All ETF Sectors See Declines, But ETP Investors Favor Gold & Ags
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By Sumit Roy
No sector could escape this week’s broad-based liquidation, but energy continues to suffer the most, while precious metals and ags hold firm. With U.S. economic slowdown worries and Greece sovereign debt concerns dominating financial headlines, it’s unsurprising that commodity-related exchange-traded products saw yet another net outflow last week. In total, $1.2 billion flowed out of the segment, which is the sixth outflow in seven weeks. But once again it was energy that took the bulk of the hit, with $787 million in outflows. Industrial metals and broad market (multi-commodity) ETPs followed with $256 million and $200 million in redemptions, respectively. The other two core commodity sectors sectors — agriculture and precious metals — continue to react relatively well. Agriculture suffered only $17 million in outflows, while precious metals lost a mere $13 million. The ag sector’s stability continues thanks to the Market Vector Agribusiness ETF (MOO), asComplete Story »
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