Mining Stocks Fall on Stronger Dollar

Investors and traders sold off mining and metals stocks Monday as a strengthening dollar weighed on commodities prices around the world.

In recent weeks, officials from China, Russia and Brazil had suggested an interest in shifting away from U.S. Treasuries and into bonds issued by the International Monetary Fund -- the equivalent of selling the dollar.

But word out of China and Russia over the weekend that finance ministers are confident in the greenback appeared to alleviate some of those fears -- and as the dollar rose, commodities declined. (They're often used as a hedge against U.S. currency.)

Leaders of four of the world's biggest "emerging" economies -- China, Russia, Brazil and India -- will converge for a summit in Moscow on Tuesday. The so-called BRIC group will undoubtedly discuss financial policy.

The FTSE 350 mining index, which includes stocks of the world's largest mining concerns, lost nearly 5% Monday in London.

In New York, the tune was the same.

Freeport McMoRan(FCX Quote) shares fell 5% to $55.50. BHP Billiton's(BHP Quote) American Depositary Receipts dropped the same percentage to $57.11. Southern Copper(PCU Quote) lost nearly 6% to $22.88, and Rio Tinto's(RTP Quote) ADRs declined 6.6% to $190.88.

Gold stocks were faring slightly better. Newmont Mining(NEM Quote) was off 2.7% at $41.56, Goldcorp(GG Quote) slipped 3.7% to $33.66, and Barrick Gold(ABX Quote) lost 3% to $32.93.