Core Viewpoint - The palladium futures market is experiencing a volatile upward trend, with significant price fluctuations observed in recent trading sessions [1][2]. Group 1: Market Performance - As of February 3, the main palladium futures contract opened at 418.00 CNY/ton, reaching a high of 444.70 CNY and a low of 414.15 CNY, reflecting an approximate increase of 4.71% [1]. - The overall performance of the palladium market is characterized by strong fluctuations, indicating a robust market sentiment [2]. Group 2: Institutional Insights - Guoxin Futures notes that macroeconomic factors, such as hawkish comments from Federal Reserve officials and economic data, are influencing the financial attributes of platinum and palladium [2]. - Hualian Futures highlights that the industrial demand for platinum and palladium is primarily driven by catalytic converters in fuel vehicles, suggesting that the market's movements may be more reactive to overall sector sentiment rather than fundamental support [2]. - Ruida Futures anticipates continued high volatility in the precious metals market, with platinum potentially showing more resilience compared to palladium due to uncertainties in South African power supply and Russian exports, alongside new automotive emission regulations [2]. Group 3: Price Levels and Support - The support levels for platinum and palladium are identified as 1800 USD/ounce and 1500 USD/ounce, respectively, indicating critical price points for market participants to monitor [2].

Group 1 - The core viewpoint from Hualian Futures suggests to buy platinum PT2606 opportunistically, citing a global platinum shortage for two consecutive years, with a projected deficit of 992,000 ounces in 2024 and continued shortages in 2025 [2] - The supply of platinum is shrinking while industrial demand is rising, stabilizing jewelry and investment demand, highlighting the supply-demand imbalance that is expected to persist in the coming years [2] - In contrast, palladium demand is under pressure due to the surge in penetration of new energy vehicles in China, leading to limited support for palladium's fundamentals in the short term [2] Group 2 - Galaxy Futures views platinum as having a short-term bullish outlook, influenced by macroeconomic factors such as the December FOMC meeting signaling easing, including a 25 basis point rate cut and a bond purchase plan [2] - The market is trading on strong expectations of further Fed rate cuts, with platinum and palladium being part of the precious metals group that is experiencing upward price movements due to increased risk appetite [2] - The fundamentals for platinum indicate a tight supply-demand situation in 2025, with visible inventory showing signs of depletion, providing support for platinum prices [2]