Palladium Continues to Draw Support From US Car Sales

Bloomberg reported that palladium is drawing more attention from investors as US car sales continue to record stronger growth. ETF holdings of the metal hit a three-month high this week, according to the news outlet.

As quoted in the publication:

Metal in palladium-backed ETPs climbed to 92.4 metric tons, the highest since Feb. 19, according to data collated by Bloomberg as of Wednesday. Volumes traded on the Nymex in New York were more than double the 100-day average for the time of day on Thursday.

Palladium, mainly used in emissions control systems of gasoline-driven vehicles, is drawing support from recent U.S. data indicating stronger growth in the world’s largest economy. Usage of the metal by vehicle makers is expected to climb to a record this year after three years of supply shortages. U.S. automakers reported the best April sales in a decade earlier this month.

Click here to read the full article from Bloomberg.