be_ixf;ym_202104 d_23; ct_100

Select Page

Vroom-Vroom! Palladium Hits 16-Year High!

I’m catching a flight to Vancouver, but I just have to get this out before I go. This morning, palladium climbed 1.1% to $1,023.70 an ounce. That’s its highest level since 2001. A SIXTEEN-YEAR high.

Source: Finviz.com

Wow!

Palladium is only a couple hundred dollars away from catching up with gold.

Gold is doing well this morning, too. But it’s moving for different reasons than palladium.

Palladium is used in the pollution-control catalytic converters of gasoline-powered vehicles. And there’s a lot of good news there.

Strong China Auto Sales. Retail sales of cars, SUVs and multipurpose vehicles rose 2.7% to 2.3 million units in October, Bloomberg News reports. That data comes from the China Passenger Car Association.

Supply Demand Squeeze. This year, global demand for palladium is forecast to exceed 8 million ounces for the first time. Mine supply isn’t rising to meet it. The market’s supply deficit is expected to “widen significantly” to 792,000 ounces.

The Big Switch. Demand for diesel vehicles has fallen since 2015. That’s when it was revealed Volkswagen had rigged emissions data for its diesel cars. Turns out there’s no such thing as “clean diesel.” As diesel wanes, demand surges for gasoline cars and their palladium-equipped catalytic converters.

I’ve been pounding the table about palladium. Most recently on October 18. The ETFS Physical Palladium Shares ETF (NYSE: PALL), has more than doubled the performance of the S&P 500 since then.

I think this vroom-vroom metal is shifting into higher gear again.

All the best,

Sean

Newsletter Sign Up

Sponsored

MEET OUR EXPERTS

WHAT READERS ARE SAYING..

“Thirteen of my positions are up well over 50% in less than a year since joining your service. Two are in the triple digits with several close behind. My personal money manager, who works for one of the largest banks in the country, is envious of my gains. I never dreamed this was possible. My trips to China to teach English to young Chinese students is now much more affordable. Thank you for your dedication and help.”

- Chris K.

“Looks like I have finally found the right person to learn and grow from.”

- James

"You have done once again!! You are reminding me of the GREAT Joe DiMaggio with your consistent hitting!! You knocked this one out of the park!"

- Keith S.

Share This