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Commodities have surged this decade, led by oil and gold

Since October 2020, broad commodity indices such as the S&P GSCI are up about 200%, while gold has gained about 140%, and petroleum is up 81% this year.

Reported · Written up by our desk · Mining

OilPrice says commodities have been the top performing asset class of the decade, with broad commodity indices such as the S&P GSCI up about 200% since October 2020. The outlet also points to gold's rise of about 140% over the same period, framing commodities as a “super-cycle” winner.

The article adds that this year has been strong across parts of the complex, with commodities up about 37% and petroleum up about 81%. It notes that the bottlenecks have shifted over time among metals and agricultural products, and most recently toward diesel.

OilPrice contrasts the commodity rally with what investors have allocated in equities. It says energy and basic materials represent less than 6% of the S&P 500, despite the outsized returns from “hard assets.”

The piece also argues that money has flowed toward a different theme, the AI buildout, even as commodities benefited from strong demand for inputs. It claims the AI buildout is tied to the largest commodity short in history and cites expected spending by the Magnificent Seven of nearly $800 billion this year, though it does not break out figures by commodity in the provided text.

Latest closeGold $4,117.00 ▲1.1%|S&P 500 7,509.20 ▲0.9%

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