Advantage of commodity investing:
Over time, commodities and commodity stocks tend to provide returns that differ from other stocks and bonds. A portfolio with assets that don't move in lockstep can help you better manage market volatility. However, diversification does not ensure a profit or guarantee against a loss.
Individual commodity prices can fluctuate due to factors such as supply and demand, exchange rates, inflation, and the overall health of the economy. In recent years, increased demand due to massive global infrastructure projects has greatly influenced commodity prices. In general, a rise in commodity prices has had a positive impact on the stocks of companies in related industries.