NYMEX platinum futures reached their all-time high in 2008 at $2,308.80 per ounce. Meanwhile, the NYMEX palladium futures rose to a record high of $3,380.50 in 2022.
For nearly a decade, the platinum futures traded around the $1,000 pivot point. Palladium futures plunged to less than one-quarter the price at the 2022 high. In Q2 2025, platinum and palladium broke out of their sideways and bearish trends, and there could be significant upside potential for the rare precious and industrial metals over the coming months.
Platinum - A Q2 bullish reversal
A bullish key reversal develops when the price of an asset falls below the lows from a prior period and closes above the previous period's high.
The quarterly chart of NYMEX platinum futures indicates that the futures traded in a $894.20 to $1,063.80 range in Q1 2025. The Q2 range from $884.50 to $1425.20 and settlement of $1,334.00 on June 30, 2025, formed a bullish key reversal pattern on the quarterly chart.
Platinum traded around the $1,000 pivot point from Q2 2015 through Q1 2025 before breaking out of the sideways trade in June 2025. Platinum's price reached the highest level since 2014 in Q2.
Palladium - The same technical signal
Meanwhile, platinum's sister metal, palladium, formed the same key reversal pattern in Q2 2025.
After trading in a $890.001 to $1,074.50 Q1 2025 range, palladium futures fell to a $881.00 low and rose to a $1,162.50 high in Q2, settling at $1,107.10 on June 30, above the Q1 high.
The pair of bullish key reversal patterns in Q2 sent platinum and palladium to even higher highs in early Q3. The nearby platinum futures reached $1,491.20 and the palladium futures rose to a high of $1,373.50 per ounce.
Rare metals
Platinum and palladium are rare metals, with South Africa and Russia the dominant producers. In 2024, total platinum mine output was approximately 180 metric tons. South Africa produced between 120 and 140 tons, with Russian output around 20 tons. Therefore, the leading producers were responsible for over 75% of the world's annual supplies.
In 2024, total palladium mine output was approximately 190 metric tons. South Africa produced around 72 tons, while Russian output was around 75 tons. Therefore, the leading producers were responsible for over three-quarters of the world's annual supplies.
Platinum and palladium production at under 200 metric tons each make the PGMs extremely rare. While gold is trading at over $3,400 per ounce, the 2024 annual mine supply for gold was approximately 3,300 metric tons. China, Russia, Australia, and the United States were the four leading producing countries. Together, they only produced around 37% of the annual supply. Gold output is far more plentiful and from more countries compared to platinum and palladium production.
Liquidity supports higher prices
Compared to gold and silver, the leading precious metals, platinum and palladium futures are far less liquid markets. Open interest is the total number of open long and short positions in a futures market.
- COMEX gold futures open interest was 448,916 contracts on August 27. At $3,460 per ounce, the gold futures market value was above $155.325 billion.
- COMEX silver futures open interest was 154,213 contracts on August 27. At $39.50 per ounce, the silver futures market value was above $30.457 billion.
- NYMEX platinum futures open interest was 85,730 contracts on August 27. At $1,350 per ounce, the platinum futures market value was above $5.787 billion.
- NYMEX palladium futures open interest was 18,790 contracts on August 27. At $1,124 per ounce, the palladium futures market value was above $2.11 billion.
Less liquid markets tend to exhibit higher price variance as bids to buy often disappear during selloffs and offers to sell can evaporate during rallies. Therefore, lower liquidity tends to result in substantial price fluctuations After putting in bullish key reversals on the long-term quarterly charts in Q2 2025, platinum and palladium could be in position to experience parabolic rallies.
Gold and silver's rise could lead Pt and Pd to soar
Gold and silver have been in bull markets over the past years. Gold has reached new record highs for seven consecutive quarters. Silver's price has reached its highest level since 2011 as it flirts with the $40 level. Upside targets include the peaks from 2011 and 1980, around the $50 per ounce level.
Platinum and palladium are precious metals with industrial applications. The bullish price action in gold and silver could become contagious, causing a herd of buying in the platinum and palladium markets as investors and traders diversify their precious metals exposure to the markets that offer more value based on historical price levels.
Platinum and palladium remain inexpensive, with platinum currently around $1,000 below its 2008 high and palladium over $2,250 under its 2022 peak.
Buying platinum and palladium on weakness could be optimal in the precious metals arena for the coming months.