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Commodities Briefing - Categorized | Futures and Options, Trading more

Anyone Can Trade Commodities on the Futures Market

Posted on 14 July 2016

Before money, people traded grain and precious metals directly with one another. Today, corn, wheat, gold and other commodities are traded through futures contracts that guarantee the purchase or sale of a given amount of the underlying commodity for a stated price on a set date.
The first futures contracts allowed farmers to lock in prices for their crops well before they were ready for market, taking the edge off the price plunge that could come with the harvest glut. These contracts could also assure that a user like a bread maker would have ready access to the commodity it would need in the off-season………………………………………..Full Article: Source


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