Commodity trading is a commodity market where buying and selling of various commodities and their derivative products take place.
Similar to stock trading, investors can invest in commodities through various commodity exchanges. MCX (Multi Commodity Exchange) offers trading in commodity derivative contracts across varied segments including bullion, industrial metals, energy and agricultural commodities, as also on indices constituted from these contracts.
Trade in Bullion, Energy, Agro.
(Gold, silver, crude oil, Natural gas, corn, rice)
Trading on Lower Margin.
Diversification of portfolio.
Can invest and trade.
Hedge against risk.