Hedge Funds Increase Gold Bets

Jul 29 2013 | 9:42am ET

Hedge funds are getting bullish on gold, again.

Long bets by money managers increased by 26% as of July 23, the Commodity Futures Trading Commission said, the fourth straight week that futures and options holdings on the metal have rose. Hedge fund, which had been cutting gold after taking a beating on long bets, appear convinced that the Federal Reserve will begin to taper its stimulus programs later rather than sooner.

Hedge funds poured money into other commodities, as well. Long bets across 18 U.S.-traded commodities rose 7.4%. Crude oil longs rose 9.8% to their highest level in seven years.

Not all commodities were beneficiaries: Short bets on corn more than doubled, setting a new record, as net-long positions on a basket of 11 agricultural products fell 34%. Copper longs also fell sharply, by 17.2%.


In Depth

Steinbrugge: Top 10 Hedge Fund Industry Trends for 2017

Jan 3 2017 | 9:03pm ET

Each year, Agecroft Partners' Don Steinbrugge predicts the top hedge fund industry...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

DarcMatter: The Top Trends in Alternative Investments for 2017

Jan 13 2017 | 8:22pm ET

The $7 trillion alternative investments industry is poised for continued growth...

 

From the current issue of

The U.S. Commodity Futures Trading Commission (CFTC) ordered The Goldman Sachs Group Inc., and Goldman, Sachs & Co. to pay a $120 million penalty for attempted manipulation and false reporting of ISDAFIX Benchmark Rates, a global benchmark for interest rate products.