It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
In economics, a commodity is the generic term for any marketable item produced to satisfy wants or needs. Economic commodities comprise goods and services.
In contrast, one of the characteristics of a commodity good is that its price is determined as a function of its market as a whole. Well-established physical commodities have actively traded spot and derivative markets. Generally, these are basic resources and agricultural products such as iron ore, crude oil, coal, salt, sugar, coffee beans, soybeans, aluminum, copper, rice, wheat, gold, silver, palladium, and platinum. Soft commodities are goods that are grown, while hard commodities are the ones that are extracted through mining.
Originally posted by nidstav
Now, let's talk about the MF Global case. This was a bankruptcy. The thing was that the money that was supposed to be in the segregated account was long gone when the company went bankrupt. This was a big disaster. Because the farmers didn't get payed and the producers didn't get their resources. If everybody followed the law the segregated accounts would have been protected. They wouldn't even enter the estate of the bankrupt entity. But, you know how this work by now. There has been little aftermath in this case. The trail leads to a politician called Corizine and the funding of the Obama campaign. Now, the confidence of those markets have been reduced. Justice has not been served. If international investors really loose confidence in USA markets, it would be catastrophic. This is what is currently happening. USA needs to continue in its role as a financial hub in order to make money. This is getting harder and harder.
Originally posted by BeenieWeenie
I was a professional trader for a number of years. It is important for speculators be in the markets because they add liquidity. I held positions for a few seconds to a few minutes. The more people that are trading the market, the more accurate the price is at any given moment.
In 2007, massive impromptu street protests threatened the popularity of Mexican President Felipe Calderón. But it was not drug violence or kidnappings that prompted the outcry. It was the price of corn tortillas.
Earlier this month, tortilla makers said that prices could rise by 50 percent. An increase of the same amount led to the so-called “tortilla riots” of 2007. At that time, the Monitor attended marches with protesters angrily gripping onto cobs of corn and chanting, “Without corn, we aren’t a country.