Summary
- Palladium positioning is at extreme short levels not seen in the past decade.
- While Palladium's long-term future has big question marks, we think short term, there are good fundamental reasons for a price rise.
- South African palladium mine production faces significant risks due to electrical grid issues.
- 2023 Vehicle production is scheduled to grow and that entails greater usage of Palladium and Platinum with India potentially surprising to the upside based on Strong January Auto sales.
- The New US Tariff on Russian Aluminum may cause a response from Russia to limit Nickel and Palladium to the US further cutting supply.
For further details see:
Palladium: 4 Reasons Why We See A Big Short Squeeze