Palladium takes the podium of best major metals as shortages catapult prices
The year’s top performer has demanded a higher price than both gold and platinum
The US-China trade war that has ravaged most commodities failed to dent 2018’s best-performing major metal. Many analysts don’t see much standing in the way of further gains in 2019. Shortages of palladium sent prices of the commodity used in autocatalysts to a record this year, at times surging past gold to become the most precious of major metals. Citigroup sees no supply relief soon. Users are borrowing the metal to meet their immediate needs, sending the one-month lease rate to an all-time high of 34.5%.
“Prices are responding to a clear mismatch between supply and demand,” said Maxwell Gold, director of investment strategy at Aberdeen Standard Investments, which oversees about $736bn. Spot palladium surged 20% this year through Thursday, even as trade-war concerns sent the Bloomberg Commodity Index tumbling towards its first annual loss since 2015. Not even signs of a slowdown in China, the world’s largest car market, have disrupted the ascent of the metal that’s used mos...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.