Nowhere to Hide From Inflation Fears as Commodities Join Rout
- Growth concerns, strong dollar halt this year’s rally
- Crude oil tumbles 7%, coffee falls most in two months
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Even commodity futures aren’t safe from the inflation fears that are gripping global markets. Crude oil plunged 7%, coffee had its biggest loss in two months, while corn and copper also tumbled.
Fresh concerns that the Federal Reserve will let inflation accelerate sparked a selloff in most risk assets on Thursday. U.S. equities dropped from records and Treasury yields jumped. Those moves spilled over into commodities, with physical demand heavily tied into global growth expectations.