Precious metals have become a very popular way of making an investment, but it always seems to be gold, silver and platinum prices that make the headlines. There are plenty of other precious metals worth considering if you happen to be looking for a worthwhile investment. One of them is Rhodium, and it seems to be making a few of its own headlines lately.
What is Rhodium?
Rhodium is a rare, silvery-white colored metal which is hard, corrosion resistant and a member of the platinum group of metals. It is mostly used in catalytic converters of cars. 80% of the world’s rhodium production is used for this purpose. White gold is also plated with this rare metal. A thin layer is applied to make it look better. Sterling silver can also be rhodium plated for improved tarnish resistance. One other use for this metal is in nuclear reactors. Rhodium detectors measure the neutron flux level.
The Mining of Rhodium
Rhodium, in its natural state, is found mixed with other ores such as palladium, platinum, silver, and gold. The extraction of the rhodium is a very complex process, which would explain its rarity. The main sources of the ores containing rhodium are in South Africa, North America, and the Ural Mountains. 80% of the world’s rhodium is exported from South Africa, with Russia coming in second.
Why invest in Rhodium?
The price of rhodium is very volatile. For some investors, this is a disadvantage, but for an increasing number of investors, this is a big advantage. Recently, it hit an all-time high of $10,000 per ounce. It has, however, suffered a decrease in its price more recently, but many are saying that it is due another rise. Currently, it seems to be hovering between $3,000 and $1,000 per ounce. The reason for its predicted rise in price is those car manufacturers have been buying up large reserves, in order to protect themselves when the price does rise. This actually increases the pressure on rhodium prices and we may well see rhodium prices unceasing in the very near future.
To know more about rhodium and other investment worthy metals, Indigo Precious Metals are the ones to call. Rhodium is a very rare metal, and there are less than a dozen mines able to produce it. This means that when the price rises it will do so very rapidly, and you’ll need to act quickly if you want to make this a worthwhile investment.