CommodityHQ.com provides weekly information about any material impact of a major economic, corporate and/or geopolitical event on the global commodities market. The report also analyzes the weekly change in prices of the major commodity futures and commodity focused ETFs as a result of market-changing events and trends. This report covers events and analysis for the weeks ranging May 9th to May 16th.
Crude oil and Brent oil prices rose this week on falling inventory data.
Gold prices dropped below $1,300 a troy ounce this week as the U.S. dollar continued to strengthen.
U.S. gasoline prices surged ahead this week after news that the U.S. is pulling out of the Iran nuclear deal.
Be sure to read our previous edition to keep in touch with the changing trends in the global commodities space.
Weekly Market Wrap-up
Energy – Falling inventories helped lift both oil and natural gas prices this week, while U.S. gasoline prices continued to tick higher ahead of summer.
Oil – A drop in U.S. crude supplies helped lift crude oil prices to $71.49 a barrel, while Brent oil jumped to $79.25 a barrel this week.
Natural Gas – Natural gas prices rose to $2.81 per million British thermal units this week on lingering storage deficits.
Gasoline – The national average price for a gallon of gas rose again this week to $2.89 following an announcement that the U.S. plans to withdraw from the Iran nuclear deal.
Metals – Supply-side pressure and climbing inventories dragged copper prices lower for the week to $3.08.
Precious Metals – The strength of the U.S. dollar continued to plague gold prices, which fell to $1,290.30 a troy ounce this week.
Other – Aluminum prices slid lower for the week as the market turned into correction mode following gains led by U.S. sanctions on Rusal.
Grains – U.S. wheat prices dropped to $4.91-1/4 a bushel after soaring higher on dry winter weather conditions.
Corn and Soybeans – Soybean futures ended the week higher at $10.17-3/4 a bushel on positive Chinese demand.
Softs – Cocoa prices ticked higher this week on bullish activity after falling to a one-month low earlier in the week.
If you want to know what commodity is right for you, check out our Commodity Investing Database.
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Weekly Movement Across Commodity Futures
For this week, we analyzed all commodities by weekly performance and listed the top three performers by weekly percentage gain. All commodities were taken into account and analyzed from a performance perspective only to find the top three.
CommodityWeekly Gain (%)Contract ExpirationContract Price (as of May 16)52-Week Price ChangeNatural Gas2.74%06/18/18$2.81$2.53-$3.66Brent Oil2.67%07/18/18$79.25$44.35-$79.45Heating Oil2.34%06/18/18$2.27$1.35-$2.27
This weeks best-performing commodities were again led by energy with natural gas prices leading the way on falling inventory levels. Brent oil climbed higher for similar reasons, while heating oil prices moved higher with broad increases in oil across the board.
Weekly Commodity ETF Movers
For ETF investors, we tracked the top three biggest gainers and top three biggest losers for the past week. Not included are ETN’s, which behave differently than ETF’s, as well as leveraged ETF’s which may not be suitable for some investors. Some ETF’s that have less than one year on the market have been excluded due to lack of long-term data.
Top Three ETF Winners This Week
ETF TickerETF NameCommodity CategoryAssets ($MM)NAV (as of May 16)Return (weekly %)Return (YTD %)Expense RatioUGAUnited States Gasoline FundGasoline$47.37$35.153.79%10.38%0.75%UNGUnited States Natural Gas FundNatural Gas$375.23$23.133.58%-0.81%1.30%DBEPowerShares DB Energy FundBroad Energy$212.82$16.933.58%16.52%0.75%
This week’s best-performing commodity-based ETFs were all energy related with a gasoline fund taking the top spot following gains in gasoline prices for the week. A natural gas fund rose on higher natural gas prices, while a broad energy fund climbed as well.
Top Three ETF Losers This Week
ETF TickerETF NameCommodity CategoryAssets ($MM)NAV (as of May 16)Return (weekly %)Return (YTD %)Expense RatioWEATTeucrium Wheat FundWheat$64.47$6.53-3.97%8.83%1.00%TAGSTeucrium Agricultural FundAgriculture$1.67$22.47-2.30%1.67%1.00%DBAPowerShares DB Agriculture FundAgriculture$731.84$18.75-2.29%-0.05%0.85%
This week’s worst-performing commodity-based ETFs were largely agricultural funds with a wheat fund posting the largest loss following last weeks gains on dry winter weather conditions. Several broad agriculture funds also fell this week on the back of a stronger U.S. dollar.
We provide this report on a weekly basis. Be sure to check our News section to remain updated on the latest happenings in the commodity space.