years.
Platinum price peaked at US$2,252 per troy ounce in March 2008 driven on production concerns (brought about partly due to power delivery problems to South African mines). It subsequently fell to US$774 per troy ounce ($25/g) in November 2008.
Residual pandemic effects, such as the semiconductor shortages, will continue to inhibit platinum demand in 2021 and 2022, both of which would otherwise be far higher. 2022 will be a crucial year in which the dust from 2020 settles and the remaining portion of the semi-processed material built up in 2020 is released.
The World Platinum Investment Council says South Africa's platinum supply has declined from a peak of 5.3 million ounces in 2006 to 4.4 million ounces in 2019, due largely to declining margins and limited capital investment.
Although the quantities vary by model, on average, only one standard catalytic converter contains about 3-7 grams of platinum, 2-7 grams of palladium, 1-2 grams rhodium. That provides serious gains when tons of scrap catalytic converters are recovered.
Some industry experts are predicting that gold could be worth anywhere from $3,000–$5,000 per ounce in the next 5–10 years! For those who think gold prices will increase, they cite that people are now recognizing the value of gold, which will increase the demand, therefore increasing the value.