Reactions of synthesis gas (CO/H2) have been followed on a number of Pd-metal and Pd-alloy catalysts. Formation of methanol is sensitive to the choice of the carrier, but as the literature (and some of the data presented) is indicating, it is not proportional to the Pd-metal surface area. Alloying with Ag does not suppress methane formation substantially. It has been inferred from these results that methane is formed, at least partially, from an oxygen containing intermediate and that Pd ions play a role in the formation of these intermediates.