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 week ranging Dec.7 to Dec.13.
- Oil prices traded sideways for the week as rising gasoline inventories countered a fall in U.S. oil stockpiles.
- A rising U.S. dollar along with weak inflation data put pressure on gold prices this week.
- Fears of more mine strikes in Chile caused copper prices to gain this week.
- Be sure to check out our previous article to keep in touch with the events happening in the commodities space.
Weekly Market Wrap-up
Energy – Oil prices held flat for the week as lower oil stockpiles were offset by a rise in gasoline inventories.
Oil – Crude oil prices treaded water for the most part this week at $56.60 a barrel, as a slump in stockpiles offset rising gasoline inventories.
Natural Gas – Natural gas prices flirted with a nine-month low at $2.686 per million British thermal units on weak winter weather forecasts.
Coal – As prospects for coal dim in the U.S., the Trump administration began trying to bolster support for U.S. coal on an international scale.
Metals – The risks of further mine strikes in Chile helped lift copper prices this week to $3.05 per ounce.
Precious Metals – Poor inflation, along with a rising U.S. dollar, continued to plague gold prices this week, with gold settling at $1,249.70 a troy ounce.
Other – Palladium prices continued to move higher this week topping $1,022 per ounce early in the week on increasing demand for vehicles.
Grains – CBOT wheat prices fell this week on heavy competition mainly stemming from Russia.
Corn and Soybeans – Ethanol demand continued to help U.S. corn prices rise along with a positive USDA report.
Softs – Positive weather expectations and bullish speculation helped lift cocoa prices this week.
If you want to know what commodity is right for you, check out our Commodity Investing Database here.
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.
| Commodity | Weekly Gain (%) | Contract Expiration | Contract Price (as of December 13) | 52-Week Price Change |
|---|---|---|---|---|
| Copper | 3.84% | 03/18/17 | $3.05 | $2.448-$3.228 |
| U.S. Corn | 3.06% | 03/18/17 | $349.10 | $328.5-$394.5 |
| Silver | 2.35% | 03/18/17 | $16.12 | $15.145-$18.725 |
Copper was the best weekly performer in the commodity space this week as fears of a Chilean mine strike helped boost prices. U.S. corn gained on higher ethanol demand, while silver rose on investors’ hedging activity in the markets.
Weekly Commodity ETF Movers
For ETF investors, we tracked the top three biggest gainers and top three biggest losers for the past week. Not included are ETNs, which behave differently than ETFs, or leveraged ETFs, which may not be suitable for some investors. Some ETFs that have less than one year on the market have been excluded due to a lack of long-term data.
Top Three ETF Winners This Week
| ETF Ticker | ETF Name | Commodity Category | Assets ($MM) | NAV (as of December 13) | Return (weekly %) | Return (YTD %) | Expense Ratio |
|---|---|---|---|---|---|---|---|
| CPER | United States Copper Index Fund | Copper | $8.67 | $19.58 | 3.16% | 19.76% | 0.80% |
| UHN | United States Diesel Heating Oil Fund | Heating Oil | $7.27 | $17.98 | 2.74% | 7.15% | 0.75% |
| PALL | ETFS Physical Palladium Shares | Palladium | $230.42 | $97.07 | 2.34% | 48.86% | 0.60% |
This week’s best commodity-based ETF performers were a mixed bunch, with copper leading the way as threats of a mine strike in Chile caused prices to jump. A heating oil fund rose on investor speculation, while palladium found its way into the number three spot on increased demand for motor vehicles.
Top Three ETF Losers This Week
| ETF Ticker | ETF Name | Commodity Category | Assets ($MM) | NAV (as of December 13) | Return (weekly %) | Return (YTD %) | Expense Ratio |
|---|---|---|---|---|---|---|---|
| UNG | United States Natural Gas Fund | Natural Gas | $604.43 | $5.36 | -7.27% | -42.61% | 1.12% |
| UNL | United States 12 Month Natural Gas Fund | Natural Gas | $7.96 | $8.89 | -5.84% | -23.96% | 0.90% |
| CANE | Teucrium Sugar Fund | Sugar | $7.19 | $8.94 | -5.60% | -31.23% | 1.00% |
Natural gas funds led the way for this week’s list of worst commodity-based ETFs, as weak winter weather expectations dragged natural gas futures down to a near nine-month low. A sugar fund also underperformed this week as agricultural commodities struggled against a rising 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.
