Goldman Sachs Revises GSCI Commodity Weights for 2007 CHICAGO, November 6 ââ¬â Goldman Sachs Inc. today announced the 2007 composition and weights for the Goldman Sachs Commodity Index (GSCIî) trading at CME, the worldââ¬â¢s largest and most diverse financial exchange. The first futures contract to be affected by the change is the February 2007 contract, which is scheduled to be listed on the CME Globexî electronic trading platform on Nov. 16, 2006. The GSCI is a world production-weighted commodity index that in 2007 will be composed of 24 liquid exchange-traded futures contracts. The GSCI includes energy, industrial metals, precious metals, agricultural and livestock products. The 2007 GSCI will include all of the futures contracts in the 2006 GSCI. No new commodities will enter the index and no existing commodities will be removed from the Index. The GSCI has become the premier global commodity benchmark for measuring investment performance in the commodity markets. Designed as a reliable and publicly available benchmark, the GSCI tracks real economic activity as well as measuring the level of world commodity prices. CME introduced futures and options on the GSCI Spot Index in July 1992. For the first nine months of 2006 almost 454,000 CME GSCI Index futures contacts traded, an increase in volume of 22 percent over the same period in 2005. For further information, please go to www.cme.com or visit the Goldman Sachs Web site at www.gs.com/gsci. WELL ELECTIONS HAVE STARTED AND ITS TIME TO BUY BACK THAT GASOLINE THEY MANIPULATED FOR OUR WALLETS...NEXT THE US GOVERNMENT WILL START TO BUY UP THE EXCESS OIL FOR THE STRATEGIC PETROLEUM RESERVE... FILL UP YOUR TANKS...OR TAKE SOME GASOLINE CONTRACTS LONG...HERE COMES TWO MORE YEARS OF A BIG OLD CRACK SPREAD... I guess they couldn't wait to start sticking it to the American Public again!!!! Actually I haven't even checked to see what the new weights are I just thought this was funny to speculate...Wasn't RBOB around 7% a few months ago...Interesting way to drop prices at the pump!!! (It holds a little water) EDIT:::NEW WEIGHTS GSCI Components and Weights Currently, 24 commodities meet the eligibility requirement for the GSCI. A list of these components and their dollar weights in the GSCI organized by subsector, is presented in Table 1. Table 1: GSCI Components and Dollar Weights (%) (November 6, 2006) Energy 68.89 Crude Oil 30.41 Brent Crude Oil 14.74 RBOB Gas 2.26 Heating Oil 8.28 GasOil 4.52 Natural Gas 8.69 Industrial Metals 11.62 Aluminium 3.66 Copper 4.46 Lead 0.45 Nickel 1.43 Zinc 1.62 Precious Metals 2.40 Gold 2.10 Silver 0.30 Agriculture 12.55 Wheat 3.23 Red Wheat 1.18 Corn 3.32 Soybeans 1.65 Cotton 0.84 Sugar 1.41 Coffee 0.72 Cocoa 0.19 Livestock 4.55 Live Cattle 2.42 Feeder Cattle 0.60 Lean Hogs 1.52 $COSTAverageMAN
I don't trade commodities. Can some one who trades gasoline futures please comment re the changes in gasoline futures weighting in the index pre and post election thanks. This is extremely interesting, and i am wondering why there is not more coverage in the mainstream media of these manipulations.