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Understanding commodity trading

Understand supply and demand, contract specifications and commodity risk.

Supply, demand and inventories

Commodity prices respond to production, consumption, inventories, weather and transport. Energy and agricultural products can have different drivers.

Understand contract structures

Check the underlying asset, quotation unit, contract quantity, expiry and rollover. A related CFD does not necessarily involve owning or delivering physical goods.

Costs and market movements

Consider costs, leverage and major supply or demand events. Price differences between contracts can affect rollover or product adjustments.

This guide explains trading concepts and is not investment advice. Product terms and availability are set out in formal documents.

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