14_presentation on commodity trading
TRANSCRIPT
-
8/9/2019 14_presentation on Commodity Trading
1/15
A Presentation On ,
COMMODITY TRADING
-
8/9/2019 14_presentation on Commodity Trading
2/15
What is Commodity trading ?What is Commodity trading ?
It is a market where primary products areIt is a market where primary products are
exchanged. Such as Gold, Silver, Agriculturalexchanged. Such as Gold, Silver, Agricultural
commodities, Metals, Crude etc.commodities, Metals, Crude etc.
Types of Commodity ExchangesTypes of Commodity Exchanges
NCDEX (National Commodity andNCDEX (National Commodity and
Derivative Exchange)Derivative Exchange)
MCX (MultiMCX (Multi--Commodity Exchange).Commodity Exchange).
-
8/9/2019 14_presentation on Commodity Trading
3/15
History of Commodity Trading
The first recorded instance of futures trading occurred
with rice in 17th Century in Japan.
The Chicago Board ofTrade was established in 1848
In the 1870s and 1880s the New York Coffee, Cotton
and Produce Exchanges were born.
The biggest increase in futures trading activity occurred
in the 1970s when futures on financial instruments started
trading in Chicago.
-
8/9/2019 14_presentation on Commodity Trading
4/15
Commodity Trading also provides hedging, trading andarbitrage opportunities to market players. The FMC is the
regulatory body for Commodity Trading in futures/forward
trade in India.
The FMC has its headquarters in Mumbai and the regional
office is located at Kolkata.
There are some 21 commodity exchanges in India. But most
of these commodity exchanges are regional, offline and
commodity specific.
The government has recently allowed four national level
multi-commodity exchanges to trade in all permitted
commodities
ABOUT COMMODITY TRADING
-
8/9/2019 14_presentation on Commodity Trading
5/15
Types of Commodities
Precious Metals : Gold and Silver
Base Metals : Copper, Zinc, Steel
Energy : Crude oil, Natural Gas
Pulses : Chana, Urad
Spices : Jeera,Turmeric,Cardamom
Others : Guar Seed and Guar Gum
-
8/9/2019 14_presentation on Commodity Trading
6/15
Commodity Trade Learning
Commodity trading is basically a exposed to
ideas plus practical experience watching the
market on a day to day basis.
For further details need to refer the books of
commodity trading, as the process is to befollowed on the day to day market activity.
-
8/9/2019 14_presentation on Commodity Trading
7/15
Indias commodity trading to gain $1.25 trillion
Turnover on Indian commodity exchanges led by MCE of
India ltd.
India will increase the maximum positions that traders may
hold in agricultural commodities
May reach Rs 50 trillion ($1.26 trillion) in the year from April
as rule changes boost trading in sugar and soybean oil.
BC Khatua, chairman of the Forward Markets Commission.
-
8/9/2019 14_presentation on Commodity Trading
8/15
ABOUT NCDEX
NCDEX is an online commodity exchange based in India.
It is a closely held Pvt.Ltd incorporated on 23rd April2003,under the companies Act,1956.
It received its Certificate for Commencement of Businesson 9th May 2003.
It is regulated by FMC in respect of futures trading incommodities.
-
8/9/2019 14_presentation on Commodity Trading
9/15
ABOUT MCX
MCX is an independent commodity exchange based inIndia.
It was established in 2003 and is based in Mumbai.
It has an average daily turnover of around US$1.55billion.
It features amongst the worlds top three bullionexchanges and top four energy exchanges.
-
8/9/2019 14_presentation on Commodity Trading
10/15
NCDEX TOP GAINERS/LOSERS
GAINERSCommodity Closing Price BARLEY JAIPUR 1178.80
SILVER DELHI 21297.00
TURMERIC NIZA. 3807.00
LOSSERS
Commodity Closing Price SUGAR-KOLHAPUR 1725.00
STEEL MILD-GHAZI. 30890.00
GUR-NEW-MUZZ. 648.40
-
8/9/2019 14_presentation on Commodity Trading
11/15
MCX TOP GAINERS /LOSERS
GAINERSCommodity Closing Price NICKEL 823.50
NATURAL GAS 371.40
COPPER 317.20
CRUDE OIL 5010.0
LOSSERS
Commodity Closing Price PLATINUM 20991.0
LEAD 73.35
CARDAMOM 738.50
-
8/9/2019 14_presentation on Commodity Trading
12/15
ADVANTAGES OF COMMODITY TRADING
Leverage
Ability to go short
No Time Decay
There are no balance sheets, no complicatedfinancial statements----all you have to do is
follow the supply and demand position of the
commodities you trade in very closely.
-
8/9/2019 14_presentation on Commodity Trading
13/15
LATEST NEWS OF COMMODITY TRADING
FMC is likely to raise price for jeera and turmeric
ZINC output capacity to rise 14%
Copper price dip part of larger commodities retreat.
Analysts expect bumper output for soybean
Tea export decline 29% in FY08.
-
8/9/2019 14_presentation on Commodity Trading
14/15
Chicago Board of Trade Future Market
-
8/9/2019 14_presentation on Commodity Trading
15/15
Thank You
Presented By
Furkan Y.Kamdar