Fears of sanctions boost Palladium – Commerzbank

FXStreet Insights Team FXStreet

The price of Palladium jumped by more than 9% at times yesterday, reaching its highest level since December last year at just under $1,170 an ounce, Commerzbank’s commodity analyst Barbara Lambrecht notes.

Palladium price rallies after fear sanctions kicks in

“According to informed sources, the US government is set to call on the rest of the G7 to impose sanctions on Russian Palladium (and Titanium). Russia has a dominant position in the Palladium market, with one company supplying 40% of the world's mine supply. The EU, which imports about half of its Palladium, obtained about a third of its imports from Russia in 2021.”

“The share is likely to have declined, but is likely to remain significant. The US also continues to buy Russian Palladium. This is not the first time that fears of sanctions have driven up the price of Palladium. The most massive price increase occurred shortly after the start of the war in Ukraine.” “Last December, Palladium also jumped after the US and UK imposed new sanctions on Russian Aluminium, Copper and Nickel, fuelling fears that Palladium would be the next metal to be targeted. A month ago, Palladium also rallied significantly when Russian President Putin threatened to impose export restrictions on certain metals, without specifically mentioning Palladium.

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD holds losses near 1.1850 as US, China holidays keep trade muted

EUR/USD opens the week on a softer note, trading near 1.1860 during the Asian session on Monday. Activity is likely to remain muted, with United States markets closed for the Presidents’ Day holiday, while Mainland China is also shut for the week-long Lunar New Year break.

GBP/USD flat lines as traders await key UK macro data and FOMC minutes

The GBP/USD pair kicks off a new week on a subdued note and oscillates in a narrow range, just below mid-1.3600s, during the Asian session. Moreover, the mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important releases from the UK and the US.

Gold remains below $5,050 despite Fed rate cut bets, uncertain geopolitical tensions

Gold edges lower after registering over 2% gains in the previous session, trading around $5,030 per troy ounce during the Asian hours on Monday. However, the non-interest-bearing Gold could further gain ground following softer January Consumer Price Index figures, which reinforced expectations that the Federal Reserve could cut rates later this year.

Top Crypto Losers: Dogecoin, Zcash, Bonk – Meme and Privacy coins under pressure

Meme coins such as Dogecoin and Bonk, alongside the privacy coin Zcash (ZEC), are leading the broader market losses over the last 24 hours. DOGE, ZEC, and BONK ended their three consecutive days of recovery with a sudden decline on Sunday, as crucial resistance levels capped the gains. Technically, the altcoins show downside risk, starting the week under pressure.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.