Coffee

It makes sense that a strong US dollar is generally bad for commodities since as the U.S dollar strengthens, goods priced in dollars become more expensive for other currencies. However, historically the U.S. dollar has a negative correlation of only about -0.30 with the S&P GSCI as shown in the chart below using data since 1970: This may […]

Record high temperatures in October may be a prelude to a strengthening El Nino weather pattern, potentially leading to opportunities in the commodities space and related exchange traded products. Last month was the hottest October since records have been kept in the past 136 years and the eighth record-breaking month so far this year, reports […]

Brazil-related exchange traded funds jumped Friday after the Brazilian central bank reassured markets that it will utilize everything but the kitchen sink to prop up the real, one of the worst performing foreign currencies. “In this process, all instruments are available for the central bank,” central bank president Alexandre Tombini said Thursday, according to Reuters. […]

Commodity exchange traded funds may want to take note of what happened during the last strong El Niño weather pattern. In the last El Niño during the late 1990s, Pacific Ocean water temperatures hit their highest, and now, water in some areas are within 0.9 degree Fahrenheit of previous highs, reports Lucy Craymer for the […]

Coffee-related exchange traded notes are testing their short-term trend line Monday, bouncing higher on fears that the previous Brazilian drought has irreparably damaged crops and on concerns of dry weather in Central America. On Monday, the iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) surged 5.4% while the iPath Pure Beta Coffee ETN […]

It is hard to find anything positive to say about commodities exchange traded products and coffee exchange traded notes (ETNs) are not exceptions to that rule. On more than double the average daily volume, the iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) slid nearly 3% Thursday, sending the ETN into all-time low […]

With the real currency depreciating, Brazilian farmers are dumping harvests on to the global markets, putting further pressure on the coffee prices and related exchange traded notes. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) declined 4.6% Monday while the iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) decreased 2.8%. Year-to-date, JO fell […]

While pullback somewhat in the last week , U.S. equities and stock exchange traded funds advanced toward new highs in February, shaking off the January doldrums. Over February, the Dow Jones Industrial Average rose 5.6%, the Nasdaq Composite increased 6.7% and the S&P 500 gained 5.4%. The best performing non-leveraged exchange traded products over the […]

Exchange traded notes that track coffee bean prices remain this year’s best performing commodity asset. However, the fundamentals are shifting as rainfall relieves a drought stricken Brazil, the world’s largest coffee producer. Year-to-date, the iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) and iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) have surged 37.8% […]

With the U.S. dollar strengthening and global growth concerns lingering, the commodities market have stumbled. Nevertheless, traders can still find some opportunities, but they will have to target single commodity-specific exchange traded funds. The PowerShares DB Commodity Index Tracking Fund (NYSEArca: DBC), the largest commodity-related ETF and tracks a broad basket of the 14 most […]

The coffee market and related exchange traded notes have experienced wild swings this year as a drought ravaged Brazilian crops, the largest producer in the world, and prices have further room to jump higher as crop conditions could be worse than many fear. Coffee has been the best performing agricultural commodity this year, with the […]

After stumbling in July, U.S. equities and stock exchange traded funds rallied to new highs in August, with the S&P 500 index closing above 2,000 for the first time. Over August, the Dow Jones Industrial Average rose 3.2%. The Nasdaq Composite increased 4.8%. The S&P 500 added 3.8%, closing at 2,003.37 on the last day […]

After pulling through its worst drought in decades, Brazil, the world’s largest supplier of coffee, is expected to experience an extended period of poor harvests, boosting coffee futures and related exchange traded notes. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) increased 5.7% Tuesday while iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) […]

After tumbling nearly 24 from May 1 through July 1, entering a bear market in the process, the iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) has bounced back to reclaim its status as this year’s top-performing non-leveraged exchange traded product. In just the past week, JO has surged 11.2% and currently trades […]

Coffee prices and related exchange traded notes perked up Wednesday, testing their short-term resistance levels, on concerns over a production shortfall and potentially diminished quality in this year’s harvest. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) jumped 4.7% Wednesday while the iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) gained 3.8%. Both […]

