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Moneyextra.com Dictionary
Commodity
Commodity in City parlance is any homogenous item which may be freely bought and sold.
Commodities can be shares furniture or houses but the term typically refers to things like coffee cocoa and soya beans soft commodities or gold aluminium platinium hard commodities.
Commodities are typically bought and sold in the futures markets where producers combine with manufacturers and speculators to create a liquid market. See also options Since the film "Trading Places" with Dan Akroyd and Eddy Murphy most people have some idea of what commodity trading is all about and yes it does sometimes get almost as frantic as the film portrayed. See Also Online share dealing service Stockmarket Centre ©Moneyextra.com Moneyextra.com recommends you take independent financial advice before acting on any article 2009-02-17 00:00:00 © Moneyextra.com