Introduction of Commodity Futures Markets

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COMMODITY BASIS Introduction of Commodity Futures Markets Commodities are perishable and nonperishable goods that require proper shipment and storage. A spot market is a place where producers and consumers meet- the former sells their commodities while the latter buys them. While commodities trading has been around for centuries, financial speculators believe that commodity futures markets offer better options than the current system that most commodity brokers have become used to.

Commodity Futures Market This started back in the 19th century when farmers had to transport their crops through plank roads to find buyers. This meant travelling for days and by the time they reached the buyers, the crops were already starting to rot. Buyers and sellers had to look out for themselves and competitive bidding was the only way to go. To solve this issue, central markets were formed and contracts were made for forwarding (future) and spot (immediate) delivery.


Traders and consumers need simultaneous access to real-time, market-derived price quotations. Should they plan on making a purchase, the real-time updates enable them to set the right price for future delivery. This is where CommodityBasis comes in.

What is Commodity Basis? CommodityBasis is a platform that shows real-time price information and networks people who are involved in commodity future trading and commodity physical trading.

We work closely with the United States Department of Agriculture (USDA) and other partners to cater to the needs of the global market. Information asymmetries are not included in the list so brokers can easily plan their purchase.

Aside from access to an updated list of price information, forming partnerships with other companies and increasing profitability.

For more Information: Address: Kemp House 152­160 City Road, London (Middlesex), Greater London, United Kingdom (EC1V 2NX)

Mail us: support@commoditybasis.com Contact us: 207 193 7892 Visit: www.commoditybasis.com


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