Happy Thanksgiving was the name of the game last Thursday in the US, coupled with a long weekend. Lower liquidity on the market as a whole always offers the opportunity to push through barriers more easily, as happened last weekend.
Gold broke through the 2000 $/oz mark, and silver promptly followed suit and is now testing the high from August of this year. In addition, silver broke through the chart resistance at 23.70 $/oz, which has defined the downward trend since May.
Platinum has also broken through the psychological level of 900 $/oz, and we can well imagine that this rally will continue to the 200-day line (956.50 $/oz) before consolidating for the time being. Palladium has also left oversold territory; the gap to the 100-day line is still larger than 100 $/oz. We suspect high volatility here and repeated physical shortages in certain grades.
These developments are currently also being supported by the weaker US dollar, which has fallen by almost 5% so far in the fourth quarter. A year-end rally can now be heralded here, although the factors are very diverse. Israel, Ukraine, central bank and interest rate policy, and, last but not least, political disputes such as in Germany or the upcoming election campaign in the U.S. could promote uncertainty in the future.
“PGM – Spotlight on Precious Metals” is a commodity column focused on gold and precious metals but mainly dedicated to the widely discussed yet rarely analyzed platinum group metals (PGM). Focused on the industrial applications of the metals as well as their potential as tangible assets, the abbreviation PGM has a twofold significance: With Philipp Götzl-Mamba, we could win an experienced precious metal trader operating at the cutting edge of the industry, sharing his knowledge with us.