Platinum and Palladium Futures Fell Sharply During the Week, Spot Market Recovered [SMM Platinum and Palladium Weekly Review]

[SMM Platinum and Palladium Weekly Review] This week (December 29 – December 31), the most-traded platinum contract PT2606 opened at 677 yuan per gram and closed at 527.25 yuan per gram, down 177.55 yuan per gram, or 25.19% WoW. The weekly highest price was 729.5 yuan per gram, and the weekly lowest price was 512.75 yuan per gram. The most-traded palladium contract PD2606 opened at 502.2 yuan per gram and closed at 425.2 yuan per gram, down 123.8 yuan per gram, or 22.55% WoW. The weekly highest price was 538 yuan per gram, and the weekly lowest price was 392 yuan per gram. In terms of futures trading: the most-traded platinum contract PT2606 recorded a total trading volume of 318,106 lots and a total turnover of 194.144 billion yuan for the week, with open interest at 33,266 lots, a decrease of 9,932 lots WoW. The most-traded palladium contract PD2606 recorded a total trading volume of 189,772 lots and a total turnover of 86.923 billion yuan for the week, with open interest at 14,405 lots, a decrease of 12,908 lots WoW. In the short term, the recent price movement of platinum and palladium futures mainly revolved around the price spread between domestic and overseas markets, frequent risk control measures introduced by domestic and overseas exchanges, excessive release of the previous sharp price surge momentum, substantial short-term profits, cooling risk appetite, and unstable long positions ahead of the New Year holiday, requiring continued vigilance against adjustment risks. In the long term, the fundamentals of platinum and palladium remain unchanged, and the bull market foundation for platinum remains intact. This week, the spot market for platinum and palladium saw some recovery in trading as prices corrected, mainly driven by increased investment demand, with some end-users conducting small-scale stockpiling.