Jan 22, 2020 - Economy & Business

Rhodium prices roar to 11-year high

Data: FactSet; Chart: Axios Visuals
Data: FactSet; Chart: Axios Visuals

The price of rhodium, a metal used in fine jewelry and car parts, has skyrocketed over the last few months. It has jumped by more than 50% in just the first three weeks of January, reaching a price more than six times that of gold and the highest since late 2008, FactSet data show.

What's happening: "Surging demand from carmakers is partly to blame," the Economist writes. "More than four-fifths of global demand for both rhodium and palladium comes from the automotive industry. The metals, together with platinum, help convert toxic gases in a vehicle’s exhaust system (such as carbon monoxide) into less harmful substances before they exit the tailpipe."

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