Bloomberg Commodity Index
The Bloomberg Commodity Index ( BCOM , formerly Dow Jones-AIG Commodity Index , DJ-AIGCI ) is a commodity index , the 20 different futures comprises of commodity futures exchanges are traded. It was first calculated in 1998 by Dow Jones & Company in the United States .
concept
The Bloomberg Commodity Index (DJ-UBSCI) comprises 20 different commodities with a weighting of at least 2 percent and a maximum of 15 percent per commodity. The share of a raw material sector must not exceed the limit of 33 percent. The index is rebalanced annually. The decisive factor for the weight allocation is the liquidity of a future , its trading volume and the production volume.
The closest future is used as a basis. With the exception of aluminum, nickel and zinc (all of them London Metal Exchange , LME) , these are traded on the US stock exchanges New York Mercantile Exchange (NYSE), Chicago Mercantile Exchange (CME), Chicago Board of Trade (CBOT) and ICE Futures US Due to its construction rules and balanced diversification , the DJ-UBSCI is less volatile than other commodity indices .
The Bloomberg Commodity Index is an indicator of the future development of inflation or the development of costs in the industry. In the event of a trend reversal on the commodities market , it is a good leading indicator for the bond market , as commodities generally have a lead of three to six months compared to bonds . There is also a close temporal connection between bond interest rates and commodity prices.
Connections between the Bloomberg Commodity Index and the geometrically weighted US Dollar Index and the trade-weighted Trade Weighted US Dollar Index can be seen. A falling US dollar is synonymous with inflationary tendencies and rising raw material prices. This is especially true for agricultural commodities and the price of oil .
composition
The following overview shows the commodities, their weighting in the index and the exchange on which the futures are traded (as of October 11, 2011).
| raw material | Weighting in% | Stock exchange |
|---|---|---|
| natural gas | 10.77 | New York Mercantile Exchange |
| WTI - petroleum | 9.69 | New York Mercantile Exchange |
| Brent - petroleum | 5.31 | ICE futures |
| Heating oil | 3.46 | New York Mercantile Exchange |
| Unleaded gasoline | 3.41 | New York Mercantile Exchange |
| energy | 32.64 | |
| copper | 7.06 | New York Mercantile Exchange |
| aluminum | 5.88 | London Metal Exchange |
| zinc | 3.12 | London Metal Exchange |
| nickel | 2.58 | London Metal Exchange |
| Industrial metals | 18.64 | |
| gold | 9.79 | New York Mercantile Exchange |
| silver | 2.77 | New York Mercantile Exchange |
| Precious metals | 12.56 | |
| Soybeans | 7.08 | Chicago Board of Trade |
| Corn | 6.67 | Chicago Board of Trade |
| wheat | 4.96 | Chicago Board of Trade |
| sugar | 3.76 | ICE Futures US |
| Soybean oil | 3.37 | Chicago Board of Trade |
| coffee | 2.57 | ICE Futures US |
| cotton | 2.00 | ICE Futures US |
| Agricultural goods | 30.41 | |
| Live cattle | 3.63 | Chicago Mercantile Exchange |
| Lean pig | 2.11 | Chicago Mercantile Exchange |
| Live cattle | 5.74 |
history
Historical overview
The index was launched on July 14, 1998 under the name Dow Jones-AIG Commodity Index (DJ-AIGCI). The recalculation took place until January 2, 1991 on a base value of 100 points.
After an interim high on May 16, 1997 at 128.49 points, the commodity index fell to a low of 74.24 points by February 26, 1999. Since the peak in 1997, this corresponds to a decrease of 42.2 percent. In the following years the index rose sharply due to an enormous demand for raw materials in the People's Republic of China and India . On February 15, 2008, the DJ-AIGCI overcame the 200 point limit for the first time. On July 3, 2008, an all-time high of 238.52 points was recorded during the day. Since the low in 1999, this corresponds to an increase of 221.3 percent.
The index began to decline in the course of the international financial crisis , which began in 2007 with the US housing crisis . In 2008 the financial crisis increasingly affected the real economy. Because of the lower global demand on the raw material markets, prices fell sharply, especially from the beginning of the fourth quarter of 2008. On February 20, 2009, the DJ-AIGCI fell to 101.48 points, its lowest level since 2002. Since the all-time high of July 2008, this corresponds to a decline of 57.5 percent. This is the biggest fall in the history of the Index. February 20, 2009 marked the end of the downward trend. From the beginning of 2009 the index was on the way up again.
In January 2009, Dow Jones & Company announced that the Swiss bank UBS had acquired the rights to the index from the American International Group (AIG). To reflect this change, the index was renamed the Dow Jones-UBS Commodity Index (DJ-UBSCI) on May 7, 2009 .
On April 25, 2011 the index rose to 175.68 points. That means an increase of 73.1 percent since February 2009. The price increase for agricultural commodities was particularly strong. Meat, grain, sugar as well as oils and fats in particular have risen in price since mid-2010. Several factors are named as reasons (rising world population , growing money supply , speculation on the agricultural markets, crop failures due to natural disasters , export restrictions in some countries). The consequences of high raw material prices are an increase in inflation and unrest in parts of the world.
Annual development
The table shows the annual high, low and closing levels of the Dow Jones-UBS Commodity Index calculated back to 1991.
| year | Peak | Lowest point | Final stand |
|---|---|---|---|
| 1991 | 103.87 | 88.72 | 89.21 |
| 1992 | 95.39 | 87.89 | 89.32 |
| 1993 | 92.34 | 84.56 | 85.72 |
| 1994 | 97.96 | 85.86 | 95.77 |
| 1995 | 104.48 | 93.29 | 104.32 |
| 1996 | 123.39 | 100.72 | 122.04 |
| 1997 | 128.49 | 111.98 | 111.98 |
| 1998 | 113.03 | 76.61 | 77.80 |
| 1999 | 93.67 | 74.24 | 74.24 |
| 2000 | 116.09 | 90.54 | 114.61 |
| 2001 | 115.55 | 87.39 | 89.03 |
| 2002 | 112.79 | 87.09 | 110.28 |
| 2003 | 137.45 | 110.19 | 135.27 |
| 2004 | 153.35 | 135.27 | 145.60 |
| 2005 | 180.74 | 140.46 | 171.15 |
| 2006 | 187.55 | 155.47 | 166.51 |
| 2007 | 186.93 | 154.71 | 184.96 |
| 2008 | 238.52 | 105.88 | 117.24 |
| 2009 | 141.19 | 101.48 | 139.19 |
| 2010 | 162.57 | 121.19 | 162.39 |
| 2011 | 175.68 | 136.17 | 140.68 |
| 2012¹ | 152.71 | 126.22 | 139.07 |
¹ December 31, 2012
Web links
Individual evidence
- ^ Dow Jones-UBS Commodity Index . ( Memento of the original from October 10, 2011 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice. In: markt-daten.de.
- ↑ Dow Jones Indexes and UBS Announce 2012 Weights of Dow Jones-UBS Commodity Index . In: press.djindexes.com (English).
- ↑ DJ-AIG commods index becomes DJ-UBS in acquisition . In: reuters.com, May 7, 2009 (English).
- ↑ Supermarket: Starving for the printing press . In: diepresse.com, January 29, 2011.
- ↑ Expensive raw materials - prices for oil and copper continue to climb . In: manager-magazin.de, February 2, 2011.
- ↑ Historical prices in: finance.yahoo.com.
