Palladium drops $25 based on easing of Russian tensions according to the WSJ http://online.wsj.com/articles/palladium-falls-near-two-week-low-on-ukraine-progress-1409754231 Funny I don't see those tensions easing ??? http://defence.pk/threads/italy-sei...garch-who-is-personal-friend-of-putin.335551/ http://www.zerohedge.com/news/2014-09-25/russia-asset-freeze-threat-sends-dax-reeling http://www.zerohedge.com/news/2014-...nts-us-freeze-locals-prepare-long-cold-winter I suppose it depends on who you believe ?
If you look at http://finviz.com/futures_charts.ashx?t=PA&p=w1 it looks like dumping the hedge can drive the price to $450
With South African production down, Russia and South Africa formalizing a rationing cartel and Putin about to switch off the gas to Europe this makes perfect sense. The hedge can dump all they like but unlike gold a certificate from JP Morgan stamped 100oz Pd cannot do squat for your car exhaust or new regulations in PRC. With smog levels at near record highs of 400+ last week in the good season in Beijing this is not going to last. The price suppression is a temporary move and is clearly time to buy. $450 not likely this time haha. Sounds like the $600 gold predictions from the deflationists....
Pd breaks through AU$1000/oz not bad for a non-monetary metal. So much For only buying monetary gold and silver. PGM lead the way!!
According to Marc Faber there are 4 main currencies in the world; Gold, Silver, Platinum and Palladium http://globaleconomicanalysis.blogs...ded-to-my-basket-of-miners-yesterday.html?m=1. Please don't disregard the last 2. We all know that currencies don't move up or down at the same rates. So don't invest in only 1 of 2 currencies get them all.
A beating - not quite ? Pd rose these past months while other PM were tanking. There is no reason for Pd to tank. The reasons given for this fall is - (Bloomberg) Russia is now going to sell its Pd stockpile to support the Rouble ??? I thought they were selling gold?? Haha Bloomberg is pulling a fast one ? Other reason is that the downturn in the US retail data will impact auto sales ?? I presume that Pt is not affected by this as Pt did not fall but rose?? The real reason is who knows but it will not last !
So with all the negativity of a deflationary crisis and crashing industrial commodities palladium regains it's AU$1000 level
Still showing what might well be 'short term' weakness on usd chart. To look bullish again needs to establish itself above 60 day moving average as 60 dma gets back above 200 dma? [imgz=http://forums.silverstackers.com/uploads/1893_palladium_jan_2015.gif][/imgz]
I think these moves in PM are mostly based on currency crashes rather than any intrinsic market moves. A very worrying comment I saw yesterday was from Crispin Odey - US hedge fund manager commented: "Australia, where the average wage is over $70,000, while the USA is creating jobs at $28,000, will have to allow the currency to fall much further". He predicts Australian interest rates to hit 0.5% So if the metals hold in US$ terms they are likely to soar in AU$ terms, until eventually the Fed comes out swinging and QE is ramped up again and then the game is finally over. So to look at charts and predict short term future moves is crazy in this market where we are measuring everything with a rubber ruler.
And the hedge is being dumped, and Palladium from $900 to $600 so far. Expecting breakouts when alot is hedged for years, well, guess the red trend not the green breakout, was the logical next.
Palladium getting a boost at the expense of platinum? Platinum is used in diesel cat converters, palladium used in petrol/gasoline cat converters. Volkswagen just demonstrated the very industrial nature of the market in these metals.
i love the fact palladium was more expansive than platinum in the 90's.. and for me its way undervalued sub $1000....i bought a few handfulls of palladium at USD240-245-275 years ago. i buy when i can afford not to buy silver/gold..very happy with that side investment. i believe that this metal will go up the most in the next bull leg... and yes...poor VW defrauding the public with its exhaust emmissions..
