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What are commodities? Which commodities are most worth investing in in 2022?

2022-03-24
1207
  Commodities that can enter the circulation field can actually be called bulk commodities.And there are some very clear definitions here,which are non-retail links.What can truly become a commodity must have industrial attributes,and it can also be bought and sold in large quantities.In financial markets,the definition of commodities is nuanced.Primarily raw materials that can be used as an industrial base,but also widely traded.For example,crude oil,non-ferrous metals,etc.are all typical representatives,which also include iron ore,coal,copper and other items.

  Commodities are mainly divided into three parts,the first part is the energy part,such as crude oil,natural gas and so on we mentioned earlier.The second part is the basic raw materials.The scope of basic raw materials is relatively wide,including iron ore,nickel and so on.The third part is agricultural and sideline products.There are about 20 varieties of agricultural and sideline products,including apples,corn,soybeans,eggs and so on.

  What are the advantages of commodities?

  1.He has a wide variety of trades

  Mass commodities can meet the needs of most investors.Some people especially like to trade crude oil,some people especially like to trade eggs,and some people may even like to trade rubber.No matter which type of breed you prefer,most of them can be found in the market.And there will also be some things that you are engaged in in your own industry.For example,some people are engaged in energy and chemical industries.They can really know the price trend of spot crude oil,and they can conduct their business in this way.market transactions.

  2.The price is open and transparent

  Our commodity trading market is actually a very open and transparent market,and a comprehensive electronic trading platform has been realized.Anyone,anywhere can see the fairest offer.And everyone is trading on the same trading platform,just to eat according to their ability.Moreover,the prices of commodities are also very authoritative,and the prices of fund commodities and spot commodities are relatively linked.There are a large number of buyers and sellers in the market,and there are some institutions that may be spot commodities.They have a lot of commodities in their hands.They hope to be able to hedge in the commodity market and take the risk of their own enterprises.

  3.Two-way transaction

  Transactions in the commodity market are very free.Not only can you buy up freely,but you can also buy down freely.The transaction is very flexible.On the same day,you can buy and sell freely,realize hedging,and realize profit by speculation.

  What are the risks of commodities?

  The price of commodities fluctuates violently and is affected by the market and policies,resulting in sharp rises and falls.Therefore,for our investors,if they are not familiar with a certain commodity and rashly trade,it may lead to a large loss.

  Which commodities are worth investing in?

  Judging from the current market situation,the vast majority of people especially like to invest in crude oil,gold,copper and rubber.The most popular products in the market are mainly selected around these varieties.There are also some niche products,and the audience of niche products is not particularly high.The trading volume is also relatively small,and the trading volume on gold and crude oil is the most every month.

  If you feel like you see an option that's right for you,or you have a product that you're particularly fond of.You can also work hard on the products you like,and study the content you like.

  As far as the current market situation is concerned,the vast majority of investors favor gold the most.Because gold not only has the function of value preservation and appreciation,but also a very good hedge.In addition,his fluctuations are extremely large,and sometimes there may be dozens or hundreds of fluctuations in just a few minutes.Especially when it comes to some key data markets,the fluctuations are even greater.For example,there will be a big non-agricultural every month,which is a very good investment node for investors.Of course,the greater the benefit,the greater the risk.

  Therefore,we should sort out our thinking,control risks,and do not invest blindly.

  What will be the trend of commodities in the future?

  Judging from the market conditions in the past few years,the trend of commodities in the future should continue to make great strides.Especially from the beginning of 2021,the black line has ushered in a comprehensive surge.Domestic and foreign coal,crude oil and other prices are rising steadily.The price of crude oil is more obvious.In the previous period,the research price was only about 15 US dollars.Now they have risen to more than 80 US dollars,and there is a continuing upward trend.

  In addition,the impact of the epidemic on the world is also relatively large,especially in the United States,which is now in a stage of high inflation.Under such pressure,the price of commodities will continue to increase in the future.There are two reasons for this.The first reason is that the efficiency of production in most countries has begun to decline significantly.Due to the impact of the epidemic,their labor productivity has been greatly reduced,resulting in certain restrictions on their product production.The market is in short supply,and prices will naturally rise.

  The second reason is that now everyone is worried,will the debt crisis in the United States break out?The US has yet to fix their inflation,and their foreign debt is coming due soon.Today's Fed can only solve their troubles by printing money,but printing a lot of money will cause the dollar to shrink significantly.Once the dollar shrinks,the prices of commodities in the market will rise further.

  Under the internal and external troubles,the prices of commodities should continue to improve in the future.We might as well make a bold guess.Before the epidemic is over,the world will still be plagued by the epidemic,resulting in a further decline in production capacity.Therefore,it is difficult for commodities to return to their original prices in the next 2 to 3 years.As for how tall they can grow,it also depends on what the future environment will be like.

  From the overall rhythm,commodities are a choice that is very worth investing in the next 2-3 years.Maybe some people like to buy funds,some people like to buy bonds.But compared to larger commodities,at least in the next 2-3 years,funds and bonds are not the best choices.

  If you know enough about commodities,or are interested in learning about them,you can try to feel the charm of commodities.In 2022,energy commodities can be the preferred investment products.After all,energy is limited,coupled with insufficient productivity,so the scarcity of energy will further increase.

The above information is provided by special analysts and is for reference only. CM Trade does not guarantee the accuracy, timeliness and completeness of the information content, so you should not place too much reliance on the information provided. CM Trade is not a company that provides financial advice, and only provides services of the nature of execution of orders. Readers are advised to seek relevant investment advice on their own. Please see our full disclaimer.

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