Front-month palladium contracts traded above USD 1,150 per ounce for the first time since February, supported by tightening exchange inventories and renewed buying from auto-catalyst manufacturers covering Q3 requirements.
NYMEX registered palladium stocks have dropped 38% year-to-date, while Tokyo Commodity Exchange inventories sit near multi-year lows. Russian supply, which accounts for roughly 40% of global mine output, remains affected by Western sanctions on metals trading.
Auto-sector consumption is bifurcating: gasoline-engine production in emerging markets continues to support demand, while electric-vehicle penetration weighs on long-term outlook. Most major investment banks now see palladium trading in a USD 950 - 1,200 range through 2027.