Some Fire, a Little Sugar, and a Spoon of Coffee

The increase in oil and sugar prices has affected not only households but also ETFs. Oil ETFs have surged in response to rising oil and gas prices.

This week, the Global X MSCI Nigeria ETF (NGE), an ETF that exclusively targets Nigerian equities, ranked at the top with a 10.24% return. The same goes for the United States Brent Oil Fund LP (BNO), the United States Oil Fund LP (USO), and the United States Gasoline Fund LP (UGA), which gave 8.30%, 7.56%, and 6.76% returns, respectively. 

But it wasn’t just oil ETFs that stole the show. There was a “sugar rush” among other commodity ETFs as well. The Teucrium Sugar Fund (CANE), which offers exposure to the commodity of sugar, hit a 52-week high today. There was an 8.05% return on this ETF in a week. Similarly, the iPath Series B Bloomberg Sugar Subindex Total Return ETN (SGG) returned 7.80% in a week. This follows the trend of the decreased supply of sugar globally, which has inflated the price. Some reports say that sugar prices may go higher in summer. 

Moreover, the iPath Series B Bloomberg Coffee Subindex Total Return ETN (JO) ranked second on the list with an 8.49% return. You may know that JO’s issuer is Barclays Capital, and recently the National Bank of Canada FI revealed that it had increased its share in Barclays by 1,529.5% during the fourth quarter of last year. The step seems to have affected the ETF market as well.

For more news, information, and analysis, visit the Commodities Channel.