Commodities exchange


Commodities exchange
The floor of the Chicago Board of Trade, a major commodities exchange in the United States.

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.

Contents

Commodities trading

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.[1]

Commodities exchanges across the world

Main commodity exchanges worldwide:

Africa

Exchange Abbreviation Location Product Types
Ethiopia Commodity Exchange ECX Addis Ababa, Ethiopia Agricultural
Africa Mercantile Exchange AfMX Nairobi, Kenya Agricultural,equities and energy products

Americas

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

Asia

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

Europe

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

Oceania

Exchange Abbreviation Location Product Types
Australian Securities Exchange ASX Sydney, Australia Agricultural, Electricity, Thermal Coal & Natural Gas

See also

References


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