Platinum Gains on Signs of Increased Borrowing

Platinum gained in London on signs borrowers are seeking new supplies amid expectations global production will fall short of demand. Palladium declined.

The cost of borrowing platinum for one year has risen to 4.34 percent, compared with an average of 3.64 percent in the past 12 months, according to data compiled by Bloomberg. Platinum supply will fall short of demand by 178,000 ounces this year, Societe Generale SA forecast last month.