Palladium futures slipped nearly 5% to around $1,890 an ounce, likely due to profit-taking after an end-of-year rally that pushed prices to a three-year high. Investors also weighed geopolitical risks after comments from President Donald Trump suggesting meaningful progress in talks with Ukraine, even as negotiations are expected to continue for several weeks. Ukrainian President Volodymyr Zelenskiy echoed the cautious optimism, noting most elements of a framework are in place and security guarantees with the US are settled, though some sticking points remain. Meanwhile, China’s Guangzhou Futures Exchange will adjust trading limits and minimum position sizes for palladium and platinum contracts starting December?29, potentially affecting liquidity and trading dynamics for the metals. Nevertheless, palladium is still headed for a roughly 100% gain for the year, the largest since 2009, supported by strong industrial demand from the auto sector, tight supply, and robust ETF inflows.
