Palladium Prices Set to Rise on Auto Industry Demand

Although platinum and palladium saw price drops on Monday, CNBC has pointed to a broader 5-percent jump in year-to-date platinum futures prices as well as a 7-percent price jump for its sister metal.

The rise would come on the back of increased demand from the US and Chinese automobile industries for palladium-made catalytic converters.

As quoted in the publication:

Palladium is a critical industrial component—demand is strong, and there is room for prices to move higher.

In fact, demand for catalytic converters will keep growing, as China, the largest automotive market in the world, continues to tackle its air-quality problems.

INTL FC Stone analyst Edward Meir told CNBC:

If nothing happens (with Russia), we think the market will likely get up to around $880 for a high for the year.

Click here to read the full CNBC article.