Investors returned from a long holiday weekend with an abundance of optimism on Tuesday, as encouraging news from Asia helped to boost markets. Europe, which recently replaced Japan as the unofficial drag on the global economy, surged as well, as confidence in the Greece bailout efforts picked up. In takeover news, Simon offered $10 billion for rival mall operator General Growth, which is currently operating under bankruptcy court protection.
The ETFdb 60 Index, a benchmark measuring the performance of asset classes available through ETFs, gained 12.29 points, or 1.2%, to close at 1,015.69. The ETFdb 60′s advanced was broad-based, as only four components moved lower on the day.
Leading the way higher was the iPath Dow Jones-UBS Copper Total Return ETN (JJC), which added 4.4% as the dollar slumped and an improved outlook for U.S. manufacturing was reported. Metals were higher across the board: the nickel ETN (JJN) added more than 9%, while the diversified base metals ETN (DBB) surged 5.7%.
Not all commodities gained ground on the day, as the United States Natural Gas Fund (UNG) slid 1.3% on Tuesday. Despite forecasts for below-average temperatures in much of the country for the coming weeks, gas prices declined as inventories remain well above both year ago and five year average levels.
Disclosure: No positions at time of writing.