Majors

Precious Metals Prices: Here’s What’s Happening Beyond Gold

MajorsOct 18, 2021

Precious Metals Prices: Here’s What’s Happening Beyond Gold

National Jeweler looks at how prices of platinum, palladium, and silver have performed in 2021.

20211018_Pianegonda-Silver-bracelet.jpg
Pianegonda’s unisex sterling silver bracelet with mesh details from the “Tecum” collection ($569)
New York—The metals market has had a wild ride over the past year and a half. 

Economic concerns combined with supply deficits due to COVID-19 affected production, which meant the price of precious metals were mostly up through the end of year and even into 2021.

But with a new year came new issues that have brought mixed results.

Here’s what’s been going on in the precious metals market beyond gold, which National Jeweler dove into in August.

Platinum
One of the biggest factors affecting the price of platinum-group metals—platinum, palladium, and rhodium—is the continued global semiconductor chip shortage.

As demand for the chips has far outpaced supply, there’s been a slowdown in automobile manufacturing, hurting the metals, which are used in catalytic converters.

Platinum’s price has been on a downswing in recent months, Kitco charts show, averaging $1,008.29 in August, followed by $975.18 in September and an average of $988.67 so far in October.

This contrasts with a strong performance last year when the metal was boosted by supply shortages and hopes for economic recovery.

It crossed the $1,000 mark in December to hit a four-year high and ended the year with a monthly average of $1,025.89. It continued the rise to peak at $1,214.00 per ounce in May.

Platinum has suffered less than its sister metals this year though, in part because demand continues to come from investors, Bloomberg reports.

Demand also continues to come from the jewelry sector.

Platinum jewelry continues to do well in most markets, especially when it comes to branded collections, according to the Platinum Guild International’s Q2 2021 Platinum Jewellery Business Review. 

The report shows strong consumer spending supported by vaccinations and economic recovery brought “remarkable growth” in U.S. platinum sales to fuel a positive sentiment in the trade in the second quarter.

Platinum jewelry sales from PGI partners in the region doubled, while ounce sales jumped by 48 percent compared with the same quarter last year, driven by “considerable” growth in gemstone fashion jewelry and bridal jewelry, PGI said.

Additionally, more retailers have created dedicated platinum programs, leveraging the metal to capture high-spending consumers and benefit from higher ticket prices.

Palladium and Rhodium

The same issues bringing platinum down also are affecting palladium and rhodium.

The chip shortage and automobile production slowdown have hurt palladium, which is mostly used in catalytic converters for gasoline-powered vehicles to help control emissions.

Palladium’s price has dropped below the $2,000 mark for the first time since mid-2020.

After dropping more than $400 per ounce at the onset of the pandemic, the metal rose steadily again throughout 2020 to finish December with an average of $2,345.05.

According to Kitco, it reached a high of $3,000 per ounce at one point this May, as supplies rallied back from last year’s mine and refinery closures.

But brought down again by the chip issues, it has averaged $2,537.90 per ounce in August, $2,112.18 in September, and $1,990.70 per ounce so far in October.

Experts are predicting it will continue its slide, possibly hitting in the $1,500-$1,600 price before making a sharp rebound thanks to an imbalance between supply and demand. 
 
Rhodium, the most expensive precious metal, has been hit hardest, with its price reeling as the chip shortage carries on. Demand for the metal, after all, comes almost entirely from the automobile industry, according to multiple sources. 

 Related stories will be right here … 

Its price has had arguably the biggest swings since the start of the pandemic, at which time it went from an average price of $10,205 per ounce in February 2020 to $7,568 per ounce in March 2020.

It finished the year with a December average of $13,991 and continued an upswing for several months, peaking at $25,981 per ounce in April 2021.

It was then it started its downswing, averaging $17,302 in August, $13,282 in September, and $12,850 so far in October, according to Kitco.

Silver
The silver price often moves in tandem with gold’s, and its path this year has followed a similar trajectory.

After dipping at the start of the pandemic last spring, it rose again steadily until it reached a peak in September of $28.89, according to Kitco charts.

It then dropped again and leveled out for the remainder of 2020, finishing the year with a December average of $24.89 per ounce.

