Coffee Traders' Forum - A Discussion about Coffee Futures Trading


Coffee Traders Discussion Forum

Coffee Traders' Forum

DBA / SPY *PIC*

In the DBA / SPY chart below, the objective is to show that since June 2016 investors have opted to invest their resources in the stock market, to the detriment of the agricultural market. As of January this year, there is an increase in the allocation of resources to agricultural commodities. The impression the chart provides is that it will not be long before more resources are shifted from stock markets to agricultural markets. Maybe coffee is one of the beneficiaries.

PowerShares DB Agriculture ETF
The investment seeks to track changes, whether positive or negative, in the level of the DBIQ Diversified Agriculture Index Excess Return™ (the “index”) over time, plus the excess, if any, of the sum of the fund’s Treasury Income, Money Market Income and T-Bill ETF Income, over the expenses of the fund. The index, which is comprised of one or more underlying commodities (“index commodities”), is intended to reflect the agricultural sector.

SPDR® S&P 500 ETF
The investment seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the S&P 500® Index. The Trust seeks to achieve its investment objective by holding a portfolio of the common stocks that are included in the index (the “Portfolio”), with the weight of each stock in the Portfolio substantially corresponding to the weight of such stock in the index.