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NEWS
September 2024 Precious Metals Price Trends: Gold, Platinum, and Palladium
Reading Time: 4 minutes
The precious metals market saw significant shifts in September 2024, with the prices of gold, platinum, and palladium fluctuating throughout the month. As manufacturers reliant on precious metals for scientific applications, these insights can inform procurement strategies and long-term planning. Below, we’ll break down how the market performed for each metal during September.
Gold Price Trends in September 2024
Throughout September 2024, gold prices showed fluctuations in response to economic and geopolitical factors, with a general upward trend. On September 1, gold was priced at $80.25 per gram, dipping slightly to $80.21 on September 3. By September 26, gold had risen to $85.96 per gram, before stabilising at $84.71 per gram by month-end.
Key Influencing Factors:
- Interest Rates and Inflation: The ongoing uncertainty around interest rate hikes by the U.S. Federal Reserve influenced the market. Gold, often considered a hedge against inflation, saw increased demand as investors sought to protect their wealth from currency depreciation.
- Geopolitical Uncertainty: Rising tensions in Eastern Europe and the Middle East pushed more investors towards gold as a safe haven, driving up demand, especially in the second half of September.
- Central Bank Demand: Some central banks, particularly in emerging economies, ramped up gold purchases as they sought to diversify their reserves away from traditional currencies, further boosting prices.
Platinum Price Trends in September 2024
Platinum experienced relatively stable but slightly declining prices in September 2024. The month opened with platinum priced at $33.50 per gram, dropping to around $32.90 per gram by mid-September. The metal finished the month close to $33.15 per gram, reflecting a minor overall decline.
Key Influencing Factors:
- Automotive Industry Impact: Platinum’s primary use in catalytic converters made it vulnerable to the shifting demand in the automotive sector. With more manufacturers transitioning to electric vehicles (EVs), platinum demand took a hit.
- Supply from South Africa: South Africa, a major platinum producer, reported stable mining output for September, keeping the market relatively well-supplied and suppressing price increases.
- Weak Industrial Demand in China: A slower-than-expected recovery in China’s industrial sector reduced platinum demand, particularly for manufacturing and industrial applications.
Palladium Price Trends in September 2024
Palladium saw more pronounced fluctuations during the month, starting at $45.80 per gram in early September and dropping to $44.50 per gram by mid-month. By the end of September, palladium had stabilized at $44.80 per gram, marking a slight decline for the month.
Key Influencing Factors:
- Electric Vehicle (EV) Adoption: Palladium’s main use in catalytic converters for gasoline vehicles faced reduced demand as the automotive industry continued its pivot to EVs, which don’t require palladium.
- Russian Supply Resumption: Russia, a major supplier of palladium, resumed exports after previous disruptions, adding supply to the market and exerting downward pressure on prices.
- Global Interest Rates: Rising interest rates globally made palladium less attractive for investors, contributing to reduced demand and lower prices.
Conclusion
In September 2024, the prices of gold, platinum, and palladium were influenced by a range of factors including economic policies, industrial demand, and geopolitical tensions. Gold saw upward momentum driven by inflation concerns and central bank purchases, while platinum and palladium faced headwinds from shifting automotive industry trends and increased supply. These insights are crucial for businesses that rely on these metals, especially in scientific and industrial applications.