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The price of Rhodium was in October 2022, around €448,97 per gram, if you would have sold it at the exchange. It is one of the most expensive precious metals that you can get, in the world.
It is funny to know how the name rhodium came into existence. It is derived from Greek, because rhodium is the word for rose. This is where it was discovered in 1803.
Rhodium is used mostly in catalysts in cars. Other than that, it is mostly used as an investment, just like gold and silver.
It is not only an expensive, but also one of the heaviest raw materials in the world. You can compare it to water and see that this raw material is about twelve times heavier per cubic meter.
To get this pure raw material, hydrogen gas is needed. To keep the pure version of this raw material, a chemical path is needed in which hydrogen gas is one of the elements.
What influences the price of Rhodium?
The price of rhodium depends on the supply and demand principles. When there demand for it increases, so does the price. This raw material mainly pops up in South Africa, which contains over half of the world’s production.
Since 2018 the price has gone up gigantically, because more people wanted to invest in this raw material. The years after, it did increase a bit and sometimes the day prices shoot up, but most of the time it increases just as much as yearly inflation.
Rhodium is mostly stored in Zurich as an investment. This is the safest location and even everything for the London exchange is stored here and melted down at the blacksmith.
Yearly, only 25 tons are produced. So, it is a pretty rare precious metal and that does explain the high day price. The production cannot easily be turned up.
The most expensive precious metal
Rhodium is the most expensive precious metal that you can buy. It is namely about 8 times as expensive at 20 carat gold at this moment.
This is mainly due to the large demand, but also the low offer. It is a raw material that you can not simply dig up, because it requires a very extensive chemical process. It can be found in the same quartz that you can also get gold and platinum from. All these materials have to be separated in certain ways and there is always more gold leftover than rhodium.
This is the reason that you can buy it mostly only as an investment in the stock exchange. Usually, people buy it at the London Metal Exchange, because the offer is the biggest there.
The prices have been rising lately as well. This has to do with the war that is going on in Russia. They produce about 9% of raw materials, but every part is calculated in the day pricing.
Unfortunately, we also see that the production in Russia is decreasing, which means the offer will be even less. We are curious what the price will be doing in the upcoming months.
A couple of facts on the raw material Rhodium
1: Rhodium is a raw material that has been discovered only 1803 together with palladium.
2: It is a rare raw material where the development process is intense and the production cannot just be raised at will.
3: This raw material is 12.5 times as heavy as hydrogen per cubic meter.
4: 70% of this raw material is gained in South-Africa. The rest comes from the United States and Russia.
5: A small part of the raw material is used for catalysts of cars.
6: The majority of Rhodium is used as an investment which is mostly stored in Switzerland.
7: According to researchers, this raw material can be cancerous and that is why it is only used in the car industry.
8: It is the most challenging raw material to gain with a chemical process. This makes it the most expensive precious metal.
9: The global production per year is only 25 tons.
10: The melting point of this raw material is high and that is why it is difficult to gain from quartz that also contains gold, silver and platinum.
The Rhodium price is often shown in a graph on the stock exchanges. This means you can look back on the price up to 5 years, sometimes.
In the beginning of the year, you could see a huge rise in the first quarter. But we did see a huge dip as well in the second quarter. Nowadays this raw material has been pretty steady and regained the same level it had last year.
The price is difficult to predict, because large car companies buy a part of it, but investors the rest. When a lot gets sold in a certain day, you can see the price rise immensely. Yet you will see a huge decline, when the buy gets smaller.
What price does Rhodium have at the stock exchange?
The Rhodium price is now around 13964,48 per 30 grams at the stock exchange. The last couple of years we did see a lot of back and forth in the price, though.
From January to mid-March, we saw a big increase in the price. But we did saw it go down again at the end of the month.
Mid-way June the price was so low that it reached a 5-year low record. It has risen from then to now and is now around the same price as last year and we do expect to see a small rise still. We come to this conclusion, because of the rise in the prices for the other precious metals.
The future of this raw material
Now and in the future, the Rhodium price will probably keep rising. It is not possible now to have more production very fast, because of it undergoing an intensive chemical process that costs a lot of money and a lot of time.
We also see that more and more investments are done in Rhodium bars. These will be melted down by the blacksmith in Switzerland. A lot of people see it, like gold, as an investment that you can get a nice return on your investments in the long run.