Palladium futures hovered above $1,900 an ounce, recovering from recent losses as investor worries over the Federal Reserve’s independence offset easing geopolitical tensions after President Donald Trump withdrew planned tariffs on eight European nations. Trump also unveiled a framework for transatlantic cooperation and ruled out military action in Greenland. He added that he is close to selecting a new Fed chair and favors keeping White House economic adviser Kevin Hassett on the Fed Board, fueling concerns over central bank autonomy. Palladium remains near its highest levels since 2022, supported by strong industrial demand. China’s December industrial production rose 5.2% year-on-year, exceeding forecasts and underscoring the resilience of global manufacturing, which continues to underpin metal demand.
