- Commodities exchange
A commodities exchange is an exchange where various commodities and derivatives products are traded. Most commodity markets across the world trade in agricultural products and other raw materials (like wheat, barley, sugar, maize, cotton, cocoa, coffee, milk products, pork bellies, oil, metals, etc.) and contracts based on them. These contracts can include spot prices, forwards, futures and options on futures. Other sophisticated products may include interest rates, environmental instruments, swaps, or ocean freight contracts.
Commodities exchanges usually trade futures contracts on commodities, such as trading contracts to receive something, say corn, in a certain month. A farmer raising corn can sell a future contract on his corn, which will not be harvested for several months, and guarantee the price he will be paid when he delivers; a breakfast cereal producer buys the contract now and guarantees the price will not go up when it is delivered. This protects the farmer from price drops and the buyer from price rises.
Speculators and investors also buy and sell the futures contracts in attempt to make a profit and provide liquidity to the system. However, due to the leverage provided by the exchange to traders those participating in commodity futures trading face substantial amounts of speculative risk.
Commodities exchanges across the world
Main commodity exchanges worldwide:
Exchange Abbreviation Location Product Types Ethiopia Commodity Exchange ECX Addis Ababa, Ethiopia Agricultural Africa Mercantile Exchange AfMX Nairobi, Kenya Agricultural,equities and energy products
Exchange Abbreviation Location Product Types Brazilian Mercantile and Futures Exchange BMF São Paulo, Brazil Agricultural, Biofuels, Precious Metals Chicago Board of Trade (CME Group) CBOT Chicago, US Grains, Ethanol, Treasuries, Equity Index, Metals Chicago Mercantile Exchange (CME Group) CME Chicago, US Meats, Currencies, Eurodollars, Equity Index Chicago Climate Exchange CCX Chicago, US Emissions HedgeStreet Exchange California, US Energy, industrial Metals Intercontinental Exchange ICE Atlanta, Georgia, US Energy, Emissions, Agricultural, Biofuels Integrated Nano-Science Commodity Exchange INSCX United Kingdom Engineered nanomaterials Kansas City Board of Trade KCBT Kansas City, US Agricultural Memphis Cotton Exchange Memphis, US Agricultural Mercado a Termino de Buenos Aires MATba Buenos Aires, Argentina Agricultural Mercado a Termino de Rosario ROFEX Rosario, Argentina Financial, Agricultural Minneapolis Grain Exchange MGEX Minneapolis Agricultural New York Mercantile Exchange (CME Group) NYMEX New York, US Energy, Precious Metals, Industrial Metals U.S. Futures Exchange USFE Chicago, US Energy
Exchange Abbreviation Location Product Types Agricultural Futures Exchange of Thailand AFET Bangkok Thailand Agricultural Bursa Malaysia MDEX Malaysia Biofuels Commodity Futures Exchange CFX Kathmandu, Nepal Agricultural, Precious Metals, Base Metals, Energy. Cambodian Mercantile Exchange CMEX Phnom Penh, Cambodia Energy, Industrial Metals, Rubber, Precious Metals, Agri Commodities. Central Japan Commodity Exchange Nagoya,Japan Energy, Industrial Metals, Rubber Dalian Commodity Exchange DCE Dalian, China Agricultural, Plastics, Energy, Agri Commodities Dubai Mercantile Exchange DME Dubai Energy Dubai Gold & Commodities Exchange DGCX Dubai Precious Metals Hong Kong Mercantile Exchange HKMEx Hong Kong Gold Iran Mercantile Exchange IME Tehran, Iran Industrial and Mineral Products, Oil By-products and Petrochemicals Products, Agricultural Products Iranian oil bourse IOB Kish Island, Iran Oil, Gas, Petrochemicals Kansai Commodities Exchange KANEX Osaka,Japan Agricultural Commodities & Metal Exchange Nepal Ltd. COMEN Nepal Gold and Silver National Spot Exchange Limited [NSEL] Mumbai, India Spot Trading in commodities, E-Series Nepal Derivative Exchange Limited [NDEX] Kathmandu, Nepal Agricultural, Precious Metals, Base Metals, Energy National Spot Exchange Limited Nepal [NSX] Kathmandu, Nepal E-Gold, E-Silver, E-Copper, E-Iron, E-CRUDE OIL, and Local Agro Products Mercantile Exchange Nepal Limited MEX Kathmandu, Nepal Agricultural, Bullion, Base Metals, Energy Nepal Spot Exchange Limited NSE Kathmandu, Nepal Agricultural, Bullion Ace Derivatives & Commodity Exchange ACE India Agricultural Indian Commodity Exchange Limited ICEX India Energy, Precious Metals, Base Metals, Agricultural Multi Commodity Exchange MCX India Precious Metals, Metals, Energy, Agricultural Products National Multi-Commodity Exchange of India Ltd NMCE India Precious Metals, Metals, Agricultural National Commodity Exchange Limited NCEL Pakistan Precious Metals, Agriculture Bhatinda Om & Oil Exchange Ltd. BOOE India Agricultural Karachi Precious Metals, Agricultural National Commodity and Derivatives Exchange NCDEX India All Shanghai Futures Exchange Shanghai, China Industrial metals, Gold, Fuel Oil, Rubber Singapore Commodity Exchange SICOM Singapore Agricultural, Rubber Singapore Mercantile Exchange SMX Singapore Futures & Options contracts in Precious Metals such as physically delivered Gold, Base Metals, Agriculture Commodities, Energy such as WTI and Brent denominated in Euro, Currencies such as Euro-US Dollar Contract, Commodity Indices Tokyo Commodity Exchange TOCOM Tokyo, Japan Energy, Precious Metals, Industrial Metals, Agricultural Tokyo Grain Exchange TGE Tokyo, Japan Agricultural Zhengzhou Commodity Exchange CZCE Zhengzhou, China Agricultural, PTA Buon Ma Thuot Coffee Exchange Center BCEC Buon Ma Thuot, Vietnam Coffee
Exchange Abbreviation Location Product Types APX-ENDEX APX-ENDEX Amsterdam, the Netherlands Energy Commodity Exchange Bratislava, JSC CEB Bratislava, Slovakia Emissions, Agricultural, Diamonds Climex CLIMEX Amsterdam, the Netherlands Emissions NYSE Liffe Europe Agricultural European Climate Exchange ECX Europe Emissions Energy Exchange Austria EXAA Vienna, Austria Electricity, Emission Allowances London Metal Exchange LME London, UK Industrial Metals, Plastics Risk Management Exchange RMX Hannover, Deutschland Agricultural European Energy Exchange EEX Leipzig, Germany Energy, Emissions
Exchange Abbreviation Location Product Types Australian Securities Exchange ASX Sydney, Australia Agricultural, Electricity, Thermal Coal & Natural Gas
- Commodity market
- Commodity trading in private electronic markets
- List of futures exchanges
- List of traded commodities
- ^ NFA. "Opportunities and Risk". http://www.nfa.futures.org/NFA-investor-information/publication-library/opportunity-and-risk-entire.pdf. Pg 75.
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