New York - Platinum and palladium prices dropped sharply on Monday on signs that South African mining companies are close to reaching a labour agreement that would end a four-month strike.
Platinum for July delivery fell $28, or 2%, to close at $1 400.70 an ounce. Palladium for June lost $29.30, or 3.6%, to $777.80 an ounce.
South African mines have been closed since January 23, when mineworkers when on strike for higher wages. The Wall Street Journal reports that the country's three biggest mining companies are looking to offer raises to the 80 000 workers on strike to end the standstill.
South Africa is the second-largest producer of palladium behind Russia. Palladium prices have risen 4% since the South African miners went on strike. Russia's dispute with the West over Ukraine and Crimea has also pushed prices higher.
Other metals also fell. Gold fell $5.40, or 0.4%, to $1 288.50 and silver fell 24 cents, or 1.3%, to $19.35 an ounce. Copper edged down less than a penny, or 0.1%, to $3.043 a pound.
Crude oil for May delivery rose 7c, or 0.1%, to $104.37 a barrel. Natural gas fell 4c, or 1%, to $4.697 per thousand cubic feet. Wholesale gasoline futures rose 3c, or 1.1%, to $3.09 a gallon. Heating oil was flat at $3.01 a gallon.