Platinum and palladium prices have risen unexpectedly this year. As investment and industrial demand remain strong, mine disruptions and other constraints will continue to limit the growth of mining supply. As a result, supply-side developments are likely to benefit platinum and palladium, according to TD Securities.
Environmental regulations and mine problems are a big problem for platinum group metals.
"easy money and trillions of dollars in government spending, progress in Western vaccine programs and China's unexpectedly strong economic performance should all continue to be important drivers of positive 2022, although the microchip problem has slowed the auto industry."
"as the global economy continues to recover and global pollution standards tighten, recent mine disruptions suggest that palladium will be in huge shortage and is likely to reach $3000 an ounce again next year, while platinum will hit a record high of more than $1375 an ounce."
"if our demand for industry and investors is expected to be achieved in 2022, recent mine problems and the resulting decline in Norilsk production indicators will keep supply and demand fundamentals tight, especially for palladium.
