Key Highlights

• Fresh Seven-Month Low: Platinum futures fell below $1,580 an ounce, hitting their lowest level in seven months amid broad precious metals weakness.

• Second Consecutive Quarterly Loss: Platinum is heading for steep second straight monthly and quarterly losses as Fed hawkishness and Middle East risk both weigh on demand.

• Hormuz Dispute Remains Unresolved: Iran's insistence on overseeing Gulf traffic even without Oman's involvement remains a key sticking point in upcoming peace talks.

Platinum futures fell further below $1,580 an ounce, hitting a fresh seven-month low and heading for steep second straight monthly and quarterly losses as Middle East uncertainties and wagers of US interest rate hikes dampened demand for the metal.

Precious metals have broadly weakened since the Federal Reserve adopted a more hawkish stance this month, prompting markets to price in three rate hikes this year, with the first potentially coming as early as September, reshaping the entire precious metals demand landscape.

This makes the dollar stronger, making dollar-denominated commodities more expensive for buyers of other currencies, an effect that has weighed on platinum alongside gold, silver, and other dollar-priced commodities throughout the recent decline.

Meanwhile, persistent concerns that disruptions to energy flows through the Strait of Hormuz could fuel global inflation have reinforced expectations that interest rates will stay higher for longer, weighing further on non-yielding metals like platinum.

While US and Iran are scheduled to resume peace talks, a major sticking point remains after Tehran reiterated its plan to oversee traffic through the Gulf even if Oman decides not to take part, keeping geopolitical risk embedded in platinum's near-term outlook.

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