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In July, the best-performing exchange-traded funds bet either against commodities, or on biotechnology stocks.

With the sharp pullback in the price of oil to the $110 level from the $140 level, the

UltraShort Oil & Gas ProShares

(DUG) - Get ProShares UltraShort Oil & Gas Report

gained 32.24% in July. The fund tracks the inverse of the Dow Jones U.S. Oil & Gas Index with 200% leverage.

The second-best performer,

iShares MSCI Turkey Investible Market Index Fund

(TUR) - Get iShares MSCI Turkey ETF Report

, added 25.23% for the month. This index fund, which began trading on March 28, is off to a good start.

Two other hot newcomers with even shorter track records focus on shorting commodities. For July, the

PowerShares DB Commodity Double Short ETN

(DEE)

is up 23.06%. Over the same period, the

PowerShares DB Agriculture Double Short ETN

(AGA)

returned 21.70%.

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Most of the remaining funds on the list hold biotech stocks like

Genetech

(DNA)

,

Amgen

(AMGN) - Get Amgen Inc. Report

and

Biogen Idec

(BIIB) - Get Biogen Inc. Report

.

The best-performing of these biotechnology funds are the

SPDR S&P Biotech ETF

(XBI) - Get SPDR S&P BIOTECH ETF Report

and the

Biotech HOLDRs Trust

(BBH) - Get VanEck Biotech ETF Report

, appreciating 20.10% and 19.75%, respectively.

Climbing out of the abyss, the

Regional Bank HOLDRs Trust

(RKH)

halved its loss over the last year with a solid, 16.60% performance in July. Top holdings include

JPMorgan Chase

(JPM) - Get JPMorgan Chase & Co. Report

,

Wells Fargo

(WFC) - Get Wells Fargo & Company Report

and

Bank of America

(BAC) - Get Bank of America Corp Report

.

For an explanation of our ratings,

click here

.

Kevin Baker became the senior financial analyst for TSC Ratings upon the August 2006 acquisition of Weiss Ratings by TheStreet.com, covering mutual funds. He joined the Weiss Group in 1997 as a banking and brokerage analyst. In 1999, he created the Weiss Group's first ratings to gauge the level of risk in U.S. equities. Baker received a B.S. degree in management from Rensselaer Polytechnic Institute and an M.B.A. with a finance specialization from Nova Southeastern University.