Commodities are raw materials or primary agricultural products that are traded on commodity exchanges. These goods are typically standardized and interchangeable with other goods of the same type. The trading of commodities can take place on physical exchanges, where the actual goods are bought and sold, or on futures exchanges, where contracts for future delivery are traded.
Commodities are publicly traded tangible assets, agricultural products and natural resources used in commerce and trade. The financial world splits commodities into two major categories: hard and soft. Some kinds of commodities are Precious metals such as Gold, Silver, Platinum, Wheat, corn, soybeans, Cotton, Sugar, Coal, Oil, and other fossil fuels.
BCM through PMEX offers a wide range of products that Pakistan produces, exports and imports along with products listed at various leading International Exchanges of the World.
How to start Commodity Trading
01
Open a trading account with BCM
02
Research on Commodities you want to trade
03
Decide how you want to trade
04
Deposit Payments by Direct Fund Model
05
Take steps to manage your risk
06
Open and monitor your position
07
Enter orders, monitor positions & receive profits
08
Trade Well & Happy Trading
Why should you start Commodity Trading
You’re interested in speculating on the underlying price of commodities
You want to trade rising and falling markets – going long and short
You want to leverage your exposure
You want to take shorter-term positions
You want to hedge your portfolio
You want to trade without owning the underlying asset
You want to trade on the move with natively designed, award-winning app
Gold is known as a safe haven for the investors. Investors generally buy gold to hedge or harbor against Central bank decisions, economic, political, social fiat and currency crisis. Gold is also used as medium of monetary exchange in various countries. The precious metal is used as a standard for monetary exchange, in coinage and in jewelry. Recently Gold prices have gained a huge increase in its prices and are expected to continue this momentum.
SILVER
Silver is valued as a precious metal after gold for investment purposes. The industrial application of silver has dramatically increased the consumption of silver across the globe. Each year, Silver mines produce about 650 million ounces; from recycling comes 250million ounces and about 100 million ounces come from investors of government sales. The current increase in the prices of silver is expected to continue in 2018.
COPPER
Copper, the “Red Metal”, ranked as the third most consumed industrial metal in the world is soft malleable, ductile metal with very high thermal and electrical conductivity for which it is abundantly used in electric equipment's, appliances and motors. Thus, Copper has a high industrial usage along with its usage in coinage. With the growth of industrial activity in the major economies of the world, demand of the copper is increasing day by day.
PLATINUM
Platinum, much rarer than gold, is ranked in precious metals with its major deposits in Russia and South Africa. It is one of the least reactive metals with remarkable resistance to corrosion even at high temperatures. It is primarily used in jewelry, electronics and automobiles. Platinum prices are on the rise. Platinum is considered as one of the favorite products for investors.
PALLADIUM
Palladium is a rare and lustrous silvery-while metal having lowest melting point and is least dense in the Platinum Group Metals. The largest use of palladium today is in catalytic converters. Palladium is also used in jewelry, dentistry, watch making, blood sugar test strips, aircraft spark plugs, surgical instruments, and electronics.
Known as “Black Gold”, Crude Oil can be termed as one of the most lucrative commodities. No one can deny the importance of Crude Oil in global economies. The world has seen Crude Oil prices going down to $26 per barrel due to global glut. The current policies of major oil producing countries have got rid of that glut and Oil prices are increasing. Experts foresee the Oil prices getting further stable in the coming months.
BRENT OIL
Brent Crude is a major trading classification of sweet light crude oil that serves as a major benchmark price for purchases of oil worldwide. It is used to price two thirds of the world’s internationally traded crude oil supplies. Brent blend is a light crude oil (LCO), though not as light as West Texas Intermediate (WTI). Along with Crude Oil prices, Brent Oil prices are also on the rise and are expected to stabilize to its previous levels in few months.
NATURAL GAS
Natural gas is a naturally occurring hydrocarbon gas mixture consisting primarily of methane. It is used as a key source for generating electricity and providing energy along with its usage for heating. Natural Gas is a low cost energy source for which the market participants prefer to trade in high volumes for higher profits.