Palladium prices in thin market and Russian supply.-
"Palladium soared to a record.... But dealers, consumers and producers are extremely wary. The price surged in very thin trading.
...
"According to London dealers, the sales quota for January is complete and the Russians will only sell again in February.... Almaze, the agents of Russia, have been steady sellers to the automotive industry. In reality, the so called shortage of Russian material is a myth,...
...
"And if the Russians step up their sales, the price could easily collapse by $50, even $100. In the background is the Tiger fund's palladium holding. Some sources, believe that it has sold some of its investment pile, but is still in possession of a holding.
...
"Don't the Russians need the cash?"
From 'Palladium surges to record heights' by Neil Behrmann in Miningweb on Moneyweb, full story at
196.36.119.130
My comment here would be that indeed the Russians need the cash, an ample supply of mined palladium, and an orderly market into which to sell it. At even higher Pd prices, substitutes may be sought for the metal. So why then are they apparently selling less metal, less frequently?
"...market expectations were that the metal still had scope to the upside with dealers and analysts predicting a test of the $500.00 level in the near future." From 'Gold steady in early Europe, palladium corrects lower' biz.yahoo.com
Ptaskmaster
|
