Platinum climbed for a third day, widening its spread over gold to the biggest since August 2011, on concerns that global supply will drop this year just as a recovery boosts industrial demand.

Platinum gained 0.4 per cent to $1,727 an ounce, while gold was little changed at $1,642.79 an ounce. The spread between the two metals widened to $88.85 today, the biggest since August 2011. Silver also advanced 0.1 per cent to $30.80 an ounce.

Platinum has climbed 12 per cent this year, while gold lost 1.8 per cent, after Anglo American Platinum said it plans to idle shafts in South Africa, the world’s biggest producer.

Zimplats Holdings said today it can’t comment on the Zimbabwean government’s plans to repossess land used by the country’s biggest platinum miner until it is official.

Platinum production will drop 2.7 per cent to 5.68 million ounces this year, the least since 2000 as demand from car makers increases 0.5 per cent. Zimbabwe, the third—biggest producer in 2011, repossessed about 69,000 acres of land from Zimplats Holdings, Mines Minister Obert Mpofu said.

The International Monetary Fund said that global growth may accelerate to 3.5 per cent in 2013 from 3.2 per cent last year.

(This article was published on February 14, 2013)
XThese are links to The Hindu Business Line suggested by Outbrain, which may or may not be relevant to the other content on this page. You can read Outbrain's privacy and cookie policy here.