Trend: The share price of the pallidium ETF (PALL) has increased from $43 on January 8, 2010 to $76 on December 3, 2010.
Palladium, at around $760 an ounce, trades at less than half the $1,720 price of platinum.
Palladium is interesting because it is attached to Chinese auto demand growth and there was also an [exchange-traded fund] introduced earlier this year that could inject more investment demand into the equation.
- Evan Smith, co-manager of the U.S. Global Investors Global Resources Fund
Palladium is in big demand for catalytic converters in cars and car sales in China, India and other emerging markets are 'going through the roof. Palladium remains well below its nominal high hit nearly 10 years ago of $1,110.50.
- Sean Brodrick, a natural resources analyst for Weiss Research and contributor to Uncommon Wisdom Daily.
Demand for palladium in auto catalysts is expected to rise by 27% in 2010, according to a report from platinum-group metals refiner Johnson Matthey PLC released earlier this month.
- Myra P. Saefong, in a ''Commodities Corner'' article on MarketWatch on December 3rd.