Review:
Commodity Market
overall review score: 4.2
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score is between 0 and 5
A commodity market is a physical or virtual marketplace where goods are traded, typically raw materials or primary agricultural products.
Key Features
- Trading of physical goods
- Prices determined by supply and demand
- Speculation and hedging opportunities
Pros
- Provides price transparency
- Allows producers to hedge against price fluctuations
- Provides liquidity for market participants
Cons
- Vulnerable to price manipulation
- Can lead to excessive speculation and volatility