Commodities may gain diversification potential
Oil and other commodities look unattractive from a return perspective, but their diversification potential may be improving.
Tag: Commodities
Egypt in crisis could spark oil price risk
Given our relatively pessimistic outlook for commodities, we have favored a modest underweight stance for this asset class. Commodities generally behave with more momentum than reversion, and entered the current quarter coming off a very weak second quarter. Beyond the negative momentum, the weakness in emerging markets represents a very problematic signal for commodities. While