The demand and supply condition of platinum is quite constrained in case of platinum when compared with gold and silver. There is not sufficient platinum in the market today, if there were a sudden surge in the demand for this metal. However, the industrial demands for platinum are ever on the increase these days and this leads to a rise in the price of platinum per oz.
Apart from industrial demand, the price of platinum per ounce also rose due to the demand from the jewelry market and especially the bridal category, which uses platinum for wedding rings and bands. The price has also been affected due to the weakening of the dollar and the depression in the economy. Additionally, there have been some production problems in South Africa, which has led to a reduction in the production of platinum.
Production has also been affected due to some temporary closure of shafts in the mines in order to improve safety measures. It is also seen that it is not possible to expand the existing mining of platinum, due to the absence of skilled workers and laborers. The supply of electricity to the platinum industry was also reduced and they were not able to meet and fulfill their contracts.
The above factors also contributed to the high price of platinum per ounce. The platinum market has thus moved from an oversupply to a deficit. This shortage of platinum is presenting a challenging situation to the jewelry industry. Platinum also has major applications beyond the field of jewelry. It is used in industries, such as the automobile and also in the medical and technology fields. It can also be used in various applications for improving the environment and also for improving health.
Catalytic converters make use of platinum and they are considered very important in order to reduce harmful emissions from engines powered by petroleum and even more so in the case of diesel engines. The use of platinum has increased due to the imposing of legislations for clean air in the case of the automobile industry. There are many such uses of platinum in various industries and all these have played a major role in hiking up the price of platinum per oz in today's market.
Apart from industrial demand, the price of platinum per ounce also rose due to the demand from the jewelry market and especially the bridal category, which uses platinum for wedding rings and bands. The price has also been affected due to the weakening of the dollar and the depression in the economy. Additionally, there have been some production problems in South Africa, which has led to a reduction in the production of platinum.
Production has also been affected due to some temporary closure of shafts in the mines in order to improve safety measures. It is also seen that it is not possible to expand the existing mining of platinum, due to the absence of skilled workers and laborers. The supply of electricity to the platinum industry was also reduced and they were not able to meet and fulfill their contracts.
The above factors also contributed to the high price of platinum per ounce. The platinum market has thus moved from an oversupply to a deficit. This shortage of platinum is presenting a challenging situation to the jewelry industry. Platinum also has major applications beyond the field of jewelry. It is used in industries, such as the automobile and also in the medical and technology fields. It can also be used in various applications for improving the environment and also for improving health.
Catalytic converters make use of platinum and they are considered very important in order to reduce harmful emissions from engines powered by petroleum and even more so in the case of diesel engines. The use of platinum has increased due to the imposing of legislations for clean air in the case of the automobile industry. There are many such uses of platinum in various industries and all these have played a major role in hiking up the price of platinum per oz in today's market.
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