Gold $2,372.00   $-44.20  Silver $27.94   $-1.26  Platinum $943.80   $-21.80  Palladium $928.50   $-20.50

In the midst of speculation about a coming global recession and with some major currencies failing to sustain their value, investors are turning their attention to precious metals, and palladium has been surging as a result. In early 2020, for the first time in history, palladium surpassed gold in terms of price per ounce in the commodities market. This is largely because of demand, but some traders feel investors have overlooked this metal despite its inherent value. 

According to Bank of America analysts, palladium’s current market rally could continue and reach a high of $3,500 per ounce. The precious metals experts from First National Bullion, the palladium, silver, platinum, and gold dealers Scottsdale collectors trust for up-to-date market information and unparalleled service, offer the following interesting facts about palladium.

A Relatively New Metal

Unlike gold, which has been mined and used for thousands of years, palladium wasn’t discovered until the early 19th century. Once the properties of palladium were thoroughly determined, mining became a priority, but prospectors found it to be particularly rare. Palladium is usually extracted from the same spots where nickel and copper are mined, but it only yields a small amount. Similar to platinum, palladium is often called white gold, but it has an even shinier appearance.

Practical Uses for Palladium

Palladium’s two main applications are the reasons commodities traders believe it should be more valuable than gold. First, the catalytic converters found in all cars and trucks contain palladium. This metal is able to transform automotive exhaust into emissions that aren’t as harmful to the air we breathe. Second, palladium is also used in the manufacturing of fuel cell batteries that power electric cars. Like the rest of the precious metals, palladium is also used in jewelry, but not as often as platinum.

Bullion Bars and Coins

There was a time when palladium bullion didn’t attract too much attention. However, that has clearly changed in 2020. Russia is a major extractor of this metal, and it also produces quite a few bullion bars for investors. The central banks of various governments authorize their mints to issue palladium coins from time to time. For example, the United States Mint started using palladium along with platinum in 1997, and a 1-ounce American Eagle coin from 2017 is currently valued at $2,890.

Palladium Jewelry Pieces

Palladium is whiter and more lustrous than platinum, thus making it ideal for jewelry, but it hasn’t been as popular as platinum, at least not until now. The alloy used for palladium jewelry calls for 95 percent purity, which means owners of jewelry items made from this metal currently hold very valuable pieces.

Whether they’re looking to purchase palladium coins, sell silver bullion, or buy gold bars, Scottsdale residents trust the reputable dealers at First National Bullion and Coin. You can rely on our experienced professionals when you’re looking to add precious metals to your investment portfolio. Call one of our experts today at 480-546-8928.

The statements made in this blog are opinions, and past performance is not indicative of future returns. Precious metals, like all investments, carry risk. Precious metals and coins may appreciate, depreciate, or stay the same in cash value depending on a variety of factors. First National Bullion does not guarantee, and its website and employees make no representation, that any metals for sale will appreciate sufficiently to earn the customers a profit. The decision to buy, sell, or borrow precious metals and which precious metals to purchase, borrow, or sell are made at the customer’s sole discretion.

By |2021-01-25T05:20:52-08:00February 10th, 2020|Miscellaneous|0 Comments