Platinum rises as dollar weakens against euro
Platinum rose, extending a six-year rally, as the dollar’s decline against the euro boosted the metal’s appeal as an alternative investment.
By Bloomberg |
New York: Platinum rose, extending a six-year rally, as the dollar’s decline against the euro boosted the metal’s appeal as an alternative investment. Palladium, however, fell. The dollar dropped against the euro and weakened against 13 of the 16 most-actively traded currencies as traders bet the Federal Reserve will cut borrowing costs at least twice in 2008.
The weaker dollar helped platinum to a 33% gain in 2007. “This morning, we are higher in metals, as the weaker dollar seems to be exerting some upside influence on the group,” Edward Meir, an analyst at MF Global in Darien, Connecticut, said in a report.
Platinum futures for April delivery rose $16.60, or 1.1%, to $1,542 an ounce at 9:17 a.m. on the New York Mercantile Exchange. The price reached a record $1,545.90 on December 27. Palladium futures for March delivery fell $2.60, or 0.7%, to $375.60 an ounce. The metal climbed 12% last year.
The weaker dollar helped platinum to a 33% gain in 2007. “This morning, we are higher in metals, as the weaker dollar seems to be exerting some upside influence on the group,” Edward Meir, an analyst at MF Global in Darien, Connecticut, said in a report.
Platinum futures for April delivery rose $16.60, or 1.1%, to $1,542 an ounce at 9:17 a.m. on the New York Mercantile Exchange. The price reached a record $1,545.90 on December 27. Palladium futures for March delivery fell $2.60, or 0.7%, to $375.60 an ounce. The metal climbed 12% last year.
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