Oil, metals and grains tumbled as Greece’s vote against further austerity and China’s emergency measures to support domestic stocks shook confidence in global economic growth, sending investors to haven assets.
The Bloomberg Commodity Index fell as much as 1.8 percent to 100.0574, the biggest intraday loss since May 26, and was at 100.0924 by 1:20 p.m. in Singapore.
The gauge is down 4.1 percent this year, tracking declines in base metals and crops. Sixty-one percent of Greek voters on Sunday rejected more spending cuts and tax increases, significantly raising the chance of the country’s exit from the euro.
China, the world’s top energy, grains and metals consumer, suspended initial public offerings and brokerages pledged to buy shares in measures aimed at halting the steepest three-week stock plunge since 1992.
“Faced with a combination of the Greek ‘no’ vote, weakening commodity prices and nervousness about the possible spill over effects of plummeting Chinese markets, investors will be thinking safety first,” Ric Spooner, a chief analyst at CMC Markets in Sydney, wrote in an e-mailed note.
Brent crude lost as much as 1.6 percent, sliding below $60 a barrel for the first time since April. All metals fell on the London Metal Exchange, with nickel dropping as much as 2.5 percent.
Wheat for September on the Chicago Board of Trade declined as much as 2.3 percent, while corn and soybeans both lost at least 1.5 percent. The yield on 10-year Treasuries plunged 11 basis points.
The Shanghai Composite Index rose 0.8 percent, paring an earlier rally of as much as 7.8 percent. The index slumped 29 percent in the last three weeks.
The MSCI Asia Pacific Index slid 2.4 percent on Monday Gold failed to sustain an earlier gain as the Bloomberg Dollar Spot Index climbed to the highest level in almost one month, curbing demand.
bloomberg.com
The Bloomberg Commodity Index fell as much as 1.8 percent to 100.0574, the biggest intraday loss since May 26, and was at 100.0924 by 1:20 p.m. in Singapore.
The gauge is down 4.1 percent this year, tracking declines in base metals and crops. Sixty-one percent of Greek voters on Sunday rejected more spending cuts and tax increases, significantly raising the chance of the country’s exit from the euro.
China, the world’s top energy, grains and metals consumer, suspended initial public offerings and brokerages pledged to buy shares in measures aimed at halting the steepest three-week stock plunge since 1992.
“Faced with a combination of the Greek ‘no’ vote, weakening commodity prices and nervousness about the possible spill over effects of plummeting Chinese markets, investors will be thinking safety first,” Ric Spooner, a chief analyst at CMC Markets in Sydney, wrote in an e-mailed note.
Brent crude lost as much as 1.6 percent, sliding below $60 a barrel for the first time since April. All metals fell on the London Metal Exchange, with nickel dropping as much as 2.5 percent.
Wheat for September on the Chicago Board of Trade declined as much as 2.3 percent, while corn and soybeans both lost at least 1.5 percent. The yield on 10-year Treasuries plunged 11 basis points.
The Shanghai Composite Index rose 0.8 percent, paring an earlier rally of as much as 7.8 percent. The index slumped 29 percent in the last three weeks.
The MSCI Asia Pacific Index slid 2.4 percent on Monday Gold failed to sustain an earlier gain as the Bloomberg Dollar Spot Index climbed to the highest level in almost one month, curbing demand.
bloomberg.com
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