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Author: Subject: Prices of Palladium and Rhodium have SKYROCKETED - here's what I see happening.
RogueRose
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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. Heptylene Hazard to Others Posts: 227 Registered: 22-10-2016 Member Is Offline Mood: No Mood Hmm, I guess I'll never have rhodium in my collection then, or not for a few years at least...$350 per GRAM!
B(a)P
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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]
BromicAcid
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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.

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BromicAcid
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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.

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yobbo II
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Rhodium is back up at 10, 000
BromicAcid
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Rhodium buyers are buying again, guess they figure this isn't just a spike anymore. Either that or they ran out of supply.

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Herr Haber
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 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
MrHomeScientist
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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

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

[Edited on 3-12-2020 by MrHomeScientist]
Heptylene
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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?
Ubya
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well,if prices and demand rise even more, we might see asteroid mining sooner

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MrHomeScientist
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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.
DraconicAcid
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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.

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 Sciencemadness Discussion Board » Non-chemistry » Legal and Societal Issues » Prices of Palladium and Rhodium have SKYROCKETED - here's what I see happening. Select A Forum Fundamentals   » Chemistry in General   » Organic Chemistry   » Reagents and Apparatus Acquisition   » Beginnings   » Responsible Practices   » Miscellaneous   » The Wiki Special topics   » Technochemistry   » Energetic Materials   » Biochemistry   » Radiochemistry   » Computational Models and Techniques   » Prepublication Non-chemistry   » Forum Matters   » Legal and Societal Issues   » Detritus   » Test Forum