NEW YORK: Palladium eased off a record high on Monday after Russian and Ukrainian officials held a third round of ceasefire talks, prompting some investors to lock in profits from a blistering rally, while gold held firm on strong safe-haven demand.

Spot palladium was up 0.2% at $3,008.82 per ounce by 11:53 a.m. EST (1653 GMT). Prices have fallen more than $400 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 on Monday, 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. Spot gold gained 0.6% to $1,980.52 per ounce, after earlier scaling its highest since Aug. 19, 2020 at $2,002.31.

US gold futures rose 0.9% to $1,983.60. “If we do not see some kind of a de-escalation (between Russia and Ukraine) soon, we are going to see gold at a record high sooner rather than later,” said Jim Wyckoff, senior analyst at Kitco Metals.

“The stock market is in a messy situation right now. You are going to continue to see selling pressure and that is also bullish for the metal.”

Wall Street’s main indexes dropped 1% as a spike in crude oil prices fueled concerns about spiraling inflation.

Bullion is considered a safe store of value during times of political and financial uncertainty.