Commodities - oldest markets in the world
With commodities markets of the XXI century, you can participate in the global trends of oil and gold prices from home, anytime you want. And do not worry, there is no physical delivery.
The history of commodities trading starts with the agricultural traditions of the early civilisations. Nowadays, raw or primary products such as gold, silver and oil are exchanged on the commodities markets, using highly sophisticated electronic trading systems. A significant part of the market turnover is constituted by companies that sell or buy goods in direct relation to their actual economic activity, such as mines, farmers and heavy industry.
Commodities can be traded both on regulated stock exchanges, typically using futures contracts for speculative purposes, and on the OTC market, for example using Contracts for Difference on our trading platform.
Commodity markets - why they are popular?
- Markets such as oil and gold draw the attention of the global media, especially during periods of turmoil on other financial markets.
- Prices of commodities like oil and agricultural products heavily influence inflation, playing a vital role in the international economical system.
- Commodity markets create a unique mixture of fundamentally-driven interaction between demand and supply, as well as global speculative trading on its derivative instruments.
- Different commodities groups offer many interesting opportunities for diversification of the whole trading portfolio.
- Precious metals – GOLD, SILVER, PLATINUM
- Industrial metals - COPPER, PALLADIUM
- Energy - OIL, NATURAL GAS, ETHANOL
- Agricultural - COFFEE, SUGAR, WHEAT, CORN, SOYBEANS
What moves the Commodities Market? Commodities prices are related to important economic factors on an international scale, such as inflation and economic conditions. The more dynamic the global economical development is, the higher the demand is for energy, represented by the markets such as oil and gas, agricultural products, luxurious or high-end technological products made of gold and silver and other commodities.
On the other hand, rising prices of commodities result in inflation, as the purchasing power of money in real terms is reduced. On the supply side, what matters are the factors that influence the conditions of the production of raw materials, such as weather and other climatic conditions, strikes among factory or mines workers and other events of a similar nature. Global political or economical unrest may also cause higher interest in commodities treated as so-called „safe-heaven”, such as gold and silver.
If you want to learn more about the analysis of the fundamental condition of commodities markets, please refer to our Fundamental analysis of commodities markets.
If you would like to learn how graphical charts can be analysed, in order to prepare the actual trading decision, you can refer to our Technical analysis section.
Commodities trading with Silver Stone FX With the our trading platform, you can trade the most popular commodities such as oil, gold, silver and wheat. We offer all the main groups, including energy, agricultural products and metals.
The complete list of commodities markets that you can trade with our Silver Stone FX trading platform is as follows: