Fundamental economic factors — market demand and supply conditions — provide the most consistent explanation for recent trends in commodity prices. The rise and fall of commodity prices on a monthly basis since 2004 has been strongly linked to the value of the U.S. dollar and the world...

This study shows how the investor sentiment in the stock market affects prices of commodity exchange-traded funds (ETFs). The study provides quantitative evidence that the tracking errors of commodity ETFs differ in the bullish versus the bearish stock market, and the aggregate tracking error of...