WEAT 15 percent above S&P in 6 days
The Teucrium Wheat Fund (WEAT) was one of the best investment opportunities last week and yesterday.
In 6 trading days the Fund has increased by 14% from $10.23 to $11.68. Considering its beta value, WEAT has grown about 15% above S&P 500:
What are the reasons? Mainly the weather. During the last two weeks, the rain in some regions of the U.S. Midwest was even 6 times heavier than averagely and the hydrologists are expecting more rain to come. Meanwhile, Europe and Canada experience an unusually dry season and falling crops. Also the Australian crops are expected to hit an eight-year low.
The reason for the huge relative gain is also the benchmark's poor performance. During the analyzed period S&P 500 has declined by 2.7% from $2,115 to $2,058, with the deepest decrease during the yesterday's session: