Singapore: Palladium and platinum looked likely to extend a three-day rally on Thursday as labour tensions rose in major producer South Africa, threatening to further impact supply from a 16-week strike. Gold held on to overnight gains that pushed it above the key $1,300-an-ounce level, supported by geopolitical uncertainty in Ukraine and technical buying.
Fundamentals
Palladium was steady at $824.90 an ounce, after gaining over 1 per cent to a 2-1/2 year high in the previous session. Platinum edged up 0.1 percent to $1,476.50 after rising to its highest since March on Wednesday.
Spot gold was little changed at $1,306.05, near a 1-week high, after gaining nearly 1 per cent overnight. South Africa's longest and costliest strike ever, has taken a violent turn in recent days, with four platinum miners killed as more employees try to report for work at the world's top producers.
South Africa's police minister vowed to crack down on violence against miners trying to return to work and arrest within hours strikers that he said were behind a campaign of intimidation. The 117-year old London silver price benchmark will cease on August 14, its operator said, as regulatory scrutiny of price-setting intensifies across markets.
The collapse of the historic silver price benchmark could soon result in an electronic alternative, with technology providers already checking ways to offer a transparent price setting mechanism.
