Commodities
Name two commodities
grains
metals
Livestock
etc
What is a shortage?
when a product is demanded and there is not enough quantity available
What is a Futures Market?
are contracted agreements made between two parties through a regulated futures exchange
What are the two types of trading?
Traditional Floor-trading
Electronic Trading
What is a commodity?
Any raw product manufacture or grown which can be bought and sold
What is a surplus?
when a product is produced in larger quantities
What is a Hedger?
typically producers and consumers who buy and sell futures contracts
What are the three types of Analysis?
Market
Fundamental
Technical
What is a forward Market?
specifies a specific commodity to be delivered at a specific date in the future
What is a demand?
the consumers willingness to buy a product
What is a Speculator?
Traders with the goal of profiting on future price moves
what is a deliverable technical analysis?
seller has the right but not the obligation to make delivery to a specified location
What is a spot market?
Immediate physical delivery of a specific commodity
What is a supply?
the amount of a product available to the market
What are two places to trade?
CME Group
KCBT
What is a cash-settled technical analysis?
are those for which a cash settlement can be made at the end of the trading period
What are the two Commodity Markets?
Cash and Futures
What is Equilibrium?
when there is a perfect amount of product needed
How many Futures exchange are registered in the US?
11
What is a fundamental Analysis?
examination of the forces of supply and demand in a commodity market