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Stricter Emissions Regulation Is Pushing These 2 Commodities Higher

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Photograph by James St. John

The year is young but two commodities have already posted impressive gains, with palladium extending its run of record highs and rhodium climbing more than 30% in the first two weeks of 2020.

It’s “very much a fundamental story” for both metals, says Nikos Kavalis, founding partner of precious-metals consultancy Metals Focus. “Demand from the automotive sector has been growing as a result of tightening emissions legislation, most notably in China.” The majority of the world’s palladium and rhodium supplies are used in autos...

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