Commodity Market

A commodity market involves buying, selling, or trading a raw product, such as oil, gold, or coffee. There are hard commodities, which are generally natural resources, and soft commodities, which are livestock or agricultural goods. We invest in companies that have exposure to commodities. We trade in the primary economic sector rather than manufactured products, such as cocoa, fruit and sugar. Commodity markets can include physical trading and derivatives trading using spot prices, forwards, futures, and options on futures.

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