Commodities Sector Destroyed as Global Slowdown Looks Imminent
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On a day when panic seemed to be hiding around every corner on Wall Street, the energy complex (as measured by the Energy Select Sector SPDR ETF (NYSE: XLE)) pushed below levels not seen since the end of last year.
As traders dealt with growth fears overseas in Europe and related to the Fed's forecast for "significant downside risks" in the US, the Dow plunged as much as 527 points to a fresh 52-week low of 10,597. Bulls stepped forward to end the session however, and the index closed down 391 points to 10,733.
In the commodities sector, gold plunged $66 per ounce as the dollar rallied in the face of the Euro concerns. News from the Fed Wednesday that it will not raise the amount of equity in the US's balance sheet also added to downside in the metal.
Oil traders, responding to worries a global slowdown could hurt demand for gasoline, pushed NYMEX crude down about 6 percent to just barely over $80 per barrel.
Silver was the largest loser, down over 11 percent, while copper was closely behind, down 8.8 percent.
As traders dealt with growth fears overseas in Europe and related to the Fed's forecast for "significant downside risks" in the US, the Dow plunged as much as 527 points to a fresh 52-week low of 10,597. Bulls stepped forward to end the session however, and the index closed down 391 points to 10,733.
In the commodities sector, gold plunged $66 per ounce as the dollar rallied in the face of the Euro concerns. News from the Fed Wednesday that it will not raise the amount of equity in the US's balance sheet also added to downside in the metal.
Oil traders, responding to worries a global slowdown could hurt demand for gasoline, pushed NYMEX crude down about 6 percent to just barely over $80 per barrel.
Silver was the largest loser, down over 11 percent, while copper was closely behind, down 8.8 percent.
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