DBA - DBA: Well Positioned To Benefit From The Cocoa Shortage
2024-05-30 14:44:28 ET
Summary
- The Invesco DB Agriculture Fund ETF holds futures contracts of agricultural commodities, with a large weight in cocoa.
- The DBA fund is currently attractive due to long-term structural changes driven by climate change and the potential for inflation.
- Cocoa prices have surged, helped by the spread of Swollen Shoot disease, supply likely to be curtailed further.
The Invesco DB Agriculture Fund ETF ( DBA ) holds futures contracts of agricultural commodities. Currently, it could also be called the Cocoa ETF, but I'll get into that later. It holds a range of different futures from Sugar, wheat, corn, soybeans, and cocoa to live hogs....
DBA: Well Positioned To Benefit From The Cocoa Shortage