Palladium catches steam after record rally on Ukraine crisis

Spot palladium was down 2.5% at $2,926.49 per ounce by 10:13 a.m. EST (1513 GMT). Prices have fallen more than $500 since scaling an all-time of $3,440.76 around 0836 GMT.

Western nations have piled sanctions on Moscow. Russia accounts for 40% of global production of palladium, used by automakers in catalytic converters to curb emissions.

Delegations from Russia and Ukraine have started a third round of talks in Belarus, the Interfax news agency reported, the 12th day of Russia's invasion of Ukraine.

"(Given) the fact that they're talking right now after a lot of ratcheting up of rhetoric over the weekend and a deteriorating situation in Ukraine, traders are kind of pausing for a moment here and looking to book profits," RJO Futures senior market strategist Bob Haberkorn said.

"The severity of the war in Ukraine and the uncertainty around its future trajectory have fuelled broad-based gold buying from safe-haven seekers, pushing prices towards $2,000 per ounce," Julius Baer analyst Carsten Menke wrote in a note.

Bullion is considered a safe store of value during such uncertainties and also a hedge against rising inflation. Silver eased 0.3% to $25.60 per ounce, while platinum was up 1% to $1,132.14.