Palladium continued to rise for the third consecutive session after sanctions were imposed on Russia’s military operations in Ukraine, while gold fell as US bonds and the dollar rose.
At 10:28 GMT, Palladium rose one percent to $ 2,604.61, its highest level since Tuesday’s July at $ 2,722.79. Car manufacturers use palladium in converters to control harmful emissions.
Western nations have stepped up sanctions against Russia, which produces 40 percent of the world’s palladium, and those sanctions have pushed some Russian banks out of the global payment system, Swift.
Peter Ferdick, adviser on quantitative research, said sanctions would affect the supply of palladium to the global market, adding that prices had not yet peaked.
The US dollar index reached its highest level since May 2020, leading to a slight decline in gold as it made the yellow metal more expensive for overseas buyers.
U.S. 10-year bond yields also increased, prompting some investors to avoid holding non-yielding gold.
Spot gold fell one percent to $ 1924.00 an ounce and US gold futures fell one percent to $ 1,935.60 an ounce.
However he acknowledged that their numbers were not enough to defeat Obama’s call for a ceasefire in the Ukraine crisis.
Among other metals, silver spot traded down 1.6 percent at $ 24.97 an ounce and platinum was up 0.9 percent at $ 1062.74 an ounce.