Commodities Advance Boosts Miners as European Equities Decline
- Silver tops $20 an ounce as nickel rises to eight-month high
- Italian banks decline after ECB sends letter to Monte Paschi
Did Brexit Create a Central Bank Inflation Trade-Off?
Precious metals led commodities higher, boosting mining stocks, on speculation central banks in some of the world’s leading economies will step up monetary stimulus in the wake of Britain’s decision to leave the European Union.
Silver touched a two-year high and gold rallied for a fourth day after the Brexit vote spurred demand for havens. Brent crude held above $50 a barrel as Nigerian militants threatened more supply disruptions, while nickel climbed to an eight-month high after the Philippines announced plans to audit mining operations. Miners in the Stoxx Europe 600 Index gained while automakers and builders fell. Currencies of commodity producers were the best performers. The Ibovespa rallied to an eight-week high in Sao Paulo.