Their association with gold and silver has been part of the reason platinum and palladium have suffered in 2013 despite their strong price fundamentals. Palladium remained the stalwart last week, gaining 2.3%. Year- to-date, palladium is up 5.3% -one of the best performing commodities in 2013.
Strong November US auto sales were likely a source of strength for palladium last week and part of the reason for the continued upward trend in the palladium-gold ratio. The price of palladium vs. gold reached the highest level since the peak in February of 2011 Palladium closed at a high of US$851/oz. in 2011 and we expect the price to return to the 2011 high in 2014 and likely extend beyond.
