Commodity Market

How investor can realize a profit on the raw materials market, despite high capital requirements and other difficulties when dealing with commodities? The answer is simple - to make investments via the foreign exchange market. Like other financial markets, the Forex market has a direct communication to other types of investment assets. This communication could be the direct one (when both assets enhance), or reverse (when one assets grows in price, the other falls). Such relationships help investors to obtain admittance to other markets, and are of great help when analyzing trends on the world market.


06.07.2016 22:33 Commodities. Daily history for Jul 06’2016:
06.07.2016 22:33 Commodities. Daily history for Jul 06’2016:

06.07.2016 22:33  (raw materials / closing price /% change) Oil 47.89 +0.97% Gold 1,365.70 -0.10%

Metals extend rally whilst Oil could revert to the mean
Metals extend rally whilst Oil could revert to the mean

Whilst the movement in Oil has lacked the bullish momentum of Gold and Silver of late, it could still present a bullish range-trade setup if we do see it revert to the mean in the cu...

06.07.2016 00:33 Commodities. Daily history for Jul 05’2016:
06.07.2016 00:33 Commodities. Daily history for Jul 05’2016:

06.07.2016 00:33  (raw materials / closing price /% change) Oil 46.75 +0.32% Gold 1,362.40 +0.27%

04.07.2016 22:33 Commodities. Daily history for Jul 04’2016:
04.07.2016 22:33 Commodities. Daily history for Jul 04’2016:

04.07.2016 22:33 (raw materials / closing price /% change) Oil 48.76 -0.47% Gold 1,353.50 +1.08%

30.06.2016 22:33 Commodities. Daily history for Jun 30’2016:
30.06.2016 22:33 Commodities. Daily history for Jun 30’2016:

30.06.2016 22:33  (raw materials / closing price /% change) Oil 48.40 -2.97% Gold 1,324.70 +0.31%

30.06.2016 13:31 OPEC output rises to 32.82 mbpd in June - Reuters
30.06.2016 13:31 OPEC output rises to 32.82 mbpd in June - Reuters

30.06.2016 13:31 According to a survey from Reuters: - June output up 250 kbpd. - Output led by Nigeria, Iran, Saudi Arabia and UAE. - Higher output held back by lower production in ...

27.06.2016 22:34 Commodities. Daily history for Jun 27’2016:
27.06.2016 22:34 Commodities. Daily history for Jun 27’2016:

27.06.2016 22:34 Commodities. Daily history for Jun 27’2016: (raw materials / closing price /% change) Oil 46.61 +0.60% Gold 1,327.60 +0.22%

Gold goes up amid Brexit victory
Gold goes up amid Brexit victory

On Friday, gold surged more than 1%, following the victory of the “Leave”camp of the Brexit referendum. Copper futures came off a seven-week winning streak, though losses...

NYMEX and Brent go down following Brexit outcome
NYMEX and Brent go down following Brexit outcome

On Friday, crude prices dipped in Asia as market participants reacted to the outcome of the UK’s referendum.   In New York, August delivery WTI crude futures sagged 4.97%,...

U.S. Natural Gas Storage 62B vs. 58B forecast
U.S. Natural Gas Storage 62B vs. 58B forecast

U.S. natural gas storage rose more-than-expected last month, official data showed on Thursday.In a report, Energy Information Administration said that U.S. Natural Gas Storage rose t...

Brexit impact on Oil far from clear
Brexit impact on Oil far from clear

As Britons head to the voting booths to determine whether or not to continue their existing relationship with the European Union, the impact of the outcome on the price of Oil is sti...

22.06.2016 22:34 Commodities. Daily history for Jun 22’2016:
22.06.2016 22:34 Commodities. Daily history for Jun 22’2016:

22.06.2016 22:34 Commodities. Daily history for Jun 22’2016: (raw materials / closing price /% change) Oil 49.00 -0.26% Gold 1,268.90 -0.09%

Gold and Brexit support fall
Gold and Brexit support fall

Safe haven gold has been largely out of favour over the past few days after its recent rally ended abruptly on Thursday of last week, though a weaker US dollar has helped to keep it ...

Commodity currencies jumps with Oil / Gold & Silver lagging
Commodity currencies jumps with Oil / Gold & Silver lagging

In this report, we review the recent price action of some major commodity currencies along with Gold , Silver and Oil technical outlook.Beginning with Gold:The yellow metal did an at...

13.06.2016 22:30 Commodities. Daily history for Jun 13’2016:
13.06.2016 22:30 Commodities. Daily history for Jun 13’2016:

13.06.2016 22:30 Commodities. Daily history for Jun 13’2016: (raw materials / closing price /% change) Oil 48.56 -0.65% Gold 1,286.80 -0.01%

13.06.2016 15:40 Oil prices wavered between losses and gains
13.06.2016 15:40 Oil prices wavered between losses and gains

13.06.2016 15:40 Oil prices wavered between losses and gains Oil futures wavered between losses and gains on Monday, as a second-straight weekly rise in the U.S. oil-rig count pointe...

13.06.2016 15:03 OPEC’s monthly report: OPEC’s output declines in May
13.06.2016 15:03 OPEC’s monthly report: OPEC’s output declines in May

13.06.2016 15:03 OPEC’s monthly report: OPEC’s output declines in May The Organization of the Petroleum Exporting Countries (OPEC) released its monthly report on Monday. ...

Crude: oil rally’s gravestone carved?
Crude: oil rally’s gravestone carved?

Crude oil prices fell sharply at the end of last week and have extended their losses as the new week begins. At the time of this writing, Brent oil was back at $50 and WTI was hoveri...

07.06.2016 22:30 Commodities. Daily history for Jun 07’2016:
07.06.2016 22:30 Commodities. Daily history for Jun 07’2016:

07.06.2016 22:30 Commodities. Daily history for Jun 07’2016: (raw materials / closing price /% change) Oil 50.43 +0.14% Gold 1,246.20 -0.06%

OIl shrugs off OPEC
OIl shrugs off OPEC

Crude oil futures were little changed in early Asian trade Friday, having risen in the previous session after a decline in U.S. oil inventories offset a non-event...


Types of Basic Commodities

The basic commodities on the raw materials market are the class of assets that includes itself raw materials and resources supplied in an ordinary way and available for an exchange. These examples include:   

  • Metals, such as iron ore, aluminum, silver or gold
  • Foodstuffs, such as wheat, rice, sugar, salt, coffee beans and soya beans
  • Energy commodities, such as oil, coal, natural gas and electricity.

On the actual commodity market the bulk of transactions go to trade futures – the contracts, time of delivery of which occurs in a certain period in the future. The benefit of the raw materials market participants consists of the exchange gain between buying price and futures contract selling. This feature offers promising opportunities for income acquisition, making the commodity market instruments attractive to private traders. Commodity prices on the raw materials market are usually specified in U.S. dollars. If the U.S. dollar is not the currency of your trading account, you should be aware that exchange rates fluctuations will affect your results.

The basic commodities could be traded with many brokers by the instrumentality of contracts for difference (CFD). 

Commodity Market and the Exchange Rates

The economics of many countries are heavily dependent on basic commodities exports, for example, Australia, Brazil and Canada. Value of currency in these countries is often influenced by commodity prices.

For example, Australia is an important producer of gold. If the price of the gold increases, appears the need for more Australian dollars amount in order to purchase it, and thus, the price of the Australian dollar will increase.