Precious metals refining ShangZhuang letter wanfeng (Johnson matthey) said,

The price of platinum and palladium could in the next six months rose 22% and 25%, respectively.

But car sales in Europe and the United States, significantly reduce the needs of the auto industry, means that the two kinds of metal prospects remain uncertain factors.

Johnson matthey yesterday released the annual report attracted much attention. The company is expected in the report, the next six months the platinum market price will be floating between $950 and $1350 an ounce, and palladium market price is expected to be between $180 and $280 an ounce.

Last year, China's jewelry market growth, to support the needs of the two metals play an important role, and investor demand played a key role in price movements.

"Our feeling is that the current price has embodies the demand of the worst case," the royal bank of Scotland (RBS) Stephen? Briggs (Stephen briggs said. "Johnson matthey price forecast looks relatively conservative, close to the trusted low price range."

RBS is forecasting that platinum could reach $1500 an ounce in the first quarter of 2010, the average price of palladium next year to $350.

Johnson matthey, warned that the weakness in the auto industry is likely to continue, car sales in the United States last year, lead to north American car manufacturers demand for platinum decreased more than a third, and palladium consumption fell by more than one 5 in 2008.

HSBC (HSBC) precious metals analyst James? Steele (James steel) is expected in 2009, platinum and palladium in the automotive and industrial demand will shrink further. "the rest of 2009, the prospect of a global car production is still fraught with problems," Steele said. "the price of the stimulus measures and return cash scheme, little to support demand to date."

Last year, China's demand for palladium jewelry jumped 30%, driving the global jewelry demand increased by 19.6%.

Investors through the COINS, bars and exchange traded fund (etf), the demand for platinum is increased by 150% in 2007.

Since last march to October platinum prices fall sharply, investors last year reduced nearly half the total platinum etf holdings, but offset by exceptional demand from Japanese investors.

Investors last year the total demand for palladium surged 53.8%, most of the growth came from Europe two palladium etfs.

Translators/GuanJing