Sciencemadness Discussion Board
Not logged in [Login ]
Go To Bottom

Printable Version  
Author: Subject: Prices of Palladium and Rhodium have SKYROCKETED - here's what I see happening.
RogueRose
International Hazard
*****




Posts: 1367
Registered: 16-6-2014
Member Is Offline


[*] posted on 14-2-2020 at 20:59
Prices of Palladium and Rhodium have SKYROCKETED - here's what I see happening.


Anyone know why Palladium and Rhodium are so expensive now? Palladium was below $500 back in 2016 and is now at $2,455 and Rhodium is $11,075 but was about $750 in 2016 as well, so almost a 1500% increase in 3 1/2 years! That is a pretty nice return if you invested!

I'm guessing the price of Rhodium is so expensive b/c South Africa and Zimbabwe are the #1 & #3 reserves with Russia at #2. With what looks like could be major civil unrest in South Africa (who is already supporting much of Zimbabwe via illegal immigration), the supply could dry up really quickly. They are already shutting down mines there, they shut down a gold mine with 7,000 workers because they "couldn't make a profit" even though gold is near an all time high! How can they not make a profit at this level when they were operating when gold was at $900/oz!

For palladium the top producers are:
Russia - 81 tons/year
South Africa - 78 tons/year
Canada - 19 tons/year
USA - 13 tons/year
Zimbabwe - 12 tons/year
All other countries - 8.4 tons TOTAL

So, it doesn't look like it is a scarcity issue, it's a political issue driving this, mainly the instability in South Africa (which will spread into Zimbabwe as soon as unrest starts). The SA Rand is a hairs width away from being considered "Junk" status and the country has been looted for 25+ years.

Even at these high prices, I suspect we will see them go even higher in the next 3-5 years, but I won't even begin speculating how high it is going to go, I think very high.
View user's profile View All Posts By User
Heptylene
Hazard to Others
***




Posts: 227
Registered: 22-10-2016
Member Is Offline

Mood: No Mood

[*] posted on 15-2-2020 at 02:24


Hmm, I guess I'll never have rhodium in my collection then, or not for a few years at least... $350 per GRAM!
View user's profile View All Posts By User
B(a)P
Hazard to Others
***




Posts: 136
Registered: 29-9-2019
Member Is Offline


[*] posted on 15-2-2020 at 02:51


China's adoption of catalytic converters. Demand has exceeded supply for a couple of years and it is getting worse

[Edited on 15-2-2020 by B(a)P]
View user's profile View All Posts By User
BromicAcid
International Hazard
*****




Posts: 3023
Registered: 13-7-2003
Location: Wisconsin
Member Is Offline

Mood: Legitimate

[*] posted on 15-2-2020 at 06:30


Exactly as B(a)P says. Also note that both are byproducts of mining for other metals so you really don't just tear more ore out of a rhodium vein when you need it. There are some interesting articles on precious metals websites about palladium and how much has been stripped out of the collectables community, it kind of acted as a reservoir of material for awhile but it looks like the only people who have it left are holding. I bet there are quite a few chemists out there feverishly working to develop a replacement catalyst composition. Let's wish them God Speed.



Shamelessly plugging my attempts at writing fiction: http://www.robvincent.org
View user's profile Visit user's homepage View All Posts By User
BromicAcid
International Hazard
*****




Posts: 3023
Registered: 13-7-2003
Location: Wisconsin
Member Is Offline

Mood: Legitimate

[*] posted on 15-2-2020 at 06:34


Article on the palladium deficit:

https://www.kitco.com/news/2020-02-12/Palladium-deficit-expe...

Of interest too is that the current BUY price is $10,000 USD but the SELL price is $11,750 so there is a pretty large gap there. Also, as someone who's been trying to unload rhodium I need to point out that the usual buyers of rhodium either are not buying rhodium or they have a wait list and will call you when they need it so that they don't hold inventory.




