Palladium futures slide below $1,330 after one-week high

Palladium futures fell below $1,330, easing from a one-week high as profit-taking and a firmer US dollar limited gains ahead of US inflation data.

The greenback strengthened on safe-haven demand following US sanctions on Iran and its trading partners, reducing demand for dollar-denominated precious metals after their recent gains.

Investors also took profits across the metals complex following the US Treasury’s announcement of increased buybacks of long-term government debt aimed at lowering elevated borrowing costs.

Attention now turns to US inflation data on Wednesday, which could provide further clues on the outlook for monetary policy.

On the supply side, concerns over lower Russian palladium output and reduced refined production from South African processing disruptions continued to provide underlying support.