Metals From Copper to Gold Slump as Inflation Fears Roil Markets

Metals from gold to copper sank in a broad selloff in financial markets amid investor concerns that a war-driven surge in inflation may force global central banks to raise borrowing costs and drag down economic growth.

Bullion fell as much as 3% to under $4,520 an ounce, on pace for a roughly 3.3% weekly decline. Bond yields rose across the globe as doubts mounted over how quickly Middle East oil supplies can return to normal, while the dollar headed for its longest run of gains since March. That’s putting pressure on commodities as they’re priced in the greenback. Higher borrowing costs tend to cool the economy and weaken demand for metals like copper.