Core Viewpoint - Chinese investors are cautious about the rapid rise in gold prices, while platinum prices have not seen a significant increase, indicating a potential shift in investment demand towards platinum [1][2]. Group 1: Market Dynamics - The U.S. tariff policies negatively impact consumer sentiment, particularly in the automotive sector, where a 1% increase in car prices could lead to a 0.5% decrease in platinum demand due to reduced automotive demand [1]. - Despite the downward pressure on the global economy from tariffs, there is a trend of capital flowing from risk assets to safe-haven assets, benefiting the gold market and potentially increasing investment demand for platinum as well [1]. Group 2: Investment Demand - Investment demand for platinum is expected to grow as it has not experienced the same level of price increase as gold, which has risen nearly 30% since the end of 2024, compared to platinum's 20% increase [1]. - Chinese investors are leading the investment demand for platinum, attracted by its relatively lower risk of sharp declines and greater potential for price increases compared to gold [1]. Group 3: Jewelry Demand - China's jewelry demand, which had been slowing until last year, saw a significant increase of 26% in the first quarter of 2025, driven by a shift from gold to platinum jewelry due to high gold prices [2]. - The overall trend indicates that while automotive demand may decrease, the increase in investment and jewelry demand could offset this decline [2].