Russia's Plans to Cut Sales Could Push Palladium Price up 50% says Pan American Metals of Miami.
(1888PressRelease) Palladium is poised for a sharp rise in price as Russia says it will discontinue sales in 2013.
MIAMI, FL - Russia is one of the few countries with sources of palladium ore, which are extremely rare; the majority of palladium ore is found in South Africa and Zimbabwe but sales from Russia's stockpile have been pivotal. The palladium market is likely to experience a shortage as supplies from Russia decline and some market analysts predict a recovery in price as high as 50%.
"Like platinum, palladium is heavily used in auto parts," says Bill Hionas of Pan American Metals of Miami. "Over half of the supply of palladium goes into the manufacture of catalytic converters, due to its ability to convert harmful gases into safer substances, and demand from the auto industry is slated to increase as the industry recovers. Palladium is also heavily used in electronics such as computers, mobile phones, capacitors, and low-voltage electrical contacts as well as in the jewelry industry. Ore deposits of palladium are extremely rare. This mix of numerous applications and limited supply sources gives palladium considerable investment interest."
Automobile production in Japan is now returning to pre-earthquake / tsunami levels and emerging economies such as Brazil, Russia, India and China are all showing increased demand for new cars. In view of this, a 50% rise in price does not seem at all far-fetched. Some market experts are forecasting $1000 an ounce by early next year.
Clients interested in taking a position in palladium should contact Pan American Metals of Miami for further information. PAMOM's team, led by Bill Hionas, is able to offer specific advice on all four precious metals.
Pan American Metals of Miami, LLC is a group of traders, investors and account executives that combines many years of experience to help clients invest in bullion. PAMM provides an individual investment service and is based in Miami, Florida for convenient access to both North and South American investors.
Pan American Metals of Miami, LLC
Email: dbailey ( @ ) investpanam dot com