Daily Precious Metal News

Precious metal investing in gold, silver and platinum is common; however, palladium bullion investment is another very attractive option as well. This metal gained notoriety for its use in catalytic converters, but it also has plating applications in the electronics industry. This demand has kept prices high and made palladium bullion a popular alternative to other precious metal investing.

Palladium prices peaked near $1,100 per ounce in early 2001 as investors speculated on demand from the automotive industry. Since then, supply has basically kept up with demand as the Russian government liquidates a stockpile it accumulated during the Soviet Era, leaving the metal with a its current spot price of around $425. It is unknown how much of this stockpile still exists, although that information could lend a clue about the next big climb in palladium prices.

Palladium has been minted by a number of countries, including Canada, the Soviet Union, France, Portugal, Russia, China, Australia and Slovakia. Not coincidentally, Russia has minted the most palladium bullion of any country.

Buying palladium is just like any other precious metal investing, with the exception that supply is currently affected by the Russians. As their stockpile runs out, it is highly possible that demand will exceed supply, sending prices upward. Precious metal exchanges are an excellent source for palladium bullion, although it is a good strategy to research a company to ensure you are dealing with a trustworthy source for your bullion needs.

In precious metal investing, palladium is discussed less than gold, silver and platinum, but it is still a highly valuable commodity and a potentially strong commodity to own. Investors looking to expand their portfolio should consider palladium bullion. 

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Danny Burns

Senior Staff Writer - Precious-Metal.org