Commodities are goods traded in business or on markets, each held to specific standards when traded on exchanges. While variations may exist, commodities are generally uniform across producers. They are typically categorized into two types:
These include agricultural products like sugar, corn, wheat, and coffee. Produced by farmers, these commodities are highly sensitive to climatic and weather conditions, with prices influenced by seasonal cycles.
This category encompasses mined items such as gold, other precious metals, diamonds, oil, and energy products. Unlike soft commodities, hard commodities are extracted from the earth.
Trading commodity futures involves a straightforward process, guiding traders toward fair price discovery driven by significant market demand. This extensive demand reflects diverse perspectives and insights from a broad spectrum of individuals involved in commodity trading.
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