Hedge Funds Cut Commodities Bets

Nov 5 2012 | 1:18pm ET

Hedge funds ended October with their lowest exposure to commodities since the summer.

Futures and options on 18 commodities dropped by 11% in the week ended Oct. 30, the day after Hurricane Sandy made landfall in southern New Jersey, the Commodities Futures Trading Commission reports. Bullish oil bets hit a four-month low, as oil refineries on the U.S. East Coast closed in advance of the storm's arrival.

Bets on copper and gasoline also dropped, the former to an eight-week low and the latter for the fourth week in a row.

Other uncertainty seems to have hurt hedge funds' and other investors' taste for commodities, including renewed uncertainty in Europe and tomorrow's U.S. presidential election, which forecasts indicate will be a close contest.


In Depth

Star Fund Managers Battered By Rocky Ride In Yields, Currencies

May 28 2015 | 6:05am ET

Some of the biggest names in the investment world have been whipsawed by the recent...

Lifestyle

Yale Receives $150 Million Gift from Blackstone’s Schwarzman

May 12 2015 | 12:10am ET

Yale University announced it has received a $150 million gift from Blackstone Group...

Guest Contributor

When Less is More: The Case for Concentrated Equity Strategies

Jun 1 2015 | 7:59am ET

The conventional wisdom is that wide diversification is the “holy grail,” as...

 

Sponsored Content

Editor's Note