It swung between about $29 and $24 during the first half of 2021—briefly passing $30—but since mid-June has been on a steady decline downward.

So far in October, the white metal has averaged $22.64 per ounce.

The outlook on silver jewelry remains bullish.

According to a survey conducted on behalf of the Silver Promotion Service, 42 percent of retailers said they saw an increase in silver jewelry sales in 2020.

The survey also indicated 89 percent of retailers are optimistic those sales will continue to grow, and according to the Silver Institute, global silver jewelry demand is forecast to rebound to 174 million ounces this year, a 17 percent increase over last year’s 148.6 million ounces though still below pre-COVID levels.

One silver expert recently told Kitco he thinks $30 per ounce could happen within the first half of 2022, leading to a jump to $50 per ounce soon after.

James Anderson, CEO and chairman of Guanajuato Silver Company, meanwhile, told the metals news site he thinks the price of silver could surge to $40 an ounce by mid-2022.

“If we have a weak economy coupled with a drive towards needing and using more silver, you’re going to have base metal mines shutting down that produce silver as by-product, just as an enormous demand for silver comes to the fore,” he is quoted as saying.

Looking ahead, there are numerous factors in play that will continue to affect metals prices.

The chip shortage isn’t expected to end any time soon.

On the other hand, concerns about energy supplies during winter and the U.S. government opening major West Coast ports for 24 hours a day to relieve supply chain issues could bring inflationary price pressures and, along with them, a bullish outlook for the metals market, Kitco argues

The Latest

Exterior of Marissa Collections’ new store in Nantucket, Massachusetts
IndependentsJun 25, 2025
Marissa Collections Opens in Nantucket as Legal Fight Continues

The Vault’s Katherine Jetter is accusing the retailer of using info she shared for a potential partnership to move into Nantucket.

Counterfeit Cartier “Juste Un Clou” bracelet
CrimeJun 25, 2025
Customs Nabs Another Big Shipment of Fake Cartier, Van Cleef Jewelry

Agents seized 2,193 pieces, a mix of counterfeit Cartier “Love” and “Juste Un Clou” bracelets, and Van Cleef & Arpels’ “Alhambra” design.

Karine Choudhrie Big Splash Circus Starfish and Lantern Fish
CollectionsJun 25, 2025
Splash into Karina Choudhrie’s Collection of Underwater Circus Performers

The designer brought her children’s book, “The Big Splash Circus,” to life through a collection of playful fine jewelry characters.

an instructor and a student in a bench jewelry classroom
Brought to you by
Investing in the Next Generation of Bench Jewelers

The Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.

Jewelers of America
Events & AwardsJun 25, 2025
JA Announces Impact Initiative Fund Recipients

The trade association has chosen the recipients of the funding initiative it formed to foster the growth and sustainability of the industry.

Weekly QuizJun 20, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
John Dyer Montana Sun Sapphire
SourcingJun 25, 2025
2025 AGTA Spectrum Awards Open for Entries

The organization has also announced this year’s slate of judges.

Khepri Jewels Luna collection fancy color fringe multi-shape drop diamond earrings
EditorsJun 24, 2025
The Best New Jewelry from Couture 2025, Part 2

Associate Editor Natalie Francisco shares 20 additional pieces that stood out to her at the Couture show.

Jewelers of America logo with meetup, State of the Majors, giveaway and massages
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025

The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.

Lori Tucker
IndependentsJun 24, 2025
Colorado Bench Jeweler Celebrates 50 Years With Local Retailer

Lori Tucker started at Williams Jewelers when she was 18 years old.

“Marvel | Citizen Zenshin” watch for the new The Fantastic Four movie
WatchesJun 24, 2025
Citizen’s New ‘Fantastic Four’ Watch Is Literally Super

The “Marvel | Citizen Zenshin” watch is crafted in Super Titanium and has subtle nods to all four “Fantastic Four” superheroes on the dial.

Pritesh Patel
GradingJun 23, 2025
GIA Names New President and CEO

Pritesh Patel, the lab’s chief operating officer, will take over as president and CEO of GIA.

