NEW YORK (Scrap Register): Palladium has continued its ascent to fresh record highs, fueled by expectations for a tight supply-demand scenario, said commodities brokerage SP Angel.
Spot palladium peaked at $1,183.55 overnight before backing off to $1,180.05, down $1.70 for the day, as of 9:22 a.m. EST.
Spot palladium touched fresh highs on signals of diminishing supplies. Prices have been supported by projections for supply deficits amid strong and growing demand for its use in automobile pollution-controlling catalytic converters.
This became most apparent as holdings of exchange-traded products backed by palladium fell 1.4% Tuesday to the lowest since February 2009 as users of the metal lease material from ETF holders to meet their needs, SP Angel added.