After weeks of falling, broadly defined commodities rallied sharply last week (through April 3) and posted the biggest gain for the major asset classes, based on a set of exchange-traded funds. The first gain in six weeks for raw materials overall may be fleeting, but for the moment the rear-view mirror for this corner of markets is looking up.
The iShares S&P GSCI Commodity-Indexed Trust (NYSE:) surged 5.9% for the week through Friday’s close. The rally marked the fund’s first weekly gain since mid-February.
The key source of the price jump: reports that OPEC and Russia agreed to meet to hammer out a production cut in oil to aid the ailing market, which is oversupplied by a hefty degree. But over the weekend the meeting was reportedly delayed and oil prices are lower on Monday. As CNBC reports today:
Tensions between Saudi Arabia and Russia escalated on Friday, and the meeting will now “likely” be held on Thursday, according to sources familiar with the…