Palladium is a shiny, silvery-white precious metal. It was actually discovered in 1803 by a gentleman known as William Hyde Wollaston. He named this metal after an asteroid that had been identified some two years earlier and named Pallus.
Mr. Wollaston found palladium in crude platinum ore. Like platinum, palladium is mined in South Africa and Russia. At one point, palladium was even used to treat tuberculosis, but due to its many significant side effects, its use for that purpose was discontinued.
The production of palladium, like its counterparts such as platinum, is a long and unique process. Again, it takes tons of raw ore to produce one ounce of pure palladium. Still, the production of this metal remains profitable due to the many other metals being extruded at the same time, such as nickel, rhodium, and copper.
In today’s society, one of the main uses of palladium is the production of the catalytic converter in the automotive industry. The catalytic converter is a device now required in cars to prevent harmful emissions from entering the air we breathe. In fact, due to the delay in the Russian export of the ore to the global market, the Ford Motor Company began stockpiling palladium for fear of a shortage. Then in 2001, when prices fell sharply, the Ford Motor Company lost nearly a billion dollars. Although the market has since become more stable, like any commodity, it is susceptible to supply and demand. You never know when the market will fluctuate or in what direction.
Palladium is a rare, precious and sought after metal. With many high-tech uses within the automotive industry, the catalytic converter being just one of them, there is currently not a high return on investment in palladium. This is largely due to the fact that many people are still unaware of its uses and attributes. The market will change as the demand for this metal is expected to skyrocket due to its uniqueness.
Regarding investment, one might consider investing in a palladium mining company, stocks, shares, or even public future speculation. Speculation can be a risky business because your profit depends on the cost remaining high while there is a chance that prices will crash.
With so many not realizing the true value of palladium, one should proceed with caution if you have some items you wish to sell. Palladium has been used in forms such as coins, bars, and jewelry, etc. It is imperative that you find a reputable and trustworthy dealer. Of course, you won’t get full value, as any trader is looking to make a profit just as much as anyone else in the business. Watching the precious metals market and waiting to sell when the price is at its highest point is recommended.