Metals, crops and fuel beat stocks, bonds and the dollar for a third straight month, the longest stretch since June 2008, as inflation lifted cotton and cocoa and investors speculated violence in the Middle East and northern Africa will restrain energy supplies in Cfd forex trading.
The S&P GSCI Total Return Index of 24 commodities gained 3.8 percent in February and rose for a sixth consecutive month, the longest streak since 2004 for Introducing brokers forex, data compiled by Bloomberg show.
The MSCI All-Country World Index of equities in 45 nations returned 3 percent including dividends, while corporate and government bonds rose 0.13 percent, according to Bank of America Merrill Lynch’s Global Broad Market Index through Feb. 25. The U.S. Dollar Index, a gauge of the currency against six counterparts such as the euro and yen, fell 1.1 percent.
Faster global growth pushed up raw-material prices since September and gains accelerated after riots toppled leaders in Egypt and Tunisia and threatened Libya’s Muammar Qaddafi. At the same time, central banks in emerging economies from China to Russia are raising interest rates and increasing reserve requirements at banks to combat inflation, holding back equities.
The last time commodities beat stocks, bonds and the dollar for three straight months was June 2008, when the price of oil surged following violence in Iraq. Futures reached a record $147.27 a barrel the next month, and the average price for U.S. regular gasoline at the pump also climbed as high as $4.114.
Metals gained in February after reports showed Chinese manufacturing expanded and U.S. factory output beat the most optimistic forecast of economists surveyed by Bloomberg. Silver rose 20 percent last month, the most of any metal in the S&P GSCI index. The Federal Reserveraised its forecast for growth in the U.S., the world’s biggest economy, to a range of 3.4 percent to 3.9 percent, from 3 percent to 3.6 percent.
Oil climbed to the highest price since September 2008 in February. Oil rose after estimates showed exports from Libya, the third-largest producer in Africa at about 1.6 million barrels of oil a day, was cut. Barclays Plc said output was reduced by more than 1 million barrels a day, while the International Energy Agency said output was down 850,000 barrels. Clashes between Qaddafi and rebels intensified in the second half of February. Futures gained 5.2 percent to $96.97 a barrel in New York last month, reaching $103.41 on Feb. 24.