According to a Goldman Sachs report, hedge funds bought commodity-sensitive stocks at the fastest pace in five months as of July 5th.

Last week, Caribbean countries were hit by tropical storm Beril, causing a drop in energy stocks.$Chevron (CVX.US)$, $Exxon Mobil (XOM.US)$ and $Shell (SHEL.US)$And energy stocks fell.

However, the energy and raw materials sector was one of the sectors with the most net purchases by Goldman Sachs' institutional brokerage department last week. The department tracks the trading activities of hedge funds.

Goldman Sachs stated that hedge funds are interested in oil and gas companies, as well as container and packaging companies, metals and mining companies.

Goldman Sachs also added that hedge funds are not very interested in stocks such as paper, forest products, and chemicals. The sell volume of these stocks is slightly higher than the buy volume.

Overall, the commodity-sensitive sector saw net purchases for the third consecutive week, driven almost entirely by trading activities in hedge funds.

The report stated that hedge funds returned to the global equity market last week, with the buy volume exceeding the sell volume for the first time in three weeks.

Goldman Sachs stated that there was net buying in all regions except North America, with Europe and Asia leading.

Goldman Sachs stated that industrial, financial, and energy sectors had the most net purchases globally, while the communications services, technology, and utilities sectors had the most net sells.

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