Palladium Nears 13-Year High on Supply Concerns

Palladium prices neared a 13-year high after a setback in talks to end a mining strike in South Africa raised concerns about future supplies of the precious metal. Investors and traders say global supplies of palladium are starting to run low, meaning there could be a shortage if miners don’t go back to work soon.

Prices have risen 14% since the strike began in January. The lower supplies go, the higher prices will rise, traders say. On Tuesday, palladium for September delivery, the most actively traded contract, closed at $854.55 a troy ounce on the Comex division of the New York Mercantile Exchange, the highest since February 2011.

A move above $862 an ounce would put prices at the highest level since February 2001.