Palladium Steadies Near 7-Week High
2026-08-07 17:22
By
Larissa Caser
1 min. read
Palladium futures held near $1,370 per ounce, remaining near a seven-week high as weaker-than-expected US jobs data reduced expectations of further Fed tightening, while Middle East tensions capped gains.
US nonfarm payrolls unexpectedly declined in July, prompting markets to lower expectations of a near-term Fed rate hike to 43.9% from 57% before the report.
However, President Donald Trump stated he believed the war would end soon, while attacks by Iran and Iran-backed Houthi militants continued to fuel concerns over energy supply disruptions and inflation.
Meanwhile, US consumers continued to favor hybrid vehicles over battery-electric models in the first half of 2026, supporting demand for palladium used in catalytic converters.
However, broader demand remained under pressure as Chinese EV sales rose for a third straight month in July.
Nornickel, the world's largest palladium producer, expects a global palladium market surplus in 2026 as rising EV adoption weakens long-term demand.