Hot Commodities in the Midst of a Cooldown

For investors who failed to heed -- or perhaps chose to ignore -- all those warnings about the volatility associated with commodity funds, February's downturn has been a pretty harsh reminder.

Since the start of the month, the two most prominent funds offering direct exposure to commodity prices have stumbled. As of Friday, the $12.2 billion Pimco Commodity Real Return Strategy fund (PCRAX) and the $1.9 billion Oppenheimer Real Asset fund (QRAAX) are down 8% and 11.5%, respectively. Prior to their fall, both funds were essentially flat year to date.

And in a rude welcome to the world of public securities, the DB Commodity Index Tracking(DBC Quote) fund has fallen more than 9% since its Feb. 3 debut. ...