Alcoa Surprise Loss Spells More Woes For World Economy
- Metals have slumped as hawkish central banks fight inflation
- Aluminum has fallen by nearly half from a record in March
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A surprise quarterly loss by US economic bellwether and aluminum giant Alcoa Inc. added to jitters over the world economy as the metal used in everything from iPhones to Pepsi cans hits headwinds.
Metals have slumped as hawkish central banks fight inflation, Europe faces an energy crisis and China’s economy struggles to recover. Goldman Sachs Group Inc. says commodities are already pricing a 5% or more hit to industrial demand in major economies, and that more declines for metals are due through early 2023.