Concerns over weaker global economic growth and the Eurozone debt crisis led to declines across most commodities in May.

Nelson Louie, Global Head of Commodities at Credit Suisse Asset Management, said, "While commodities markets experienced a pull-back during the month of May, it is worth noting that the timing of this month's correction matches last year's decline, with the markets focusing on very similar issues – slowdowns in global economic growth and sovereign debt concerns inEurope. Tight supply conditions amid increasing global demand are likely to exacerbate price action for the time being. The potential for weather-related disruptions could affect key agricultural commodities, especially as we enter the growing/harvest seasons for key producing nations for Corn, Wheat, Cotton and Coffee."

Christopher Burton, Senior Portfolio Manager for the Credit Suisse Total Commodity Return Strategy, added, "Meanwhile, potential geopolitical unrest will be a primary focus as we approach the summer season, as any further disruptions may affect OPEC's ability to control Oil prices. In addition, continued accommodative monetary policy inthe United Statesincreases the odds of inflation overshooting expectations. We believe investors can continue to benefit from the diversification benefits that commodities provide."

The Dow Jones-UBS Commodity Index Total Return was down by 5.06% in May. Overall, 16 out of 19 index constituents decreased in value, with Precious Metals serving as the weakest sector. Silver led the sector lower, while Gold found support at the 1490 level, and finished the month down only 1.34%. Investors continued to seek out Gold as a reserve currency alternative amid renewed fears over the Eurozone debt crisis, among other issues. Energy saw large price swings asMississippiflooding posed a threat in the US to refined product distribution channels. President Obama's mid-May speech (where/to whom – provide more source info) regarding drilling on public lands weighed on the sector, though it recovered some of its initial losses, ending the month down 7.26%. Agriculture was the best performing sector, down 1.76% for the month. A negative USDA world agricultural report triggered an initial liquidation across the grains complex, but concerns of supply disruptions, in conjunction with existing tight inventory levels, led to mixed performance for some of its components. Industrial Metals were lower, losing 2.74% in May, mostly due to concerns over potentially weaker demand fromChina. Livestock decreased 7.39% for the month as reports of increased inventories drove down near-term futures.