Platinum prices lower on demand concerns

Platinum prices were lower Friday after soaring earlier in the week, with declines coming on the possibility that demand will not recover as quickly as had been hoped on new data that automobile sales in the United States dropped 34 percent in May compared to the same month last year.

The biggest use of platinum is in the manufacture of pollution-control devices for motor vehicles.

July platinum was $7.10 lower to $1,286.20 per troy ounce in afternoon trade in New York after earlier dropping more than $30.

Meanwhile September palladium, which is also used in the manufacture of pollution-control devices, added 75 cents to trade at $256.15 per troy ounce in morning trade in New York.

August gold fell $962.60 per troy ounce on a stronger dollar, while July silver dropped 51 cents to trade at $15.39 per troy ounce in New York.

Copper prices were also lower, falling after gains for the dollar hurt demand for metals as alternate investments.

July copper fell 2 cents to $2.28 per pound in New York trade, while three-month copper dropped $30 to $4,995 per tonne on the London Metal Exchange.

Aluminium prices were higher, but nickel, lead and zinc all declined and tin held steady in London trade.