diff --git a/OpenRA.Game/Graphics/CursorProvider.cs b/OpenRA.Game/Graphics/CursorProvider.cs
index 823e231c41..0896b21be9 100644
--- a/OpenRA.Game/Graphics/CursorProvider.cs
+++ b/OpenRA.Game/Graphics/CursorProvider.cs
@@ -14,12 +14,13 @@ using System.IO;
 using System.Linq;
 using System.Xml;
 using OpenRA.FileFormats;
+using OpenRA.Traits;
 
 namespace OpenRA.Graphics
 {
 	public static class CursorProvider
 	{
-		public static Dictionary<string, Palette> Palettes { get; private set; }
+		public static HardwarePalette Palette;
 		static Dictionary<string, CursorSequence> cursors;
 
 		public static void Initialize(string[] sequenceFiles)
@@ -34,9 +35,16 @@ namespace OpenRA.Graphics
 				ShadowIndex[ShadowIndex.Length - 1] = Convert.ToInt32(sequences.NodesDict["ShadowIndex"].Value);
 			}
 
-			Palettes = new Dictionary<string, Palette>();
+			var palettes = new Dictionary<string, Palette>();
 			foreach (var s in sequences.NodesDict["Palettes"].Nodes)
-				Palettes.Add(s.Key, new Palette(FileSystem.Open(s.Value.Value), ShadowIndex));
+				palettes.Add(s.Key, new Palette(FileSystem.Open(s.Value.Value), ShadowIndex));
+
+			Palette = new HardwarePalette();
+			foreach (var p in palettes)
+				Palette.AddPalette(p.Key, p.Value, false);
+
+			// Generate initial palette texture
+			Palette.Update(new IPaletteModifier[] {});
 
 			foreach (var s in sequences.NodesDict["Cursors"].Nodes)
 				LoadSequencesForCursor(s.Key, s.Value);
@@ -55,6 +63,17 @@ namespace OpenRA.Graphics
 			return cursors.ContainsKey(cursor);
 		}
 
+		public static void DrawCursor(Renderer renderer, string cursorName, int2 lastMousePos, int cursorFrame)
+		{
+			var cursorSequence = CursorProvider.GetCursorSequence(cursorName);
+			var cursorSprite = cursorSequence.GetSprite(cursorFrame);
+						
+			renderer.SpriteRenderer.DrawSprite(cursorSprite,
+			                                   lastMousePos - cursorSequence.Hotspot,
+			                                   Palette.GetPaletteIndex(cursorSequence.Palette),
+			                                   cursorSprite.size);
+		}
+
 		public static CursorSequence GetCursorSequence(string cursor)
 		{
 			try { return cursors[cursor]; }
diff --git a/OpenRA.Game/Graphics/Viewport.cs b/OpenRA.Game/Graphics/Viewport.cs
index 4a15d081ac..af87f627ed 100755
--- a/OpenRA.Game/Graphics/Viewport.cs
+++ b/OpenRA.Game/Graphics/Viewport.cs
@@ -127,14 +127,9 @@ namespace OpenRA.Graphics
 			using( new PerfSample("render_widgets") )
 			{
 				Ui.Draw();
-				var cursorName = Ui.Root.GetCursorOuter(Viewport.LastMousePos) ?? "default";
-				var cursorSequence = CursorProvider.GetCursorSequence(cursorName);
-				var cursorSprite = cursorSequence.GetSprite((int)cursorFrame);
 
-				renderer.SpriteRenderer.DrawSprite(cursorSprite,
-					Viewport.LastMousePos - cursorSequence.Hotspot,
-					wr.Palette(cursorSequence.Palette).Index,
-					cursorSprite.size);
+				var cursorName = Ui.Root.GetCursorOuter(Viewport.LastMousePos) ?? "default";
+				CursorProvider.DrawCursor(renderer, cursorName, Viewport.LastMousePos, (int)cursorFrame);
 			}
 
 			using( new PerfSample("render_flip") )
diff --git a/OpenRA.Game/Graphics/WorldRenderer.cs b/OpenRA.Game/Graphics/WorldRenderer.cs
index fca66abb50..830b80acb7 100644
--- a/OpenRA.Game/Graphics/WorldRenderer.cs
+++ b/OpenRA.Game/Graphics/WorldRenderer.cs
@@ -42,8 +42,6 @@ namespace OpenRA.Graphics
 		{
 			this.world = world;
 			palette = new HardwarePalette();
-			foreach (var p in CursorProvider.Palettes)
-				palette.AddPalette(p.Key, p.Value, false);
 
 			palettes = new Cache<string, PaletteReference>(CreatePaletteReference);
 			foreach (var pal in world.traitDict.ActorsWithTraitMultiple<IPalette>(world))