🤯 Have you seen our AI stock pickers’ 2024 results? 84.62%! Grab November’s list now.Pick Stocks with AI

Commodities set to rise as trade war fears oversold, Goldman analysts say

Published 07/05/2018, 11:36 AM
© Reuters.  Commodities set to rise as trade war fears oversold, Goldman analysts say
GS
-
SCO
-
UCO
-
TAGS
-
DTO
-
DBA
-
SZOXF
-
BNO
-
DAGXF
-
AGFXF
-
BDDXF
-
BOMMF
-
DBB
-
BOSXF
-
DBE
-
RJA
-
RJN
-
RJZ
-
FUD
-
CPER
-
OIL
-
DBO
-
USL
-
USO
-
DNO
-
DWT
-
UWT
-
OLO_old
-
SOYB
-
LD
-
ADZCF
-
UAG
-
UBN
-
UBM
-
USAG
-
WTID_old
-
WTIU_old
-
OILX
-
OILD_old
-
OILU_old
-
OILK
-
USOD
-
USOU
-
USAI
-
  • Goldman Sachs (NYSE:GS) remains bullish on commodities, saying concerns about a potential U.S.-China trade war, demand weakness in emerging markets and oil producers' decision to increase production have been oversold, and even commodities most exposed to trade war risks are worth buying.
  • “Only markets that cannot be rerouted globally to other consumers will be impacted by the proposed July 6th tariffs," Goldman says. "We believe that the trade war impact on commodity markets will be very small, with exception of soybeans where complete rerouting of supplies is not possible."
  • "Even soybeans, the most exposed of all assets to trade wars, is now a buy," according to Goldman, after soybean futures have plunged to nine-year lows.
  • The firm maintains its Overweight rating on the commodities space with a 12-month overall expected return of 10%, bolstered by strong global growth and depleting inventories in energy and metal markets that likely will result in higher prices.
  • ETFs: USO, OIL, UWT, UCO, DBA, DWT, SCO, BNO, OTCPK:JJCTF, DBO, SOYB, DTO, RJA, USL, DBB, DNO, JJN, CPER, DAG, OLO, DBE, JJA, SZO, AGA, BOM, OLEM, RJN, WTIU, BDD, JJT, NINI, CUPM, LD, FOIL, JJM, OILK, BOS, FUD, UAG, USAG, AGF, RJZ, TAGS, ADZ, OILX, WTID, ONG, BDG, JJE, DIRT, LEDD, UBM, USOI, HEVY, UBN, USOU, USOD, UBRT, DBRT, JJUB, OILD, OILU, USAI
  • Now read: Beans Are Overdue For A Recovery


Original article

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.