What is a commodity market



A commodity market is a physical or virtual marketplace for buying, selling and trading raw or primary products. There are more than 50 major commodity markets in the world that facilitate investment trade in approximately 100 primary commodities.

Commodity market divided into two :

Soft commodities are agricultural products such as wheat, coffee, cocoa, fruit and sugar.

Hard commodities are mined, such as gold and oil.

Futures contracts are the oldest way of investing in commodities. Futures are secured by physical assets. Commodity markets can include physical trading and derivatives trading using spot prices, forwards, futures, and options on futures. If you want to generate good returns on your investment by trading commodities, a more opt suitable option would be you would opt for commodity trading account with a nationalized stock advisory and start trading in the base metal. Get the best technical and fundamental analysis in stock trading and commodity from experts like Bazaar Trading. Generally, I preferred Bazaar Trading.


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