Palladium drops 2% below $1,000

Palladium prices fell over two percent for the twelfth session out of sixteen away from record highs hit on December 6, as the dollar index rose amid a lack of data from the US, the world's largest economy. 

As of 02:59 GMT, palladium fell 2.44% to $988.83 an ounce from the opening of $1,013.51, while the dollar index rose 0.33% to 89.88 from the opening of 89.58. 

Earlier from the US, Federal Reserve Bank of New York President William Dudley spoke about banking culture at an event jointly hosted by Thomson Reuters and the European American Chamber of Commerce, in New York, while markets await Federal Reserve Bank of San Francisco President John Williams' speech at a community leaders luncheon, in Honolulu.

Palladium, one of the rarest metals on earth - 30 times rarer than gold- continues to move away from record highs as dollar rebounds strongly from three-year lows, while noting that Russia and South Africa provide over 75% of global palladium supplies. 

Otherwise, Standard Chartered recently projected a supply deficit of 563 thousand ounces in the palladium market this year, compared to a deficit of 459 thousand in 2016, while expecting upbeat gains throughout the ongoing 12 months, which was reflected in palladium's surge to record highs.