Palladium hits record high on strained supplies, gold dips 1%
By Swati Verma (Reuters) - Palladium soared to a record high on Tuesday on worries over short supplies of the metal used in emissions controlling devices in automobiles, while gold fell 1% after U.S. Treasury Secretary Janet Yellen said interest rates may need to rise. Spot palladium eased 0.2% to $2,965.35 per ounce by 12:32 p.m
By Swati Verma
(Reuters) - Palladium soared to a record high on Tuesday on worries over short supplies of the metal used in emissions controlling devices in automobiles, while gold fell 1% after U.S. Treasury Secretary Janet Yellen said interest rates may need to rise.
Spot palladium eased 0.2% to $2,965.35 per ounce by 12:32 p.m. EDT (1632 GMT), after hitting an all-time high of $3,017.18.
"There are stricter pollution controls globally that we've not seen in the past, which means vehicles that were not previously required to use auto-catalysts will now have to, and hence more demand," said Bart Melek, head of commodity strategies at TD Securities.
"For the foreseeable future, the market will be in physical deficit and prices will go higher," he added.
Concerns about supply shortages were exacerbated after top producer Nornickel announced disruptions at two mines due to flooding.
Spot gold, meanwhile, fell over 1% after Yellen said U.S. interest rates may need to rise to prevent the economy from overheating as more support programs come on line.
Gold was last down 1% at $1,775.02. U.S. gold futures were down 1% at $1,774.70.
Higher interest rates increase the opportunity cost of holding non-yielding bullion.
"Gold failing for the fourth time in two weeks ahead of $1,800, which has been the top of the range, triggered some profit taking before it dove $20 on Yellen's unexpected comment," said Tai Wong, head of metals derivatives trading at BMO.
"Yellen had a long and consistent history as a dove at the Fed."
Also reducing bullion's allure for other currency holders was a stronger dollar.
"We continue to see prices averaging $1,775/oz in Q2, given the physical market has cushioned the downside, ETP (exchange-traded products) outflows have started to slow and the dovish Fed messaging keeps risks skewed to the upside," said Standard Chartered analyst Suki Cooper.
Silver fell 2% to $26.34 per ounce, after hitting its highest since Feb. 26, while platinum dipped 0.6%, to $1,222.93.
(Reporting by Swati Verma and Eileen Soreng in Bengaluru; Editing by Marguerita Choy and Mark Potter)
This story has not been edited by Firstpost staff and is generated by auto-feed.
(Reuters) -Ximalaya, backed by China's Tencent Holdings, filed for an initial public offering (IPO) in the United States on Friday, cashing in on growing demand as more people tune in to podcasts while staying at home during the pandemic. China's Qiniu Ltd, a cloud-based platform-as-a-service provider backed by Alibaba Group Holding Ltd, also filed paperwork for a U.S. IPO
By Greg Roumeliotis (Reuters) - Donerail Group, an investment firm led by former activist hedge fund Starboard Value LP executive Will Wyatt, has amassed a stake in Turtle Beach Corp and is pushing the maker of gaming headsets to explore a sale, people familiar with the matter said on Friday. The move represents a bet that Turtle Beach could attract acquisition interest from peers such as Corsair Gaming Inc and GN Store Nord A/S, as the video game market continues to benefit from people looking for entertainment options at home during the COVID-19 pandemic
By John McCrank, Saqib Iqbal Ahmed and Lawrence Delevingne NEW YORK (Reuters) - Recent volatility in a handful of so-called meme stocks is putting the spotlight back on the tussle between individual investors and short sellers, months after a wild ride in GameStop captivated Wall Street’s attention. Stocks that have notched big swings this month include laser-manufacturer MicroVision Inc, a favorite on Reddit’s popular WallStreetBets forum, whose shares have risen as much as 170% since April 20 before tumbling in recent days