Gold tumbled 2 percent, the most in 16 weeks, on speculation that a gain in U.S. consumer prices will give the Federal Reserve more leeway to reduce monetary stimulus. Palladium fell for the first time in six sessions.
Gold demand in China, which overtook India as the largest user last year, will rise about 25 percent in the next four years as an increasing population gets wealthier, according to the World Gold Council.
South African wheat futures fell to the lowest level in almost six weeks in Johannesburg, after the U.S Department of Agriculture said stockpiles will be bigger than estimated. Yellow and white corn declined.
A disease damaging banana crops in Southeast Asia has spread to the Middle East and Africa, posing risks to world supply and trade totaling $8.9 billion, according to the United Nations’ Food & Agriculture Organization.