Most of the time, itchy palms are simply a result of dry skin, which can be treated with common moisturizer. Occasionally, however, itchy palms are a symptom of an underlying condition such as psoriasis.
Psoriasis commonly results in itchy palms and feet. It is usually accompanied by patches of red skin in addition to soreness of the affected area. Eczema is another condition that causes itchy palms. Eczema inflames the skin and causes itchiness, blisters, and red, cracked or scaly skin. Sometimes the first signs of diabetes appear as a skin condition that results in itchy hands, feet, arms, legs and buttocks.