The ETFS Physical Platinum Shares (NYSE:PPLT) is in focus this week amid sharp inflows into the precious-metals fund.
Assets held in platinum-backed ETFs have now risen for six weeks in a row. That’s the longest weekly streak since November and a sharp reversal of historic outflows that hit the metal earlier this year.
Still, strong investor demand hasn’t been enough, lately, to spur higher platinum prices. As Bloomberg reports, platinum has actually fallen amid higher interest rates and physical demand concerns:
Platinum, which climbed through the first two months of the year, has dropped this month amid prospects for higher U.S. interest rates and speculation that demand will slip for the metal used in auto pollution-control devices. ETF investors are looking beyond the short-term price weakness and focusing on the outlook for shortages that could propel prices over the longer term, according to Maxwell Gold at ETF Securities LLC.
PPLT saw its biggest weekly inflow in a month last week, adding $9.2 million.
The ETFS was trading at $93.00 per share Tuesday morning, down $0.01 (-0.01%). Year-to-date, PPLT has gained 7.63%, versus a 6.13% rise in the benchmark S&P 500 index during the same period.
PPLT currently has an ETF Daily News SMART Grade of C (Neutral), and is ranked #14 of 33 ETFs in the Precious Metals ETFs category.