Producers of metals and other raw materials fell as hopes that the Federal Reserve was close to moderating its inflation fight faded.
Recent hawkish statements from Fed officials have driven up the probabilities of a 75-basis-point rate hike priced into futures markets, said Lorenzo Di Mattia, manager of hedge fund Sibilla Global Fund.
"Dollar strength is largely driven by fear of a hawkish Jackson Hole message from Fed Chair Powell," said strategists at Standard Chartered, in a note to clients. The stronger dollar weighed on precious metals, causing gold futures to retreat for the sixth straight session.
Diamond miners Petra Diamonds and Gem Diamonds fell sharply after analysts at brokerage Liberum Capital cut their rating on the companies' shares.
Grain futures rose amid signs of rising Chinese demand and crop-damaging heat in Nebraska.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
08-22-22 1630ET
