SPDR Resources Fund Hit as Copper Prices Slip and Global Yields Rise

The SPDR resources sector fund from State Street experienced significant pressure this week due to the decline in copper prices and the impact of the local materials sector on the market.

Copper, which had been trading near record highs, fell as a result of global bond yields surging to multi-year highs, a firmer US dollar, and iron ore prices remaining flat at subdued levels.

The Escondida copper mine in Chile, owned by the fund's largest constituent, suspended operations after a worker was killed in an accident, adding operational uncertainty to the stock and contributing to the decline in copper prices.