What Cotton’s Surge Means For ETF Investors

Commodities have been a major focus of the ETF world this year, as debates over the suitability of exchange-traded products and their role in increased market volatility have raged. Amidst this backdrop, many commodities have posted huge gains in 2010 as the dollar has stumbled and the raw materials appetite of emerging markets has proven to be insatiable. While the attention of many investors is pinned on gold’s historic run, price spikes in other commodities have flown under the radar. Many soft-commodities have seen hefty gains this year, including sugar, coffee, and most notably, cotton [see Supply Concerns Send Cotton ETF (BAL) Surging Higher]. Cotton prices recently hit a 140 year high, with prices at levels that have not been seen since the post-Civil War era. December cotton contracts recently hit $1.5110, making it officially the highest price cotton has held since records began with the New York Cotton Exchange. Cotton’s [...] Click here to read the original article on ETFdb.com. Related Stories: Supply Concerns Send Cotton ETF (BAL) Surging Higher The Definitive Guide To Cotton ETF Investing What Record Trading Day Means For The Corn ETF