Commodity markets

Commodities are substances that come out of the earth and maintain a roughly universal price. The markets where all these commodities can be traded are known as commodity markets.

Commodities can be classified into two types based on their production

1. Soft commodities
2. Hard commodities

Commodities can be used for direct consumption or in further production. The prices of commodities vary based on supply and demand.


I)Soft commodities markets:

1. Agro market

II)Hard commodities markets:

1. Bullion market
2. Base metal market
3. Energy market