Palladium ETF's Moment to Shine | ETF Trends

While the gold and silver have been flagging, palladium is looking much more polished, with the bullion-related exchange traded fund now testing its long-term trend.

The ETFS Physical Palladium Shares (NYSEArca: PALL) was up 1.5% Monday, trading above its 200-day simple moving average. PALL has increased 6.0% over the past month and gained 2.4% year-to-date.

Palladium futures extended its week-long streak Monday, rising 1.7% to $831.8 per ounce, a five-and-a-half month high.

Traders have been piling into the precious metal on concerns that sanctions against Russia, the world’s largest palladium producer, over its support of rebel fighters in Ukraine would diminish supplies, reports Ttayana Shumsky for the Wall Street Journal.

In Switzerland, U.S. Secretary of State, John, Kerry, was expected to warn Russian Foreign Minister, Sergei Lavrov, of further U.S. sanctions if Russia did not adhere to a ceasefire deal, The Guardian reported.

According to Swiss trade data, Russian exports of palladium to Switzerland in January jumped to their highest since May 2014, but the pick up is not too surprising and won’t likely change the large deficit in supply this year, reports Ian Walker for Bulliondesk.

“Notably, it is a pickup in powder as opposed to semi-manufactured imports which has accounted for the bulk of shipments in recent months,” Barclays said in a note. “The increase in shipments in April and May last year were also in powder form. A pickup in the winter months is not uncommon but in absolute terms the volumes are still light.”