May’s Worst ETFs: Commodities Crushed

iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN (NYSEArca: JO)

May loss: 12.9%

Comment: JO still ranks as this year’s top-performing non-leveraged ETF or ETN, but a year-to-date performance that was once close to being a double has dwindled to “just” 61%. With a May loss of nearly 12%, the iPath Pure Beta Coffee ETN (NYSEArca: CAFÉ) also ranks among this month’s worst ETPs.

Much of the run-up in coffee prices this year has been attributable to a drought in Brazil, the world’s largest producer of Arabica beans, but weather has recently been cooperative in Colombia. That has helped take some of the air out of the long coffee trade. [El Nino With a Chance of Agriculture ETFs]