What is Commodities ?
Commodities are raw materials or primary agricultural products that can be bought and sold, such as metals, oil, grain, and livestock. They are often traded on exchanges and can be an essential part of forex trading. Here’s a bit more about them:
Why Trade Commodities?
Diversification :- Adding commodities to a portfolio can help diversify investments and reduce risk.
Inflation Hedge :- Commodities often retain their value during inflationary periods, making them a hedge against inflation.
High Volatility :- Commodities can experience significant price movements, providing trading opportunities.
Pick Your Pairs
The Commodities market operates Monday – Friday 00:05 – 23:50 GMT+1
| Symbol | Average Spread (pips) | Spread As Low As (pips) | Max Leverage |
|---|---|---|---|
 UKOUSD Brent Crude Oil | 0.20 | 0.18 | 1:100 |
 USOUSD WTI Crude Oil | 0.20 | 0.18 | 1:100 |
 NATGAS Natural gas | 0.18 | 0.17 | 1:100 |
| Symbol | Average Spread (pips) | Spread As Low As (pips) | Max Leverage |
|---|---|---|---|
| UKOUSD Brent Crude Oil | 0.15 | 0.13 | 1:100 |
| USOUSD WTI Crude Oil | 0.15 | 0.13 | 1:100 |
| NATGAS Natural gas | 0.13 | 0.12 | 1:100 |
| Symbol | Average Spread (pips) | Spread As Low As (pips) | Max Leverage |
|---|---|---|---|
| UKOUSD Brent Crude Oil | 0.15 | 0.13 | 1:100 |
| USOUSD WTI Crude Oil | 0.15 | 0.13 | 1:100 |
| NATGAS Natural gas | 0.13 | 0.12 | 1:100 |
Commodities Market Characteristics
Commodity is a raw material, such as natural resources or agricultural products, used in commerce. Coffee, Sugar, and Copper are among the most commonly traded commodities in the markets.
Commodity prices are influenced by economic, political, and environmental factors such as:
Supply and Demand : Prices are largely determined by shifts in supply and demand.
Technological Advances : New technology impacts how commodities are sourced and processed.
Geopolitical Tensions : Political instability can lead to fluctuations in commodity prices.
Weather Conditions & Natural Disasters : Severe weather and disasters can disrupt supply chains.
Commodities can be an important means for investors to diversify their portfolio. Heddge Capitals offers traders and investors the opportunity to participate in the commodity markets by trading derivatives on a range of metals, energies, and soft commodities with low margin requirements and hedging strategies allowed to manage their price exposure.
Diversification : Commodities offer a valuable tool for portfolio diversification.
Low Margin & Hedging : Heddge Capitals offers low margin requirements and hedging strategies for price exposure management.
Award-winning Broker : Trade with confidence through Heddge Capitals, an awarded multi-asset broker.
Get the confidence of trading with an awarded multi-asset broker. Start trading derivatives on Commodities with Heddge Capitals!