Exchange-traded funds (ETFs) backed by physical metals have wrought a “sea change” in platinum and palladium markets, according to Jon Nadler, The Wall Street Journal reports. They attracted investors who otherwise would not have invested in the metals, said the senior metals analyst with Kitco Metals. Platinum and palladium ETFs pulled down investment barriers in Europe and increased demand for the metals among investors in the U.S. and Japan. Investor holdings of platinum group metals have spiked since 2007 as low interest rates, a lower dollar and worries about future inflation spur demand for hard assets.
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