• 1 day PDVSA Booted From Caribbean Terminal Over Unpaid Bills
  • 1 day Russia Warns Ukraine Against Recovering Oil Off The Coast Of Crimea
  • 1 day Syrian Rebels Relinquish Control Of Major Gas Field
  • 1 day Schlumberger Warns Of Moderating Investment In North America
  • 1 day Oil Prices Set For Weekly Loss As Profit Taking Trumps Mideast Tensions
  • 2 days Energy Regulators Look To Guard Grid From Cyberattacks
  • 2 days Mexico Says OPEC Has Not Approached It For Deal Extension
  • 2 days New Video Game Targets Oil Infrastructure
  • 2 days Shell Restarts Bonny Light Exports
  • 2 days Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 2 days Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 2 days British Utility Companies Brace For Major Reforms
  • 2 days Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 2 days Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 3 days Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 3 days OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 3 days London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 3 days Rosneft Signs $400M Deal With Kurdistan
  • 3 days Kinder Morgan Warns About Trans Mountain Delays
  • 3 days India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 3 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 3 days Russia, Saudis Team Up To Boost Fracking Tech
  • 4 days Conflicting News Spurs Doubt On Aramco IPO
  • 4 days Exxon Starts Production At New Refinery In Texas
  • 4 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 4 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 5 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 5 days China To Take 5% Of Rosneft’s Output In New Deal
  • 5 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 5 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 5 days VW Fails To Secure Critical Commodity For EVs
  • 5 days Enbridge Pipeline Expansion Finally Approved
  • 5 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 5 days OPEC Oil Deal Compliance Falls To 86%
  • 5 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 5 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 6 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 6 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 6 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 6 days Aramco Says No Plans To Shelve IPO
Alt Text

Busting The Lithium Bubble Myth

Lithium demand continues to grow…

Alt Text

World’s Biggest Miner Prepares For The EV Boom

The world’s top mining company…

Here Comes the Rhodium ETF

Here Comes the Rhodium ETF

Deutsche Bank has launched the first ever ETF for the precious metal Rhodium, to be listed on the London stock exchange. Expecting a massive inflow of capital into this obscure corner of the hard asset world, traders ran prices up 20% last week. ETF launches for platinum (PPLT), and Palladium last year had a similar effect on prices.

Rhodium is one of the world’s hardest metals, and is used by the auto industry as a substitute catalyst for platinum and palladium. Like the other white metals, it therefore has twin demand for both industrial and investment purposes. About $2 billion a year worth of rhodium is mined, compared to $10 billion for platinum and $30 billion for silver. At $2,350 an ounce, rhodium is the most valuable of the precious metals, compared to gold (GLD) ($1542), platinum (PPLT) ($1,812), palladium (PALL) ($769), and silver (SLV) ($36). During the hard asset squeeze in 2008, rhodium reached an incredible $10,000 an ounce.

I’ll be writing more about rhodium in the near future. When hard assets come back into vogue, this is something you want to keep on your radar. It has all the ingredients for a potential sharp appreciation; a tiny global supply and potentially insatiable demand.

Rhodium

Platinum

Palladium

By. Mad Hedge Fund Trader




Back to homepage


Leave a comment
  • Anonymous on June 07 2011 said:
    this is not an ETF, its a ETC. (with counterparty risk)
  • Anonymous on June 07 2011 said:
    Wouldn't it be ridiculous to substitute rhodium for metals that cost much less?
  • Anonymous on June 08 2011 said:
    Rhodium is the most effective catalyst for converting NOx pollutants in a motor vehicle's exhaust gas into more benign gases. It is not simply a substitute for Pt and Pd; it serves a unique function that the other platinum group metals cannot perform. Considering the tremendous number of autos and trucks being produced now, I am mildly surprised that the price of Rh isn't higher than its present level.
  • Anonymous on June 10 2011 said:
    Where can the average Joe buy a piece of rhodium?
  • Anonymous on June 12 2011 said:
    The symbol for rhodium if XRH0 on the London Stock Exchange.
  • Anonymous on June 12 2011 said:
    With possible inflation-deopression coming, how much of a demand will there be for rhodium? The decline of the number of cars that will be manufactured will be staggering.
  • Anonymous on June 14 2011 said:
    Will the acceleration of Battery powered vehicle usage dampen the demand for Rhodium by the auto industry? Likely emission legislation will not demand more than the status quo due the current fragile auto idustry.
  • honestann on January 11 2012 said:
    :eek: Rhodium is a great long term investment... unless the world economy crashes and stays crashed.Platium is about 15 times rarer than gold.Rhodium is about 75 times rarer than gold.Right now (2012 January), Platinum is about $200 per ounce cheaper than gold, and Rhodium is nearly $300 per ounce cheaper than gold.Here are the main possible downsides.Supply: Rhodium is not mined directly. It is recovered as a minor output from gold [and platinum] mines. Therefore, as the price of gold rises, the quantity of Rhodium will rise along with greater gold mining activity.Demand: If the world economy sucks (especially the demand for catalytic converters for cars and industrial processes), the demand for Rhodium will fall.The worst case scenario for Rhodium is a surge in gold as fiat money and the world economy collapses. The best case is an economic boom.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News