CHRONIC. While the prices of metals like palladium and rhodium have slumped, other
experience the opposite situation.
First there is the fall of lost paradises: palladium and rhodium. Following dieselgate and standards
emissions that followed, gasoline engines were preferred to diesel engines resulting in
growth in the consumption of palladium and rhodium in automotive catalysis. The movement has no
escaped speculation, the prices of the two metals soared to the point that we had called these
two markets, a few weeks ago on this blog, of pomegranates wrapped in chocolate. (Click here)
Shortly after, the grenades exploded. Palladium prices fell nearly 50%, rhodium
went from over $14,000 to around $3,000 today. This last reissue metal, like
every ten years, the same speculative bubble: spectacular rise and rapid fall in 1990, 2000, 2010 and
2020.
Limited drop for non-ferrous metals
Unsurprisingly, the fall is general but limited in base metals: copper, aluminum, nickel, zinc.
The collapse in prices is also significant in energies with the historic drop in gas prices
natural and the affair of the oil war between Riyadh and Moscow. It is also for certain foodstuffs:
sugar, cocoa, cotton... But other compartments are resisting, in particular the steel industry. The V curve of the
price of iron ore, which rose from 95 dollars before the Chinese New Year, then logically to 80 dollars in
holiday season, and $90 right now, can be explained in two ways. On the one hand, the steelworks
Chinese, the first in the world, are located far from the province of Wuhan and have remained dynamic
despite crisis ; on the other hand, Chinese iron ore production slumped in Beijing New Year
without having really recovered since. As a result, more than in the past iron imports
Australia and Brazil have responded to demand and overseas iron prices are firm. Likewise, the prices
of steel have recently begun a V curve. Other materials related to the steel industry also see their prices
cross the V ligature and go up, such as sea freight or molybdenum.
Perhaps it is linked to containment, but agricultural raw materials also have atypical prices,
trending upwards: tea, coffee to a certain extent, and the star of the moment whose crisis has only
strengthen the dynamism and storage, rice.
Gold rebound
As for gold, after being continuously on the rise, it crossed the threshold of 1,700 dollars and lost only 10%.
before bouncing back. A positive performance compared to those of the stock market indices. As expected (see
this video (Click here)), the latter will illustrate the temporality of the crisis. In China, she will probably be
absorbed at the end of the first quarter, and we should see the same outcome in Europe, but at the end of
second trimester.
By then, I hope that we will have thanked, in consideration but also in budgets, the dedication
admirable from the world of health: nursing assistants, nurses, medical students, doctors
civilians and soldiers as well as the medical reserve.

China's steel mills, the first in the world, are located far from Wuhan province and have remained
dynamic despite the crisis.