Palladium prices gain over 1% in American trade

Palladium prices rose over one percent past $900 as the dollar index lost ground, following earlier data from the US, the world's largest economy.

As of 03:06 GMT, palladium rose 1.24% to $902.37 an ounce from the opening of $891.24, while the dollar index shed 0.02% to 93.53 from the opening of 93.55. 

Earlier US data showed producers prices shrank 0.1% in July, compared to June's 0.1% rise, while core prices fell 0.1%, compared to a 0.1% rise in June, while analysts expected a 0.2% growth. 

On a yearly basis, both producer and core prices slowed unexpectedly last month. 

Similarly, unemployment claims for the week ending august 5 rose to 244 thousand from 241K, above expectations of 240K, while continuing claims for the week ending July 29 fell 16 thousand to 1.951 million from 1.967M, below expectations of 1.96M.  

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. 

The bank also expected more gains for palladium prices in the next 12 months to 2014 highs