Is Rhodium dead?

[LargoWinch]

I don't understand, the price of Rhodium is stuck at $1,500 since about August 21, 2009. It is like it is no longer trading.

Perhaps, this is simply the result of an illiquid market and a touch of luck?

[Spartacus]

Re: Is Rhodium dead?

For the mil-spec industrial uses Rhodium is known for, I doubt the credit crunch had much to do with it. I wouldn't completely rule it out, though.

IMHO we'd have to ask a Rhodium industry specialist

Looks to me like
1. a major use has dried up (not too hard to imagine, considering the specialized uses, and that Silver can substitute if some requirements are loosened up just a bit)
2. a stockpiling binge (like Ford Motor panicking at rising Plalladium pricies, and stockpiling it from the Tokyo exchange in the 90s that sent Palladium prices "to teh noom") has ended
3. combination

I don't understand,

you are not brought upon this world to get it, Mt. Burton.

[ThePythonicCow]

Re: Is Rhodium dead?

I don't understand, the price of Rhodium is stuck at $1,500 since about August 21, 2009.

Maybe it's just Kitco seeing a bad data feed?

[LargoWinch]

Re: Is Rhodium dead?

Looks to me like
1. a major use has dried up (not too hard to imagine, considering the specialized uses, and that Silver can substitute if some requirements are loosened up just a bit)
2. a stockpiling binge (like Ford Motor panicking at rising Plalladium pricies, and stockpiling it from the Tokyo exchange in the 90s that sent Palladium prices "to teh noom") has ended
3. combination

Lets assume that is correct, then why the price is not going down? :confused:

[Spartacus]

Re: Is Rhodium dead?

Lets assume that is correct, then why the price is not going down? :confused:

There are a thousand reasons (all listed below), but it's mostly 999. and 1000.
1. assorted conspiracy theories
2. assorted conspiracy theories
3. assorted conspiracy theories
4. assorted conspiracy theories
...
...
999. nobody who has it will sell it for less (give or take)
1000. nobody with the money to buy it will pay more (give or take)

but mostly 999 and 1000


The funny thing, of course, is that the biggest, baddest, most successful conspiracy of all time has just netted several $$$TRILLIION$$$ for the conspirators, all stolen (or to be stolen in the next century or 2) from Joe 6p, and it happened on TV, and far from revolting when shown proof, as the conspiracy theorists always assumed, Joe 6P is more interested in watching NFL football, and his wife in watching whatever soaps are popular these days.

"get what you deserve" ?
Cassandra complex?

yeeesh.

[LargoWinch]

Re: Is Rhodium dead?

Maybe it's just Kitco seeing a bad data feed?

Someone tell Kitco about their bad data feed:




BTW, kitco is now selling Rhodium "sponges" for retail investor.

[karim0028]

Re: Is Rhodium dead?

Rhodium went from ~500.00 dollars to 10K in 6 years (20x)... I'm wondering what happens to gold I'm just sayin.....

[LargoWinch]

Re: Is Rhodium dead?

Rhodium went from ~500.00 dollars to 10K in 6 years (20x)... I'm wondering what happens to gold I'm just sayin.....

Point taken karim, but obviously, the market for this metal is infinitely much smaller.

Btw, can you think of an ituliper who smelled the bottom in Rhodium? Just sayin' ...

[thriftyandboringinohio]

Re: Is Rhodium dead?

I just checked this souce and find rhodium spot is 2125/oz

http://www.platinum.matthey.com/cgi-...ate=historical

Interestingly, price hasn't changed since August 16, 2010 in this data set.
Prices for the whole platinum group have been very stable.

[karim0028]

Re: Is Rhodium dead?

Point taken karim, but obviously, the market for this metal is infinitely much smaller.

Btw, can you think of an ituliper who smelled the bottom in Rhodium? Just sayin' ...

I'm assuming you did Great job! Now, the thing is, if/when this happens in gold; will it collapse? That is the million dollar Q... From my end, no clue at this point....

[slippery]

Re: Is Rhodium dead?

Rhodium is a relatively unknown metal. It's main use as far as I know is in jewelry.

The market is very small and illiquid. The physical comes in the form of a sponge in a bottle; not very romantic, unless you want to take a Rhodium sponge bath.

Compare and contrast with the monetary metals that have thousands of years of history on their side.

Compare and contrast with gold which is on the balance sheets of central banks.

My net net: stay away.

[oddlots]

Re: Is Rhodium dead?

Can't remember whether Rhodium fits in the rare earth elements space... but if it does I'm also kind of interested in what's going on here...

"Back in the day" I was watching a lot of the REE stocks. The basic thesis was that these things were essential for high performance batteries, cell phones, missile guidance etc and that the Chinese had locked up the market on mining these minerals. The counter-argument was always that... the Chinese had locked up the market on these things. The point being that the Chinese could undercut foreign competition with a secure supply at subsidised prices and so could always drown out competitors producing the products that require them. Check mate. Here's a chart of Rare Earth production.

Since then apparently the Chinese have tightened the noose by limiting exports of REE and the market has apparently gone wild. The question is: if the Chinese have the whole supply through production stream already locked in place is there anyone who can take on the project of re-starting ex-China production that is not vulnerable to China flooding the market with product?

[thriftyandboringinohio]

Re: Is Rhodium dead?

I don't believe rhodium fits at all within rare earth elements.

Although it's rare in the sense that not much is mined or used, it is a precious metal in the same group as platinum. Like platinum, it is a good catalyst and can be used in auto catalytic converter; chemical manufacturing processes; and electrochemical devices like fuel cells. As a noble metal it's fairly non reactive, so it doesn't tarnish and has a small use in jewelry.

The rare earth elements generally refer to the group of different elements a little to the left on the periodic table whose enormous utility is to make super strong magnets. They are therefore important in mass market products like disk drives and small powerful electric motors. Rare earth elements are also critical for certain lasers.

[Jay]

Re: Is Rhodium dead?

Joe 6P is more interested in watching NFL football, and his wife in watching whatever soaps are popular these days.

Go Pats! I love sports.