Chopard

MTF
[PuristS]
13383

• Show profile
• Show other posts

Is palladium truly precious or just expensive?

Ling,

You pose an interesting question.

Today, palladium is expensive because it has industrial uses in automobile and aircraft industries.

In the past, it was expensive because of search and refining costs but now we have the technology. It is only the supply-demand balance that keeps the price high.

The hardness property is useful for pen nibs and other hard uses. The electronic purposes and smartphone growth may take palladium away from watchmaking.

Apart from the cost rising sufficiently to be considered precious but cheaper than gold, is it truly "precious"? Do jewellers and watchmakers really believe the metal has endearing and sustainable 'value'?

I'm not sure the traditional companies like Chopard, Piaget and Patek Philippe feel that way.  From an economic view, it may be the way to go if gold becomes scarcer or more of an investment hedge with the next war.

Regards,

MTF