Commodity bulls burnt on greenback's advance - ANZ

Analysts at ANZ explained that commodities weakened as further strength in the USD weighed on the sector.

Key Quotes:

"Base metals struggled to gain any traction, with only nickel and lead ending the day higher. A Filipino politician revived calls for a minerals export ban in the Philippines, raising the prospect for further tightening in the nickel market. Oil declined ahead of this week’s EIA report, with market expectations for another build in inventory in the US.

Prices didn’t receive any support from news that nearly a quarter of the capacity in the Gulf of Mexico has been shut due to storms. Iron ore physical indexes remained unchanged despite large falls in futures markets in China.

The 6m futures contract on the Dalian Exchange has fallen nearly 9% over the past week."