Commodity exchange traded funds help diversify an investor’s portfolio, but traders can also dive into the market to pick and select potential opportunities while avoiding duds.
According to the Goldman Sachs Group, nickel and palladium are set to outperform in an uneven global economy, reports Glenys Sim for Bloomberg.
“While cyclical recovery tends to see rising commodity demand, prices will likely largely be determined by more structural supply factors,” Goldman Sachs analysts wrote in a note. “Accordingly, not all boats are expected rise with the tide created by continued improvement in global macroeconomic data.”
For instance, Indonesia has banned ore exports, which supported a rally in nickel. [Indonesia Export Ban Lifts Nickel ETNs]