Commodities like copper and crude oil are often seen as a barometer for industrial activity and, as such, the strength of the world economy. The steep price drops in both over the past few months, with oil down around 30% and copper off 15% since March, are sending a worrying signal about the depth of the global economic problems.
Oil prices plunged 4% to below $80, part of a broad selloff in commodities, sending an alarming signal about the health of the global economy.
Crude for August delivery on the New York Mercantile Exchange closed at its lowest level since October, and copper prices also fell in a week of disheartening news from China, the U.S. and Europe.
via Oil Plunges 4% in Commodities Rout – WSJ.com.