Thanksgiving's origins can be traced back to festivals meant to celebrate the harvest, which makes this bullish pick a natural play on the holiday.
The PowerShares DB Agriculture Fund (DBA) provides investors with a single-share alternative to investing in agricultural commodities. This was one of the hottest commodity-based ETFs in 2007 and 2008, as the "crowd" became increasingly interested in trading commodities as food prices skyrocketed. Lately, DBA has seen less activity as rising food prices have fallen off consumers' and investors' radar screens. However, in my view, that means it's the perfect time for a bullish play.
Inflation fears have been in the news lately as interest rates remain extremely low. At the same time, news that current grain harvests have been affected by the wet conditions in the Midwest are likely to start boosting grain and other agricultural commodity prices. Given this, I believe investors who buy call options on DBA will harvest market-beating gains in the next three to six months.
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