Materials Sector Weekly Round-up: Gevo tops list; Gold Fields, Danimer among losers

The S&P Materials sector closed this trading week in green with a marginal gain of 0.30%. The Materials Select Sector SPDR (XLB) was also up +0.66%.

Lumber futures fell to seven-month lows this week, in a stark reversal from all-time highs set last year during the COVID-fueled homebuilding boom. Chicago lumber futures (LB1:COM) for July delivery slipped 7.5% to $604.50 per 1,000 board feet on Wednesday. Prices settled at $616.60 per 1,000 board feet by Friday, down 12% for the week.

Gold prices moved notably higher on Thursday, with Comex gold (XAUUSD:CUR) for August delivery closing +1.2% at $1,871.40/oz, the highest close since May 6. The precious metal benefitted from a decline in the value of the U.S. dollar. Prices settled at $1,850.49/oz on Friday, down -0.13% for the week.

Comex copper (HG1:COM) also climbed during Thursday’s trading, +5.2% to $4.556/lb. China’s new stimulus package to revive economy and a lift of a two-month lockdown in Shanghai helped spur demand hopes. Prices settled at $4.48 on Friday, up 4.19% for the week.

Meanwhile, Chinese iron ore futures hit RMB 900/metric ton (~$135) on Tuesday for the first time in nearly six weeks, as hopes of a demand recovery rose after Shanghai lifted the lockdown.

Take a look at this week’s top gainers among basic material stocks ($300M market cap or more):

• Gevo (GEVO) +12.87%
• LSB Industries (LXU) +11.11%
• Green Plains (GPRE) +8.72%
• Braskem (BAK) +7.91%
• Perimeter Solutions (PRM) +7.90%

Take a look at this week’s top losers among basic material stocks ($300M market cap or more):

• Gold Fields (GFI) -18.01%
• Danimer Scientific (DNMR) -11.18%
• Lithium Americas (LAC) -9.55%
• Piedmont Lithium (PLL) -9.98%
• Lightwave Logic (LWLG) -7.47%

Other materials ETFs to watch: iShares Global Timber & Forestry ETF (WOOD), Materials Select Sector SPDR ETF, Vanguard Materials ETF (VAW), iShares Global Materials ETF (MXI), SPDR S&P Metals and Mining ETF (XME), VanEck Vectors Gold Miners ETF (GDX), iShares MSCI Global Gold Miners ETF (RING), Global X Copper Miners ETF (COPX).