Commodities

Commodities are goods that are in demand but supplied without differentiation. Some samples of commodities are silver, platinum, palladium, copper, crude oil, coal, salt, sugar, coffee beans, soybeans, wheat, and rice. But salt, sugar, coffee beans, soybeans, wheat, and rice; these are the goods that are grown are soft commodities. Hard commodities are those extracted from mining like energy commodities which include gas, electricity, coal, and oil. Commodity markets are where primary products are exchanged. Raw commodities are traded on strictly regulated exchanges and are purchased and sold in standardized contracts. Today’s commodity markets stem from the trading of agricultural products. Within the nineteenth century, wheat, corn, cattle, and pigs were traded. Other foods were only recently added in most markets. to determine a commodity market there must be a good consensus on why the merchandise is beneficial and for what purpose. Commodity money markets are believed to have originated in Sumer, where small tokens made up of clay were used as money. These tokens were often shaped within the sort of sheep and goats. The tokens were stored in clay vessels and labeled on the surface. The label listed the number of tokens inside the vessel and was a promise to deliver the labeled amount. This created a sort of commodity money. Eventually, contracts would be made on flat tablets and therefore the tokens disappeared. This was the beginning of commodity accounting. The development of commodity markets features a dramatic economic impact. Over the years, the exchanges helped to shape changes and enhancements in transportation and financing, which led to international trade.

Result Found:- 486

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