Worst-Returning Precious Metal in 2017 Becomes Fund Darling
- Platinum bets at most-bullish since September on demand view
- Platinum inventories tracked by Nymex at lowest since 2016
Photographer: Tomohiro Ohsumi/Bloomberg
This article is for subscribers only.
After lagging behind other precious metals last year, platinum is finally outperforming, and hedge funds are taking notice.
Money managers increased their bets on a rally for platinum, a commodity used in pollution-control devices for cars. Investors had been pessimistic on prices until the start of this year, but that sentiment changed as signs of synchronized global growth boosted expectations for demand. The metal’s strong correlation to gold is also providing support as a weaker dollar propels alternative assets higher.