UPPER GROUP GAINS UPPER HAND:
Since Volkswagen (VW) understated its diesel emissions levels, palladium and rhodium prices have been soaring. Accompanying that has been new respect for the upper group two (UG2) reef, which hosts palladium and rhodium in the greatest abundance. ‘Dieselgate’, as the VW scandal became known, resulted in platinum-laden Merensky reef no longer being top dog and UG2, for long the poor cousin, becoming the reef of choice. That, in turn, sent palladium and rhodium prices sky high, which, in turn, opens the way for lower-priced platinum to make a comeback and nudge palladium out of the way.
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