Live Metal Prices / oz
Gold: 1802.06 USD
Silver: 21.11 USD
Platinum: 917.00 USD
Palladium: 1906.50 USD
Rhodium: 16199.99 USD

Read Our Current Update on the Ukraine-Russian Conflict and its Affect on the Precious Metals Market

Why Haven't Platinum or Palladium Markets Been Sanctioned?

By now, the world has come to feed on the ongoing events between Russia, Ukraine, and the other powerful economies at play. War, invasion, inflation, sanctions, and other forthcoming geopolitical fallout from the Russia-Ukraine conflict are set to shake up international trade and currency, and particularly the precious metals and commodity markets.

Some of the most crucial precious metals, particularly in the industrial arena, are platinum and palladium. Investors looking to buy platinum or palladium products may be worried that the sanctions will affect the respective supply, however that may not be the case.

Western Sanctions Explained

When Russia announced its invasion of Ukraine, the country faced criticism from powerhouse economies, particularly the US. Once the conflict began, Russia was sanctioned and cut off by the US government from western financing and to some extent the western financial market. Furthermore, high-profile members of the Russian community were also sanctioned and barred from trading in western markets.

This was reflected in the precious metals marketthrough the prices of gold and palladium which quickly soared to all time highs. However, because so much of world supply of platinum and palladium originates in Russia, the west does not have an adequate alternative source of the metals. This is one of the main reasons why these two metals are largely unaffected by sanctions.

Why Sanctions Won’t Affect Platinum or Palladium?

The LPPM (London Platinum and Palladium Market) oversees credibility and monitors suppliers dealing in palladium and platinum supply. It is similar to the LBMA, but specifically targets platinum group metals.

As Russian sanctions began to unroll, the LBMA blocked many refiners and suppliers in Russia from operating in the west. However, certain palladium and platinum suppliers/refiners are yet to be barred from the good delivery list.

Analysts and market leaders fear that removing platinum, especially palladium, would have created more panic, as prices are already quite high. If both the specific metals stop trading in London, there is a strong chance the prices will increase to a point where they are uninvestable. 

Both platinum and palladium have great industrial applications. The two metal groups have unique properties that are crucial in the automotive industry, jewelry manufacturing, and more. 

Furthermore, palladium usage is more extensive, as it has properties that can reduce emissions in automobiles via catalytic converters. The USA itself is one of the largest importers of palladium from Russia, which accounts for more than 35% of its supply. 

Invest In Credit Suisse and PAMP Platinum and Palladium

The increasing price and demand for platinum and palladium due to its usage in the industrial sector and the greater economy as a whole makes it a good time for buyers to invest in palladium or platinum bars. 

Both Credit Suisse and PAMP platinum and palladium bars are some of the highest graded bars in the market today. For a better understanding of the types of palladium and platinum available from PAMP, there are reputable online platforms like SuisseGold.eu that facilitate bullion buyers. 

Conclusion

If you are looking to buy palladium or platinum for investment purposes, there is a good chance western sanctions will not affect the price and supply yet. With prices of the metals quite high, the best time to invest is now, before it gets any higher.