AAAU - Platinum Slices Through Our $1000/oz Target
Originally published January 22, 2020
Last week was big for platinum group metals (PGMs). Stricter emissions standards in China proved to be the catalyst for a huge move in palladium. Palladium and platinum are critical components of catalytic converters. Catalytic converters are the main emission control devices for virtually all internal combustion engine ((ICE)) modes of transportation. New Chinese air quality regulations require 30% more palladium in catalytic converters, substantially increasing demand for this rare metal.
Increased demand for palladium is coming at a time when supplies are tight. Nearly all palladium is mined