Commodity exchange traded funds (ETFs) are enjoying a run as investors position for inflation and with Portugal’s recent downgrade and poor bond auction stoking sovereign-debt fears.
Reuters reports that gold jumped to an all-time high above $1,450 an ounce on Tuesday, giving a 1% rise to bullion. On technical charts, gold broke above $1,440 an ounce. SPDR Gold Shares (NYSEArca: GLD) was up 1.6% Tuesday. [Gold, Silver ETFs Sparkle As Metals Hit Fresh Highs.]
Precious metals were adding to their gains Wednesday as gold notched a new record and silver rose to a fresh 31-year high. Silver futures rose above $39 an ounce, lifting iShares Silver Trust (NYSEArca: SLV).
Rising oil and corn prices have also dominated the markets. Corn futures are rising on news that inventories in China are about 12 million metric tons less than reported, says UPI. [Agriculture ETFs Harvest Gains.] Teucrium Corn Fund (NYSEArca: CORN) has rallied.
Crude futures are lingering at 30-month highs at over $108 a barrel on unrest in Libya. U.S. Oil Fund (NYSEArca: USO) has been a stong performer in 2011. [Commodity ETFs End Strong Quarter On A High Note.]
U.S. Oil Fund
For full disclosure, Tom Lydon’s clients own SLV.
Tisha Guerrero contributed to this article.
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