Graphic for Las Vegas recap episode of “My Next Question”
Recorded WebinarsJun 23, 2025
Watch: Top Trends at Couture, JCK Las Vegas 2025

National Jeweler and Jewelers of America discuss the standout jewelry trends and biggest news to emerge from the shows this year.

Luanda Accord
SourcingJun 23, 2025
Diamond Producers, Organizations to Kick in Money to Promote Natural Diamonds

Signatories to the “Luanda Accord” committed to allocating 1 percent of annual diamond revenue to the Natural Diamond Council.

Penny Preville, Maggie Hess, Stella Song, and Benjamin King
Events & AwardsJun 23, 2025
Jose Hess Design Awards Celebrate 6 Jewelry Designers

The winning designs captured the “Radiance” theme.

24th Gem Awards Show Logo
Events & AwardsJun 23, 2025
Gem Awards Now Accepting Nominations for 2026

Nominations in the categories of Jewelry Design, Media Excellence, and Retail Innovation will be accepted through July 30.

Single Stone Bryn Ring and Grace Lee Marquise Demi Demi Ring
TrendsJun 20, 2025
Dua Lipa Stays On-Trend With Chunky Engagement Ring

The singer’s ring ticks off many bridal trends, with a thick band, half-bezel setting, and solitaire diamond.

Yvonne Léon Python Gold Bracelet
TrendsJun 20, 2025
Piece of the Week: Yvonne Léon’s ‘Python Gold’ Bracelet

The bracelet references vintage high jewelry and snake symbolism as a playful piece where a python’s head becomes a working belt buckle.

Stock image of handcuffs
CrimeJun 18, 2025
7 Men Indicted in $100M Brinks Jewelry Heist

The heist happened in Lebec, California, in 2022 when a Brinks truck was transporting goods from one show in California to another.

Marie-Thérèse Pink diamond and Blue Belle sapphire necklace
AuctionsJun 18, 2025
Historic ‘Marie-Thérèse Pink’ Diamond Fetches $14M at Christie’s

The 10-carat fancy purple-pink diamond with potential links to Marie Antoinette headlined the white-glove jewelry auction this week. 

Caryl Capeci Starboard Cruises
EditorsJun 18, 2025
Q&A: Caryl Capeci Dives Into Cruise Jewelry Shopping

The Starboard Cruises SVP discusses who is shopping for jewelry on ships, how much they’re spending, and why brands should get on board.

Gresham grasshopper ring
AuctionsJun 18, 2025
16th-Century ‘Gresham Grasshopper’ Ring Sells for $56K

The historic signet ring exceeded its estimate at Noonans Mayfair’s jewelry auction this week.

Kirk Kara fine jewelry
CollectionsJun 18, 2025
Kirk Kara Celebrates 135 Years With New Jewels

To mark the milestone, the brand is introducing new non-bridal fine jewelry designs for the first time in two decades.

Gemfields 36 Carat Ruby
SourcingJun 18, 2025
Gemfields Sells 36-Carat Rough Ruby

The gemstone is the third most valuable ruby to come out of the Montepuez mine, Gemfields said.

Alex Brown
TechnologyJun 18, 2025
Alex Brown Named President of Smithee Group

Founder and longtime CEO Ben Smithee will stay with the agency, transitioning into the role of founding partner and strategic advisor.

Jade Ruzzo Gloria Collar
EditorsJun 17, 2025
The Best New Jewelry from Couture 2025, Part 1

Associate Editor Natalie Francisco shares 20 of her favorite pieces from the jewelry collections that debuted at Couture.

Jewelry industry author, speaker, and sales expert Peter Smith
ColumnistsJun 17, 2025
Peter Smith: Is Your Comp Plan a Hiring Hindrance?

If you want to attract good salespeople and generate a stream of “sleeping money” for your jewelry store, then you are going to have to pay.

Selection of jewelry from Sotheby’s New York High Jewelry sale
AuctionsJun 17, 2025
Colored Gemstones, Signed Jewels Shine in Sotheby’s High Jewelry Sale

The top lot was a colorless Graff diamond, followed by a Burmese ruby necklace by Marcus & Co.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy