Greg Sharenow of PIMCO provides a timely overview of how commodities have performed amid recent geopolitical stress, emphasizing their role as portfolio stabilizers and inflation hedges.
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Oil markets spiked temporarily in June due to Middle East tensions, but stabilized quickly as conflict de-escalated; PIMCO expects a reversion toward the $60s range given OPEC spare capacity and U.S. shale flexibility.
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Gold and industrial metals show sustained strength, supported by central bank buying and investor interest in inflation protection.
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Commodities continue to exhibit low correlations with equities and fixed income, reinforcing their value as diversification tools.
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