The influence of two crude oil funds—U.S. Brent Oil Fund (NYSEArca: BNO) and U.S. Oil Fund (NYSEArca: USO)—is altering returns of commodity-based ETFs, according to a blog on Barron’s.
The PowerShares DB Commodity Index Tracking Fund (NYSEArca: DBC) rose while most of the futures tracked by the fund fell, which Barron’s blogger Murray Coleman said was due to the price gap between BNO and USO.
On Friday, USO was falling by 0.2 percent while BNO rose by 0.5 percent, says Barron’s.
Commodity Indexes, such as DJ-UBS and S&P GSCI, are rebalancing their futures holdings in favor of Brent, the story said.
Head over to Barrons.com for the full story.