- Write by:
-
Friday, March 13, 2020 - 11:23:22 AM
-
785 Visit
-
Print
Mining News Pro - Palladium, one of last year’s best-performing commodities, tumbled the most on record and approached a bear market as a strengthening dollar and coronavirus fears hammer precious metals and other raw materials.
According to Mining News Pro - Palladium futures slumped as much as 28% on the New York Mercantile Exchange, the most in records going back to 1986. The abrupt turn comes after shortages of the metal used in pollution-control devices pushed prices up by more than half last year.
Fears of economic fallout from the virus, along with slowing Chinese car sales, are now battering the commodity. Investors are rushing to the greenback amid the massive sell-off in U.S. equities, with an index of the dollar rising the most since 2016.
“Physical markets are yet to feel the full impact of the hit to end-use demand,” Citigroup Inc. analysts led by Ed Morse said in a note. “For example, palladium is still being processed into auto-catalysts ex-China while autos sales are very weak globally. This won’t go on.”
Car sales globally are expected to decline 2.5%, Moody’s said, while LMC Automotive sees a retrenchment of as much as 4.4%. The U.S. is set to see a decline of about 9% this year, Morgan Stanley expects. In China, sales are set to slump by 8% in 2020 as the coronavirus weaken consumer demand.
Palladium futures for June delivery dropped 28% to $1,615.20 an ounce at 11:44 a.m. on the Nymex. A settlement at or below $2169.36 would be at least 20% below the closing peak in late February, marking a bear market.
Platinum futures for April delivery declined 13% to $759.90 an ounce on the Nymex. A close at or below $820.48 would put the metal into a bear market.
On the Comex in New York, gold futures slid 4.4% and silver fell 6.6%.
Short Link:
https://www.miningnews.ir/En/News/501303
Battery metal prices are on the floor, and massive expansions by Chinese miners have been instrumental in driving them ...
Indonesian state-controlled miner Aneka Tambang (Antam) aims to launch the construction of two nickel processing ...
Aluminum prices touched an 11-week high on Monday over concerns over slow recovery in production in China’s Yunnan ...
China’s steel industry is young compared to Europe’s, and its transition to net zero may be slower as it takes a ...
Iron ore futures were mixed on Friday, but set for a weekly gain on mounting anticipation of a pick up in demand in top ...
The Pataz Unified Command, whose members hail from the National Armed Forces and the National Police, detained three men ...
Newmont Corp. has kicked off the sale of its Akyem gold mine in Ghana, which is attracting interest from potential ...
The United States is looking to Africa to help loosen a Chinese stranglehold on battery metals and reduce Russia’s ...
Copper prices soared on Wednesday to their highest in seven months after Chinese smelters, which process half of the ...
No comments have been posted yet ...