Tuesday , March 28 2023

The new gold: the paladju prices shoot and China to participate in credit


The Palladium prices have been reaching record levels jump more than 9% on the Stock Exchange & # 39; New York this year, which is the best performance this year among the major metals. And investors come to this race has just begun, the Bloomberg reports.

Factors & # 39; growth

The market has a very positive fundamental outlook

According to CPM Group, almost 70% of demand The palladium comes from the automotive industry. The metal, used mostly in & # 39; catalytic converters, benefited from the transition of the automotive industry from diesel to gasoline engines. The change led demand in & # 39; market currently has a limited supply.

Experts indicate that The fight against China & # 39; smog & # 39; was another factor contributing to the growing demand for palladium, since standards & # 39; stricter pollution led car manufacturers to use more catalytic converters.

offer limited

"The market has a lot of positive fundamental outlook (…) We have been dealing with supply deficits have taken place for eight years, And is expected to continue. The provision certainly was a problem on the mining front, as well as the reduction of existing stocks, "said Maxwell Gold, director of investment strategy at & # 39; Standard Inkrediti of & # 39; Aberdeen.

The market forecasts, including the Citigroup, producing increases in higher prices for the metal, which arrived Friday about $ 1,170 per ounce.

The production of palladium is highly concentrated, as in the case of platinum. Russia and Africa & # 39; South is currently producing approximately three-quarters of world supplies undermined. The production of its main producing country, Russia, was & # 39; 81 tonnes in 2017. The Russian company Norilsk Nickel is the largest producer of palladium in the world and accounts for almost 40% of world production.

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