stock market commodities
Currently, the stock market commodities in the world sold nearly 100 of the so-called exchange of goods. They account for about 20 % of international trade. These products can be conditionally combined in the following groups:
energy raw materials stock market commodities: oil, diesel fuel, gasoline, fuel oil, propane;
non-ferrous and precious metals: copper, aluminum, lead, zinc, tin, Nickel, gold, silver, platinum, etc.:
grains: wheat, corn, oats, rye, barley, and rice;
oil seeds and products of their processing: linen and cotton seed, soya, beans, soybean oil, soybean meal;
live animals and meat: cattle, live pigs, bacon;
all kinds of goods: raw sugar, refined sugar, coffee, cocoa beans, potatoes, vegetable oil, spices, eggs, orange juice concentrate, peanuts;
textile raw materials: cotton, jute, natural and artificial silk, washed wool, etc.
industrial raw materials: rubber, timber, plywood.
Types of stock market of commodities
Depending on the nomenclature of goods sold and purchased on the stock exchange, they can be divided into universal and specialized.
Universal stock market, commodities
The trading floor of the Chicago chamber of Commerce (Chicago Board of Trade)The largest by the volume of transactions international commodity exchange (MTB) are universal. For example in the Chicago chamber of Commerce (Chicago Board of Trade) trade in wheat, corn, oats, soybeans, soy meal, soy oil, gold, silver, securities. On the Chicago Mercantile exchange (eng. The Chicago Mercantile Exchange) - horned cattle, live pigs, bacon, gold, timber, securities, foreign currencies. On the Tokyo commodity exchange transactions are made of gold, silver, platinum, rubber, cotton yarns, wool yarns. In addition, universal exchanges are Sydney and Сянганская (Hong Kong) of the exchange.
Specialized stock market, commodities
For specialized exchanges characterized by more narrow product specialization, mostly by groups of goods. To such exchange include, for example, the London metal exchange (eng. The London Metal Exchange, LME, the group of non-ferrous metals: copper, aluminum, Nickel, tin, lead, zinc, silver and since March 2005, plastics), the new York stock exchange coffee, sugar and cocoa (eng. Coffee, Sugar and Cocoa Exchange), the new York cotton exchange (eng. New York Cotton Exchange), etc.
Centers of exchange trade are also the following cities in relation to the goods:
cotton - Alexandria, Sao Paulo, Singapore, Sydney;
rice - Milan, Amsterdam, Rotterdam;
wool - Antwerp, Melbourne, Sydney, Roubaix (France);
jute - Calcutta, Karachi;
coffee - Paris, Rotterdam, Le Havre, Hamburg, Amsterdam.
Organization of stock market of commodities
The majority of exchanges represent a voluntary Association of physical and legal persons registered in the country of domicile of the exchange, which is not the aim of its activity the extraction of profit. Organizational and legal status, as a rule, a joint - stock company of the closed type.
Often articles of Association of stock market of commodities involves the different status of the members of the exchange.
On the Chicago Mercantile exchange members, for example, with the status of GIM can perform the operation on all of the futures contract, stated in the official catalogue of the market of futures contracts on securities. The privileged members of this exchange with the status IDEM advantage in trade for all futures contracts on indices, debt instruments and precious metals. Members of the same exchange with the status of SOMS have the right to trade under the contracts presented in the list of commodity options trading on the stock exchange.
The Supreme management body of the stock exchange (after the General meeting of members-founders) is a special electoral body (Board of Directors, the Board of governors), which is subordinate committees, the Executive Directorate, the hired personnel.
Functions of the commodity exchange International commodity exchanges, which are recognized as centers of world trade in those or other goods, perform the following basic functions.
1. Daily fixing the price for the goods (Pricing). Results of the trades in International commodity exchanges become instantly famous all over the world thanks to modern means of communication and information. Thus, the price of International commodity exchanges are an indicator of the demand and supply on the specific goods at the moment in the world.
2. Hedging (Hedging). This form of insurance is the price at which sold or bought back the goods in the future. Hedging is one of the primary functions of the stock exchange for more than a hundred years.
3. We guarantee the delivery of goods (performance guarantee obligations under the contract) (Delivery). We guarantee the delivery of real the goods purchased or sold on the stock exchange, is ensured by the presence of a sufficient quantity of goods available in the warehouses of exchanges, as well as the creation of a special system of settlement, the adoption of the legislation on exchanges and the development of the rules for making transactions on the stock exchange, the control over the activity of exchanges with the state bodies.
Along with the fulfillment of our main features which are very important to the world trade in specific commodities exchange are the Institute of market economy, which provides the following possibilities for the participants of market relations:
game on the difference prices (speculative operations);
the possibility of investing the capital in exchange assets;
arbitrage operations;
the financing.
