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Shares fall on commodity sell-off | Shares fall on commodity sell-off |
(40 minutes later) | |
Europe and Asian stock markets fell as investors cashed in profits from record high commodity prices and mining and oil shares tumbled. | Europe and Asian stock markets fell as investors cashed in profits from record high commodity prices and mining and oil shares tumbled. |
Oil prices dropped below $100 for the first time in two weeks, gold sank to a one-month low and copper fell too. | Oil prices dropped below $100 for the first time in two weeks, gold sank to a one-month low and copper fell too. |
Traders fears that a US slowdown will lead to a fall in demand for raw materials. | Traders fears that a US slowdown will lead to a fall in demand for raw materials. |
In Europe, the UK's FTSE 100 fell 0.5%, while in Asia there were stronger falls, with Hong Kong ending down 3.5%. | |
The price of gold fell 3% to $912.85 an ounce and in London, a barrel of Brent crude fell $1.82 to $98.90. | The price of gold fell 3% to $912.85 an ounce and in London, a barrel of Brent crude fell $1.82 to $98.90. |
"The US is still the biggest contributor to global growth, so any slowdown will have implications for commodity prices," Jason Teh at Investors Mutual in Sydney said. | "The US is still the biggest contributor to global growth, so any slowdown will have implications for commodity prices," Jason Teh at Investors Mutual in Sydney said. |
Shares in mining companies were down sharply. In London, Anglo American fell 4.7 percent, BHP Billiton was down 2.9 percent and Rio Tinto was 3.3 percent lower. | Shares in mining companies were down sharply. In London, Anglo American fell 4.7 percent, BHP Billiton was down 2.9 percent and Rio Tinto was 3.3 percent lower. |
On Wall Street, the Dow Jones ended 2.3% lower on Wednesday. | On Wall Street, the Dow Jones ended 2.3% lower on Wednesday. |