Palladium slips despite falling dollar and demand hopes

Palladium prices fell on Thursday, despite the US dollar's drop against most of its peers, and optimism about the global economic recovery.

The global recovery will lift demand for industrial metals, as industrial activity will return to pre-pandemic levels.

While this comes in tandem with the world's shift from fossil fuels to  other environmentally-friendly methods such as electric cars.

Bearing in mind palladium is heavily used in the manufacturing of car parts that reduce carbon emissions and air pollutants, which would lead to increased demand for palladium.

The dollar index fell against a basket of major currencies by 0.3% to 90.6 points as of 14:30 GMT, after hitting a high of 90.9 points and a low of 90.5 points.

Palladium December futures fell 0.7% to $2,352 an ounce as of 14:32 GMT, with a high of $2,395 and a low of $2,351.