Platinum Group Metals Price Bulletin - 5th July 2010 to 9th July 2010

Johnson Matthey London Base Prices at 0800 hrs, $/oz:

	Pt	Pd	Rh
Monday 5th July	1513	432	2475
Tuesday 6th July	1510	435	2475
Wednesday 7th July	1505	434	2450
Thursday 8th July	1537	453	2450
Friday 9th July	1527	448	2450

Gold’s initial recovery, following last week’s nasty sell off, was undermined by comments from the Chinese Central Bank, that they would NOT be buying gold for their strategic reserves, and the Bank of International Settlements, reporting a 346 tonnes increase in their holdings - a stark reminder of how much gold European central banks had to sell if they needed the cash. Some of the lost ground was regained as investors began to replenish long positions, and industrial metals improved as the IMF raised its forecast for global economic growth.

Platinum

Although platinum saw considerable speculative liquidation in the futures markets, ETF longs remained entrenched and physical demand from the Far East continued to underpin the price. ESKOM and the unions managed to avert strike action, but platinum miner, Impala, moved to arbitration over a wage dispute with the NUM - a similar dispute last year reduced production by around 20K oz. Production was also suspended at Aquarius’ Marikana mine following an accident that sadly took the lives of five miners.

Palladium

Bouncing back after looking very weak last week, palladium strengthened as the week progressed.

Rhodium

Prices were steady while any selling pressure was met with good physical demand, but this dissolved and, without any significant buyers in the market, rhodium drifted lower.

Johnson Matthey,
Orchard Road,
Royston,
Hertfordshire SG8 5HE,
United Kingdom