Growing anxiety that hawkish central banks will tip the global economy into recession rattled commodity markets and metals such as copper, nickel and aluminium, as traders positioned for a collapse in raw materials demand exacerbated by the rallying US dollar.

The Bloomberg Commodity Spot Index, which tracks 23 futures contracts, shed 1.6 per cent to settle at its lowest level since January 24. The index has lost nearly 22 per cent since peaking in June and has wiped out all of its gains since Russia’s invasion of Ukraine.