Palladium, a mineral mined mainly in Russia and South Africa, broke a record in its price per ounce and surpassed the value of gold in the stock market.
Second reveals BloombergThis increase is explained by the increase in the demand for metal observed in recent months, mainly in the automotive sector, in the middle of the recent transition from diesel to petrol engines, as it is used in catalytic converters to control emissions by converting gas toxic and polluting in the less toxic ones.
Thus, on Wednesday, palladium reached $ 1,251 per ounce, while an ounce of gold was $ 1,236.
The price of this rare metal has increased since a year ago, but this week it surpassed the value of gold for the first time in 16 years.
Palladium profits have also obscured platinum, the best known metal brother and the one that passed in 2017.
Both are consumed, above all, by car manufacturers for catalytic converters, but platinum is used more in diesel vehicles.
Palladium is usually extracted as a by-product of platinum in South Africa and nickel in Russia, where the main deposits of this precious metal are found.
Analysts expect the price of palladium to continue to rise due to strong demand, especially from China, that is increasingly concerned about the problem of environmental pollution.
Despite its high costs, current machinery in the automotive industry does not support other materials than palladium. And while it can adapt to other metals, this would take at least two or three years.