This week I bought my first physical bullion in the form of a small Palladium bar. Right now the order is at the Umicore mint, and I am very excited about it. I decided to purchase it after I read that Palladium is actually the "undiscovered" gold. Undiscovered by the great public that is. Because of that it should have greater potential than gold, also because of the industrial purposes of Palladium.
I am wondering if I should pursue acquiring more Palladium in the future, or if I should just stick to Gold and Silver. Any thoughts on this?
I stumbled upon this a while back - a guy who seemed, to a non-expert like me, to know a lot about mining metals said that a new method was going to reduce the amount of palladium brought to the market a lot.
I did some snooping myself, and although his debating skills later in the thread didn't fill me with confidence, I'd still be interested in hearing a view from a metallurgy person on this.
I only have 7% in platinum and 3% in palladium but dont look at it as a major part of my stack. I think that gold and silver are the way to go but only because the masses know what these two are and not so much with palladium.
I read the same thing a while ago. Had something to do with a new chemical and that it would bring the mining of palladium down 50%. I did not give it much thought but heard it also.
I got a put I sold on SWC I may buy to close this week before the options expire.I think we have more upside in SWC so I may roll it forward a few months. The thing about Pd is it is so small a market; back in 2001 SWC went to 45 or somewhere like that cause Ford bid up Pd to like 1000 for the cad converters. I am sanguine but don't want too much exposure here.
I like beryllium but can only get it with a few miners and its the same thing. You can see a 10% swing fast. These can move faster up or down than silver because of the volume and it is why I dont have as much. Then again I would still own some. I think Palladium will do great in the long run and in my opinion will have a move like silver or stronger if the whole 50% reduction plays out. I was thinking about adding more but for some reason just never did. With the way I keep my ratio I wont have a choice but to add if silver gets back to 50 or so.
The problem with overweighting in industrial metals like Palladium right now is that you risk high unemployment lowering the demand for the end products (namely: cars). Palladium is integral to cars' catalytic converters. Used to make the stuff out of platinum--but that got too expensive!
Personally I have a few oz of PAMP SUISSE palladium (the one with the god of avarice on it-- beautiful) and believe in it long term, however right now I would not be a buyer. Real support around $710, look to enter there.
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The market looks like 800 plus, wont go to 710; besides the spread will be so big if it went to 710 you'd pay 750 anyway.
Well it appears it went to 720 yesterday ;)
Here, in México, palladium is much more commonly used in jewelry than it is in the United States (bear that in mind: it is not merely an industrial metal.) We call it "plata paladium." I love palladium and it's look compared just shoots platinum's gun metal grey out of the water.
So I have a ton of heavy Pd jewelry (Pd is a pretty heavy chunk of metal) that I had made for me in Mexico City. I have never lost a cent on Pd. I bought Isle of Man Pd coins for $110 then sold them back for over $1000.00. I've moved in and out of the PALL ETF and never lost a cent but currently my intuition tells me me that it is overpriced/over bought. If it corrects to $650 or so I will sell all my gold and silver and move it into PALL until the inevitable correction comes.
May we all receive the profits that we deserve.
SWC is down over 22% on news of the deal just announced to buy Peregrine. It is still at or above my entry point, but I am wondering what other traders might think of this deal. Does anyone have any thoughts as to why the news of it made the stock drop so dramatically?
Expanding into copper doesn't seem like such a bad plan to me. Does anyone have any knowledge of who is running these co's and if they are part of a good management team?
I am still learning of where to find this type of info.
The thing with copper is that it requires an expanding economy to thrive and we are just not there. Copper will go up in a monatery situation but it is a whole different animal than gold or silver. Also that almost 500 million in cash is a good bit of cash and they are going into Argentina which is not something that they are use to. The company is basically a domestic company and Argentina has had issued with strikes and the government down there can be problematic. I think the stock is oversold at the moment but I can only guess. When you get rid of almost 1/4 of your companies total value on a deal like this the stock can come down hard. My guess is that it will get back to 19.50 -20.00 and stay there for a while. If the deal does not go through they are still out about 14 mill if I remember correctly but who really knows. You have 90 days to find out.
As I type, SWC has hit a low of 16.76! Down over 30% since the merger was announced. Apparently, the market is not keen on the move. Personally, I'm getting hammered. I bought in at 18.43, sold half at 19.07, and then loaded up during the downward spiral, buying at 18.64, 18.43, 18.15, 17.70 and now 16.83. Down five grand. ALthough I'm kicking myself for the shockingly quick loss, I'm not selling. Yet. There is just too much upside. Moreover, management has to seriously consider seeing this merger through. THey have just trashed their share price and altered the entire reason for buying SWC as a pure palladium investment. The upside here is management throwing in the towel.
I'd love to here any other thoughts.
So I'm half-ass listening to Fox Business and a commercial comes on (one of many preaching gold and silver) except this time, they want me to buy palladium. It was a dedicated commercial advertising palladium and I honestly can't remember something like this before.
Are they running out of gold/silver buyers? Why would a company throw a spot on TV specifically towards palladium? What is it, only 1% of investors have PMs in their portfolio? How can they justify spending money of palladium advertising is curious. Just thought it was strange and wondering if there's a new tide brewing in palladium?
Check out this article about Palladium Investing