Palladium drops on global demand concerns

Palladium futures slumped on Monday, despite a rebound in demand for industrial metals, as palladium was weighed down by mounting concerns about weak global demand from the automotive industry.

The major automotive makers started to manufacture respirators and masks amid a global shortage of medical supplies.

Consequently, this lowered demand for palladium, which is heavily used in the manufacturing of car components that reduce exhaust emissions.

President Donald Trump ordered major automotive makers such as Tesla, General Motors, Ford and even Apple to start manufacturing respirators and other medical supplies to provide help in the fight against the coronavirus.

Palladium June futures lost 2.2% to trade at $2,059 an ounce as of 13:33 GMT, after hitting today's high at $2,137 and a low of $2,020.