The main Shanghai Futures Exchange (SHFE) palladium futures contract fell 3.03% by the midday close on May 20, 2026. This decline made palladium one of the worst-performing precious metals of the session.
A broader risk-off sentiment in China's domestic markets drove down most base and precious metals. SHFE silver fell 4.41%. SHFE gold fell 1.97%.
These drops indicate that pressure on palladium stemmed from a wider market sell-off rather than metal-specific news. No major international news regarding palladium supply from Russia or South Africa triggered the move.
Instead, regional market dynamics and positioning within China drove the sell-off. Chinese markets also saw declines in industrial metals, including copper and tin.