LONDON (Reuters) – A squeeze in ready availability of automotive metal palladium has driven up already record-high prices by 25% in just two weeks, accelerating a four-year rally and stoking expectations for further gains, analysts said.
A long-term supply deficit has led prices of the metal, used mainly in engine exhausts to curb harmful emissions, to double over the last year.
Consumers’ immediate needs are often met in the lending market, in which holders of metal put their stocks to work for a profit. However, rates charged to lease palladium have spiked in recent weeks, suggesting availability is tight. Continue Reading →