Commodity Compass

 Primer: Agriculture Commodities History     Agricultural products have been traded since agrarian societies. It was regulated by the Chicago board of trade in 1848. Top Product Groups Grains and Oilseeds (Corn, Soybeans, Oats, Rice, Wheat) Livestock (Cattle, Hogs, Poultry) Dairy (Milk, Butter, Whey) Lumber Textiles (Cotton, Wool) Softs (Cocoa, Coffee, Sugar) Basic Supply Chain Farm to Flour Mill or other processors to Consumer. Pricing Much of agricultural commodities, like the others, trade on supply and demand. When world events happen and trade embargos are set, production is increased or cut back, or war breaks out in major importers or exporters, supply or demand can experience a shock, adjusting prices to a new equilibrium. Shipping in bulk always reduces costs because of economies of scale. Futures and other such derivative products are often used by consumers or producers to hedge price risk. Traders may use them to hedge risk while they transport goods. Transpor...

  Welcome to the Commodity Compass I'll be doing my best to provide consistent commentary and opinions on as many realms of the commodities markets as I can. My current trading expertise lies on the equities side as a proprietary equities trader, so I will be providing technical analysis alongside macro overviews. I will also be maintaining a paper trading portfolio trading commodity futures to see how my views can be practically used in real-time markets. Looking forward to learning a ton and documenting my journey here! P.S. my information is not investment advice - invest knowing your own risk - the choices you make are your own.