For decades, Platinum was the undisputed king of precious metals, reigning above Gold. But in recent years, its sister metal—Palladium—shocked the markets by surging past both gold and platinum in price. Should you care about Palladium?
The Automotive Connection
Both Platinum and Palladium belong to the same chemical group (PGMs). Their primary industrial use is in catalytic converters for cars (scrubbing toxic emissions from exhausts).
- Platinum is heavily used in diesel engines.
- Palladium is heavily used in gasoline (petrol) engines.
Following the "Dieselgate" scandal in Europe, consumer demand shifted away from diesel toward gasoline cars. This caused a massive shortage of palladium, driving its price to astronomical highs (over $2,800 an ounce), while platinum slumped.
Palladium in Jewelry
When palladium was cheap, jewelers loved it.
Pros of Palladium Jewelry:
- It is much lighter than platinum (similar density to 14K gold). A large ring won't weigh down your finger.
- It is naturally white and does not require rhodium plating.
- It is hypoallergenic (unlike nickel-based white gold).
Cons of Palladium Jewelry:
- It is notoriously difficult for jewelers to cast and resize.
- Because the price skyrocketed, it is no longer the "budget alternative" to platinum.
Which Should You Buy?
For jewelry, Platinum remains vastly superior. It is denser, feels more luxurious on the finger, and almost every high-end jeweler is equipped to polish and resize it. Palladium rings are very difficult to get resized locally because jewelers avoid the metal due to its extreme heat requirements and volatility.