Platinum prices rose, following gold toward a weekly gain, as the dollar fell, boosting demand for precious metals as a store of value. Palladium slid. The U.S. Dollar Index, a six-currency gauge, slumped for a fifth straight day, losing as much as 0.8 percent amid concern that the top-quality credit rating of the U.S. may be cut. Bill Gross, the manager of the world’s largest bond fund, said U.S. debt “eventually” will be downgraded, after Standard & Poor’s lowered its outlook for U.K. debt to “negative” yesterday. “Platinum prices were dragged higher by gold, which is receiving support from a weaker dollar, the possible U.S. ratings downgrade and potential for inflation,” said Tom Pawlicki, an analyst at MF Global in Chicago. Platinum futures for July delivery gained $3.90, or 0.3 percent, to $1,158.60 an ounce at 10:14 a.m. on the New York Mercantile Exchange, heading for a weekly gain of more than 4 percent. Before today, the price rose 23 percent this year. The U.S. government will push General Motors Corp., the biggest U.S. carmaker, into bankruptcy next week, the Washington Post reported, citing people it didn’t identify. President Barack Obama set a June 1 deadline for GM to present an out-of- court restructuring plan, though GM Chief Executive Officer Fritz Henderson has said a Chapter 11 filing is “probable.” Most platinum and palladium is used in auto emission- control parts and jewelry. “Fear that GM will have to enter bankruptcy when its restructuring plan is due on June 1” has restrained platinum prices, Pawlicki said. Palladium futures for June delivery slipped 30 cents, or 0.1 percent, to $236 an ounce in New York. Before today, the price jumped 25 percent this year. Gold climbed as much as 1.3 percent in New York, headed for an increase of more than 3 percent for the week. Before today, platinum dropped 48 percent in the past year while palladium fell 49 percent as the first simultaneous recessions in the U.S., Europe and Japan since World War II curbed demand for cars and trucks.

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