Palladium rose by as much as 15 percent today, heading towards its biggest daily gains since 2001 with the announcement of a general closure in South Africa, the major producer of the metal due to the outbreak of the Coronavirus, while US futures for gold increased more than four percent as new stimulus stopped the liquefaction fever among circles. Investors.
Palladium jumped 11 percent to $ 1907.31 an ounce by 1503 GMT, while platinum rose 6.6 percent to $ 684.80.
"The focus of the market is beginning to shift to some supply disruptions caused by the virus. South Africa is clearly the main one," said Olli Hansen, an analyst at Saxo Bank.
"So, the focus shifts somewhat from the risk of a significant downturn in demand to a situation where it is just as difficult for supplies to struggle to find their way to metal buyers."
Platinum prices are in the process of their biggest daily gains since 2008.
"The country contributes to about 70 percent of the globally extracted platinum supply and 35 percent of palladium, and a 21-day general closure could result in a 4 percent and 2 percent supply decline respectively in 2020," said Dmitriy Glushakov, director of minerals and mining research at VTB Capital. . "
The spot price of gold rose 3 percent to $ 1599.31 an ounce, while US contracts increased 4.2 percent to $ 1633.90. The price difference between the spot price and US contracts widened to $ 65 during the session as the buying fever faced weak liquidity in the London market.
Silver rose 4.3 percent to $ 13.83, its highest level in a week.