Relatively hard: Palladium is considered to be a softer metal, but it is still much harder and more durable than gold, which lends more protection against impact and a greater resistance to denting. Compared to gold's knoop hardness of 200, Palladium has a knoop hardness of 400.
Palladium's relative rarity makes it a valuable investment option when used to strategically diversify a Precious Metals portfolio.
Some investors may want to prioritize stability and long-term investing. In that case, gold is likely the better option. The precious metal has a longstanding history of reliable demand which often spikes during economic downturns. On the other hand, platinum usually performs better during times of economic growth.
Palladium is rarer than gold, but making matters worse is the fact that 40% of palladium is mined in South Africa, and 44% in Russia, with the rest coming from the US and Canada.
What Is Palladium Used for? Palladium is used in catalytic converters for automobiles, in fuel cells to generate power, in jewelry, dental fillings, and electronic components. Catalytic converters convert the toxic gases from automobiles into less harmful substances.
Historically, recessions have been positive for the gold price. In the absence of further major shocks in 2023, investors might look to put their money into commodities, particularly gold but also silver.
Returns in Real Estate vs.
The real estate can be an attractive long-term investment option where the property value increases over time. Real estate provides better returns than gold without much volatility. Additionally, when the market improves, so does the value of your property.
silver: Volatility. Silver tends to be more stable, in part because it tends to rise with economic growth while also being a safe haven asset in tougher times, says Agrawal.
While both precious metals are strong, platinum is more durable than gold. Its high density and chemical composition make it less likely to break than gold, so it lasts longer. The chemical structure also means that the metal displaces on the surface when it is hit so you don't lose any of the precious metal.
Over gold, platinum has earned its reputation for a number of reasons. For starters, gold is far more abundant in the earth's crust, making platinum rarer. Whilst 1,500 tons of gold are mined annually, only 160 tons of platinum are extracted. Platinum is also denser than gold, thus heavier.
Ultimately, both gold and platinum have their unique advantages as investment options. While gold is a traditional safe haven asset with a long history of stability, platinum offers exposure to unique industries and potentially greater returns due to its volatility.
The Global Palladium Coated Copper Bonding Wires Market Size Reached USD 1295.6 Million in 2021-2022. It is Expected to Grow at a CAGR of 18.6% till 2030. The Global Palladium Coated Copper Bonding Wires Market to Reach the Value of USD 3605.5 Million by the End of 2030.
Palladium is expected to be a profitable investment in 2023 due to a combination of macroeconomic and fundamental drivers.
While the benefits of investing in gold include its use as a store of value and its status as a safe haven asset when there is volatility in the stock market, it's not right for everyone. Keep in mind that the price of gold does fluctuate, meaning it can quickly lose value and is a poor short-term investment.
Many investors consider gold to be the ultimate safe-haven hedge against inflation. It's been a store of value for thousands of years, and it has real-world uses in jewelry and electronics, which provides tangible value. And unlike fiat currencies, there is a relatively limited supply of gold.
Inflation has been complicating that equation. In general, inflation lifts the price of gold, as it does those of many other commodities, but it can also hold it back under certain conditions, particularly when it is coming down from very high levels.
Titanium is being increasingly used in our modern society. It is light, strong and corrosion-resistant.
Assuming the recent trend in intensity of use is maintained during our forecast period, nickel will see the fastest growth, with demand growing by 123 per cent from 2020 to 2035. Aluminium and steel will also see significant growth of 57 per cent and 50 per cent respectively, with copper increasing by 26 per cent.
Exporters and Importers
In 2021, the top importers of Palladium unwrought or in powder form were Germany ($5.01B), United States ($4.4B), United Kingdom ($3.77B), Japan ($3.7B), and Italy ($1.85B).
Consumer demand will be key to 2023 growth
“The health of the automotive sector will remain palladium's leading barometer — after all, the sector accounts for over 80 percent of demand,” Swarts said. Metals Focus sees auto production growth being marginally positive for palladium demand in 2023.
Palladium Price
As in case of any precious metal or goods in general, the price of palladium is determined by supply and demand. However, the price of palladium is much more volatile than in case of gold, which results from a less liquid market. Therefore palladium is a much riskier investment.