After the March and April rains helped the drought-parched crop outlook in Brazil, coffee exchange traded notes are slipping into bear territory. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) has plunged 20.7% from an April 22 high, playing out a classic double top trend line. Nevertheless, JO is still up 61.1% […]

After pulling back this month on an uptick in Brazilian exports, coffee futures and related exchange traded notes surged Thursday as an analyst warns of continued tight supply ahead. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) rose 5.3% Thursday, testing its 50-day simple moving average. The ETN has declined 10.7% over […]

Despite the sell-off in momentum stocks and exchange traded funds in mid-April, the markets recovered from the decline as earnings and improved economic data helped support further equity gains. The top performing non-leveraged exchange traded products over the past month include the iPath Global Carbon ETN (NYSEArca: GRN) up 17.9%, iPath Dow Jones-UBS Nickel Total Return […]

While rain would have been welcomed in the drought-ravaged coffee crops of Brazil, forecasted El Nino storms could do more harm than good, bolstering coffee prices and related exchange traded notes. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) is the best performing exchange traded product this year, surging 94.6% year-to-date. ICE […]

The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) fell 1.6% Monday on light volume, which is no big deal in the volatile world of coffee futures. JO is still up 80% this year, making it the top-performing non-leveraged exchange traded product. So strong have coffee futures been that the iPath Pure Beta […]

Coffee-related exchange traded notes have been the best performing exchange traded products so far this year, but the ETNs have experienced net outflows as some traders cashed in their profits. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) has surged 77.5% year-to-date as a record drought decimated crops in Brazil, the world’s […]

Drought conditions in Brazil has pushed up coffee exchange traded notes, with coffee futures trading at two-year highs. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) and iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) both gained 3.4% Thursday. Coffee has been the best performing asset so far this year, with JO up […]

The rally in coffee exchange traded notes is back on as traders capitalize on extended drought conditions in Brazil, the world’s largest coffee producer, with some beginning to worry about next year’s production. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) rose 4.9% Monday while the iPath Pure Beta Coffee ETN (NYSEArca: […]

Coffee exchange traded notes are perking up again as India, Asia’s third-largest grower, cuts its exports due to poor weather conditions. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) jumped 7.3% Friday while the iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) surged 6.4%. Coffee has been the best performing asset year-to-date, with […]

Concern over a global market slowdown and geopolitical risks kept equities markets and stock exchange traded funds relatively unchanged since the start of the year, but the S&P 500 Index is still heading toward its fifth quarterly gain, albeit a small one. The Dow Jones Industrial Average declined 1.0% over the first quarter. Meanwhile, the […]

The coffee-related exchange traded fund is going through a market correction and dipping toward bearish territory as a rainy outlook helps relieve Brazil’s parched crops and the Brazilian export association reassures the markets that there are ample coffee stocks. The iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO) declined 6.8% Thursday. The ETN […]

Commodity exchange traded funds surged over the last three months after a lackluster 2013. With commodity-related ETFs and exchange traded notes (ETNs) back in the limelight, it is important for investors to understand how these products operate and how the IRS taxes these investment vehicles. Commodity ETFs and exchange traded notes have been among the […]

While equities wilt as tensions in Ukraine escalate, gold’s safe-haven status is proving alluring with investors rushing to the yellow metal as a shelter-from-the-storm play. Gold futures climbed last month, helping some of the major exchange traded funds backed by holdings of physical gold to see their first month of inflows in over a year. […]

The SPDR Gold Shares (NYSEArca: GLD) gained 5.2% in February as gold futures soared and data indicate professional traders see more upside for the yellow metal. “The net-long position climbed 25 percent to 113,911 futures and options in the week ended Feb. 25, the highest since December 2012,” reports Luzi Ann Javier for Bloomberg, citing […]

Despite a late day sell-off Friday, February was a strong month for U.S. stocks as the S&P 500 bounced back from a glum January to gain 6.7% in the second month of the year. In the world of exchange traded products, there were some forgettable performances. The worst performing non-leveraged funds over the past month […]