Commodity sentiment was bifurcated for a long time.
That is starting to change.
For much of the past year, commodity bullishness was concentrated in a few narrow areas.
First, only Gold was popular.
Then Copper joined the party, helped by the AI theme and the growing focus on electrification and infrastructure.
Oil sentiment started to turn more bullish before the war with Iran, then spiked during the war. Even after the initial shock has faded, investor sentiment towards Oil remains more bullish than it has been for most of the past few years.
And now, over the past few weeks, Agri commodities have started to join in as well.
Our Agri Sentiment Matters Aggregate was at the 10th percentile as recently as March.
It has now moved up to the 40th percentile.
And our overall Commodity SMA is up to the 65th percentile — the highest level in four years.
That is not extreme. It is not a warning signal.