Commodities Lead as Markets Pull Back in March 2026

TL;DR

March 2026 saw a broad pullback in most asset classes to end Q1, with commodities leading YTD at +39.84%.
Managed futures declined just -0.53% in March, world stocks -8.03%, U.S. real estate -6.37%, and U.S. stocks -4.93%.
Commodities' surge highlights diversification value as risk assets fell sharply amid market stress.[[1]](https://seekingalpha.com/article/4888736-asset-class-scoreboard-march-2026)

The story at a glance

Jeff Malec's monthly update tracks asset class performance through proxy ETFs like GSG for commodities and QAI for managed futures. March brought declines across stocks, real estate, and others after early-year gains, with commodities standing out. This report follows a volatile Q1 shaped by geopolitical tensions, including reported war with Iran driving commodity prices higher.[[2]](https://seekingalpha.com/article/4887803-major-asset-classes-march-2026-performance-review)

Key points

Commodities (GSG) posted +39.84% YTD through Q1, after +10.49% in January and +1.88% in February, leading all classes by a wide margin.[[1]](https://seekingalpha.com/article/4888736-asset-class-scoreboard-march-2026)
Managed futures (QAI) fell -0.53% in March, one of the smallest drops as most risk assets declined sharply.
World stocks (ACWX) dropped -8.03% in March.
U.S. real estate (IYR) declined -6.37% in March.
U.S. stocks (SPY) fell -4.93% in March, turning YTD negative at -4.36%.[[3]](https://www.rcmalternatives.com/category/commodities)

Details and context

The scoreboard uses ETF proxies to rank major asset classes monthly, highlighting how commodities surged amid a risk-off environment likely tied to oil shocks from Middle East conflict.[[2]](https://seekingalpha.com/article/4887803-major-asset-classes-march-2026-performance-review) Earlier months showed strength: February had U.S. real estate up +5.27% and world stocks +5.19%, building on January's commodity-led gains.[[4]](https://seekingalpha.com/article/4877422-asset-class-scoreboard-february-2026)

Managed futures' relative resilience underscores their role in trend-following during downturns, while bonds (BND) likely faced pressure in the partial data. Full rankings appear paywalled, but visible snippets show commodities' dominance reversing early Q1 optimism for equities.

Why it matters

Geopolitical risks amplified commodity returns while hammering traditional assets, stressing diversified portfolios. Investors see concrete proof that alternatives like managed futures can limit losses in pullbacks, with U.S. stocks now YTD negative. Watch Q2 for sustained oil volatility or equity rebounds, though escalation remains uncertain.[[5]](https://seekingalpha.com/article/4884762-the-1-minute-market-report-march-22-2026)