GCC

Goldman Sachs came out with a bullish report to investors last week predicting a surge in the price of commodities over the 2021-2025 period.Goldman see the stock market pullback in the face of rising anxiety over the spread of the COVID-19 pandemic as a temporary setback that will likely wane as the year draws to a close.Goldman's analysis of supply fundamentals and probable demand appears to be broadly accepted. However, views are mixed about when our decade-long low-inflation environment will end.

US stocks and bonds managed to post small gains for the trading week through Friday, October 16, based on a set of exchange-traded funds.The Vanguard Total Bond Market ETF eked out the winning performance last week with a 0.2% gain.However, most of the major asset classes fell last week, with US REITs suffering the biggest setback.

Global economic growth has underwhelmed versus expectations generally since 2011.Lower than expected growth versus expectations has caused investors to chase growth at almost any price, and duration in their bond investments almost at any price.This crowded investment landscape is about to experience a wholesale change, with global growth outperforming expectations led by China and the United States.

A broad, equal-weighted measure of commodities topped last week's wide-ranging gains across the major asset classes, based on a set of exchange-traded funds.In close pursuit were US and emerging markets stocks.The WisdomTree Continuous Commodity Index Fund delivered a 4.2% gain for the trading week through October 9.

With technology enabling workers to be productive from remote locations, the housing industry has felt a direct impact.Lumber and copper are a great gauge of the health and direction of the housing industry, and both have surged in 2020.There are many factors which effect the housing industry including interest rates, the employment picture and consumer confidence. But knowing which markets are directly affected by the growing demand in single-family units can be important for every trader and investor.

Global markets recovered lost ground last week, although a measure of broadly defined commodities continued to fall, based on a set of exchange traded funds through Oct. 2.After four straight weekly losses, Vanguard Real Estate surged 5.4%.VNQI is down 10.2% for the past 12 months.

The dramatic move in commodities could be due to portfolio rebalancing at the end of the month, or it could be signaling that the recovery is running out of steam.Countries are doing QE to manipulate their currencies and get inflation, but their attempts to reflate their economies are instead resulting in inflated asset prices.U.S. equities are carrying out a bullish narrative of recovery as compared to poorer equity performance outside of the U.S.

Selling pinched all the major asset classes for the trading week through Friday, Sep. 25, based on a set of ETF proxies.As a stabilizing force in a diversified portfolio, BND has been useful this month.Although selling took a far-ranging bite out of prices last week, the one-year trend (252 trading days) still reflects a wide mix of profit and loss for the major asset classes.