An exchange traded note following cotton futures rallied 7% early Wednesday in the commodities sector while the dollar weakened.

The $285 million iPath Dow Jones-UBS Cotton Subindex Total Return ETN (NYSEArca: BAL) was up more than 7% in premarket action as gold also traded to the upside.  [Oil, Metals And Corn Lead Commodity ETF Rally.]

Investors kept bidding commodity prices higher while PowerShares DB US Dollar Bullish Fund (NYSEArca: UUP) fell close to its 52-week low. The exchange traded fund (ETF) is pegged to the greenback’s movements against a basket of foreign currencies.

The opinions and forecasts expressed herein are solely those of John Spence, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.