What Are Palladium Futures? PA Explained
Learn what PA Palladium futures are: 100-ounce contracts quoted in dollars per ounce, their $50 outright tick, and physical delivery of 99.95-pure metal.
Direct answer
Palladium futures, commonly identified as PA, are NYMEX contracts for 100 troy ounces quoted in U.S. dollars and cents per ounce. On CME Globex, an ordinary outright minimum movement of 0.50 USD per ounce equals $50.00 per contract, while implied spreads and settlement use 0.10 steps. Standard PA futures are physically deliverable in 99.95-pure plate or ingot, with ten Accumulated Certificates of Exchange as an alternative delivery form, rather than cash settled.
PA names a dated NYMEX palladium agreement, not a spot ounce quote
PA is the product root for NYMEX Palladium futures. A complete agreement also has a contract month and year, so a value displayed beside PA is not automatically a current spot quote for an ounce or a perpetual metal holding. It is a labelled observation of a futures contract, and the label determines which rules and delivery process apply.
How to read Palladium futures quotes shows which fields make an observation usable. Palladium futures expiration and delivery explains why the named month matters when a contract approaches its delivery period.
The 100-ounce PA unit converts a quoted price into contract dollars
Chapter 106 sets one standard PA contract at 100 troy ounces of palladium at minimum 99.95 purity, with a 10 percent weight tolerance and no piece under 10 ounces. Because quotation is dollars per ounce, a ten-dollar move per ounce equals $1,000 per contract. The unit describes the standardized quantity; it is not a claim about an account balance, margin, or appropriate order size.
Futures tick value and contract multipliers derives the PA $50.00 outright tick from the 100-ounce unit. Futures position sizing treats that contract unit, the number of contracts, and an account's own limits as three separate inputs.
PA outright ticks differ from spread and settlement steps
For an ordinary PA outright trade on CME Globex, the minimum fluctuation is 0.50 USD per ounce, or $50.00 per contract. Implied spread functionality, daily settlement, and final settlement instead use 0.10 steps. TAS prints track settlement within ten 0.10 ticks. Outright ticks and settlement steps measure different things: one prices aggressive execution, the other fixes official marks.
Record the observation type before calculating. A $50 outright step and a $10 settlement step answer different questions even when both start from the same month-year.
Deliverable 99.95-pure plate, ingot, or ten ACEs backs the PA design
Palladium delivered against PA must be homogeneous cast plate or ingot at minimum 99.95 purity from an Exchange-approved brand, weighed to a thousandth of an ounce, with larger units up to 192.904 ounces permitted alongside the standard 100-ounce unit. Ten Accumulated Certificates of Exchange can satisfy one contract. Chapter 106 points to Chapter 7 for the broader framework, and depository plus clearing arrangements matter for an actual open position.
Cash-settled versus physically delivered futures draws the general settlement-design line, and PA sits on the physically deliverable side. What are Platinum futures covers the sister platinum-group contract for readers comparing the two metals.
A workable PA record separates quotation facts from account facts
Before relying on a PA number, preserve the root, month-year, dollars-per-ounce convention, trade or quote type, price field, source, timestamp, session, and data status. Futures contract month codes helps turn a compact PA symbol into the agreement whose delivery calendar applies.
Margin is collateral, not a substitute for the 100-ounce contract unit or a recommendation to open a position. Futures margin versus leverage explains that distinction without inferring an account-specific requirement.
This guide explains standard Palladium futures mechanics. It does not provide a live palladium price, a metals forecast, margin requirement, trade recommendation, or broker delivery instruction. Current NYMEX rules, data terms, clearing procedures, and account documents govern a particular contract.
Common questions
What does PA mean in futures?
PA is the NYMEX product root for Palladium futures. Add a contract month and year to identify the particular standardized agreement.
How many ounces does one PA contract represent?
One standard PA contract represents 100 troy ounces of palladium at minimum 99.95 purity, with a 10 percent weight tolerance and no piece under 10 ounces.
What is the ordinary PA tick value?
The ordinary CME Globex outright minimum movement is 0.50 U.S. dollar per ounce, equal to $50.00 per standard PA contract. Settlement steps are finer at 0.10.
Why do PA settlement prints look finer than trade ticks?
Daily and final settlement plus implied spreads use 0.10 steps while outright execution uses 0.50 steps. The two grids serve marking versus trading, so keep their labels apart.
Are Palladium futures cash settled?
No. Standard PA futures are physically deliverable under Chapter 106 and the applicable delivery procedures. Current clearing and depository documents determine the handling of a particular open position.