Climate-Related Issues: Juice Sugar and Gold Gcz

climate-related issues: The purported driver behind these hot trades Climate change, according to Market Watch. In a case of bad news being good news, a variety of climate-related issues, including droughts and extended periods of elevated temperatures, have reduced the output of these cash crops, driving prices higher as a result of the lower supplies. While commodities of all types have done well this year, with both crude oil CLX6, -2.50% and gold GCZ6, -0.30% up nearly 20% in 2016, so-called soft commodities—a group that includes coffee, orange juice and sugar—have been on a tear. Sugar SBH7, +0.09% prices are up more than 50% in 2016, while coffee KCZ6, -1.08% is up nearly 25%. Orange-juice futures OJX6, +0.31% are up 35.2% thus far this year; while consumer demand for orange juice has been waning, that has been offset by hurricane season and by citrus greening, a disease that has slashed crop yields in half over the past few years, as reported by The Wall Street Journal. Global warming is an all-around bad thing that going on, a relentless macro change that you can't get away from, said Phil Davis, chief executive officer of PSW Investments. Read:Extreme weather is everywhere, from record-breaking heat to crazy fog The exchange-traded notes that track these commodities—an easy way for investors to play the space without trading the futures directly—have followed them higher, and many investors expect the gains to continue. (news.financializer.com). As reported in the news.