Investors are investing in broad-commodity ETFs at their highest level in more than two years as they bet sticky inflation indicates continued strong demand for raw materials. The 20 largest ETF products investing in a basket of commodities have attracted around US$970 million so far this month, the highest level since March 2022, according to institutional data. Their total assets are over $20 billion. As Western economies' inflation data continued to be higher than expected, while economic growth data generally improved, capital continued to flow back to the commodity market. While this may mean that interest rates will remain high, commodity bulls believe this is a sign of strong potential consumption, which ultimately means the industry will benefit. SEB AB chief commodity analyst Bjarne Schieldrop said traders may “add some commodities to their portfolios, partly to offset some inflation with real assets, and on the other hand to try to profit from the acceleration of manufacturing.”