Shamelessly plugging my attempts at writing fiction: http://www.robvincent.org
View user's profile Visit user's homepage View All Posts By User
yobbo II
National Hazard
****




Posts: 346
Registered: 28-3-2016
Member Is Offline

Mood: No Mood

[*] posted on 11-3-2020 at 18:57


Rhodium is back up at 10, 000
View user's profile View All Posts By User
BromicAcid
International Hazard
*****




Posts: 3023
Registered: 13-7-2003
Location: Wisconsin
Member Is Offline

Mood: Legitimate

[*] posted on 11-3-2020 at 19:19


Rhodium buyers are buying again, guess they figure this isn't just a spike anymore. Either that or they ran out of supply.



Shamelessly plugging my attempts at writing fiction: http://www.robvincent.org
View user's profile Visit user's homepage View All Posts By User
Herr Haber
International Hazard
*****




Posts: 692
Registered: 29-1-2016
Member Is Offline

Mood: No Mood

[*] posted on 12-3-2020 at 03:57


Quote: Originally posted by B(a)P  
China's adoption of catalytic converters. Demand has exceeded supply for a couple of years and it is getting worse

[Edited on 15-2-2020 by B(a)P]


Worsened by the "dieselgate".




The spirit of adventure was upon me. Having nitric acid and copper, I had only to learn what the words 'act upon' meant. - Ira Remsen
View user's profile View All Posts By User
MrHomeScientist
International Hazard
*****




Posts: 1803
Registered: 24-10-2010
Location: Flerovium
Member Is Offline

Mood: No Mood

[*] posted on 12-3-2020 at 13:54


I didn't plan it as an investment, but I cleaned up on rhodium recently. Bought an ounce when it was at $995/oz, and sold the bar when it was $9,985/oz :cool:

Of course now that it's over $13,000 I'm kicking myself a little!

I was actually only able to sell it for pretty significantly below spot price. The way the dealer explained it, due to the extreme high price and high volatility of rhodium, no one actually wants to buy it at spot. His buyer was paying significantly lower than spot too, so he only made about $450 from the deal. He told me because of the large spread for this metal, even if it did keep going up the difference between what people would actually pay would also increase, meaning if I had waited for the extra $3,000 I may have only actually made a few hundred.

Edit: at $13,000 an ounce, it's approaching half a million dollars for a kilo :o :o :o

[Edited on 3-12-2020 by MrHomeScientist]
View user's profile Visit user's homepage View All Posts By User
Heptylene
Hazard to Others
***




Posts: 227
Registered: 22-10-2016
Member Is Offline

Mood: No Mood

[*] posted on 12-3-2020 at 15:42


The price of rhodium is absolutely nuts! One the other hand, platinum is really low right now (770 $ per oz). It hasn't been this cheap for years. And palladium dropped down to about 2k$ per oz.

Hopefully there will come a time where rhodium and palladium chemistry is affordable again...

@MrHomeScientist: How much did you manage to sell your rhodium for?
View user's profile View All Posts By User
Ubya
International Hazard
*****




Posts: 909
Registered: 23-11-2017
Location: Rome-Italy
Member Is Offline

Mood: I'm a maddo scientisto!!!

[*] posted on 12-3-2020 at 19:17


well,if prices and demand rise even more, we might see asteroid mining sooner




---------------------------------------------------------------------
feel free to correct my grammar, or any mistakes i make
---------------------------------------------------------------------
View user's profile View All Posts By User
MrHomeScientist
International Hazard
*****




Posts: 1803
Registered: 24-10-2010
Location: Flerovium
Member Is Offline

Mood: No Mood

[*] posted on 25-3-2020 at 08:11


He bought my bar for $8,000. $2k less than spot at the time, but still a nice profit for me! I'm using it to fund another one of my hobbies.
View user's profile Visit user's homepage View All Posts By User
DraconicAcid
International Hazard
*****




Posts: 3214
Registered: 1-2-2013
Location: The tiniest college campus ever....
Member Is Offline

Mood: Semi-victorious.

[*] posted on 25-3-2020 at 10:13


I did my thesis work with rhodium, and it was a point of pride that we worked with the most expensive metals around (not counting the non-radioactive ones). I remember looking up the price a few years back and was disappointed that it had dropped so much. I guess I should have bought some.



Please remember: "Filtrate" is not a verb.
Write up your lab reports the way your instructor wants them, not the way your ex-instructor wants them.
View user's profile View All Posts By User

  Go To Top