twitter
    Find out what I'm doing, Follow Me :)

Tuesday, September 20, 2011

Commodity Trading – Sketching the Asian Commodity Exchange Market


Commodity derivate or traders have flung the Asian market off late for retail investors and traders to try their skills into. Just in case you are looking at diversifying your portfolio beyond shares, bonds and real estate, commodity Trader Avenue seems to be coming along really well as a venture option. Commodity trading is a booming industry for market savvy investors, arbitrageurs and speculators. There is immense potential in the industry and has evolved to become a separate asset class. Those who understand the concept of equity markets, commodities trading market is quite an immeasurable vertical for them to explore. When we look at Asia’s scenario in commodity trading, India has an impressive portfolio, with various commodities clocking up to an annual turnover of INR 1400 billion. With future trading getting momentum in current times, commodities market is expected to grow multi folds. 

Talk of more elaborate Asian commodities market and instant pop up would be an apparent Tokyo commodity exchange and its gold contract, or the multi commodity exchange of India and even the agricultural futures exchange of Thailand. Bursa Malaysia is a signifcant hub for crude palm oil future commodities trading. It is the largest explorter of palm oil that is used in margerine and shortening fats.

Commodity exchange market Asia detailed

When it comes to Asia, how can India go overlooked? Backed by a history of future commodity trading, since American civil wars, where British were known to be buying cotton or the white gold from India to feed the looms. In today’s scenario, national commodities and derivatives exchange, Multi commodity exchange of India and the National multi commodity exchange encompass the maximum exchanges in India. Of the 73 products that are marketed by India’s commodity exchange are spices such as cardamom, metals including aluminium, lead and nickel, rice, maize, soybean, and grains. Guar seeds and mustard oil are also some of the significant commodities on offer at the Indian commodities exchange market. 

On the other hand Tokyo grain exchange offers products like Azuki bean, Robusta and Arabica coffee, corn, raw sillk, soybeans, raw and refined sugar making Asia as one of the strongest contenders in commodities trading market worldwide. While we disclosed these facts, it’s worth mentioning the central Japan’s performance as well that’s trading numerous Uno products like gasoline, ferrous scrap, aluminium and nickel. 

Thailand and China are yet again some really ace players of the industry doing fairly well with their commodity product offerings. 

As the map expands and world gets fatter by pennies, commodities exchange and trading market is going to expand and flourish. In the interim, an investment business strategy to try hands on this tangent could be a great idea to work on. Stay wary of the risks and opportunities though and do a thorough research before propelling. 

Visit for more information about Commodity Trading & Asia Commodity Exchanges