A surprise tightening move by China gave renewed impetus to the broad-based commodities sell-off, draining risk appetite from markets and sending equities lower, although losses were pared in late trading.
Signs of stabilisation in price action after Wednesday’s second dramatic plunge for commodities in a week appeared to be torpedoed by Beijing’s move to raise bank reserve requirements by 50 basis points.
But commodities rallied late from three-and-a-half month lows and equities from their worst daily performance in a month.
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