The Financial Benefits of Palladium



The current palladium price is over 700 dollars per ounce. Certainly, palladium is not as popular as gold or silver as an investment. However, there are some interesting benefits that make it an attractive investment. The price of palladium is more apt to swing up and down compared to gold. However, this is the beauty of palladium. Since the price can be volatile at times this makes it great for speculative investing and for quick short-term profiting.

Another key benefit of palladium is the supply is shrinking. Russia used to be a major supplier of palladium, but their reserves have become exhausted. On the other hand, demand is increasing. Palladium is widely used to produce catalytic converters. China and other up and coming markets are buying more cars and trucks than ever before. Low supplies along with high demand mean the palladium price will increase.

Palladium can be bought as bars or coins. The Canadian Royal Mint started producing a palladium Maple Leaf coin in 2005. Canadian bullion coins are well respected for their high quality and their palladium coin does not disappoint with its .9995 fine palladium contents. This coin provides a convenient way to invest in palladium. Palladium bullion bars are hallmarked to certify palladium content and the weight of the each bar to protect the buyer.

While China may offer an insatiable demand for cars, and therefore catalytic converters there are other markets that will interest the palladium investor. This precious metal is also used to produce surgical tools, and is used in dentistry. Consider that the population of the United States is aging fast, it is logical to assume more Americans will need dental products like dentures, and more surgical tools will be needed for the anticipated increase in surgeries. Plus, palladium is used to make jewelry another market that will likely expand.

With so many markets expanding that use palladium, along with a low supply the outlook for palladium as an investment looks bright well into the future. Whether you invest in palladium bars or coins it is anticipated the price of this metal will continue to rise. As mentioned, palladium is subject to ups and downs, but this can be used to your advantage with speculative investing.

Finally, palladium is not as popular an investment as either gold or silver. Yet, it is an interesting investment that does offer benefits. The supply is low and demand is high and increasing. This means the price of palladium will likely rise.

Event Calendar