What is commodities trading? Commodities trading is the buying and selling of raw physical assets like wheat or sugar. Commodities are the building blocks of the global economy; they are the raw materials. There are two types of commodities – hard and soft. Soft commodities are those that tend to be grown such as: coffee, cocoa, sugar, corn, wheat, soybean, fruit and livestock. Hard resources are typically those natural resources that need to be extracted in some form. These include commodities such as gold, rubber and oil.
Commodities are traded on numerous exchanges that specialise in specific markets such as the London Metal Exchange (that specialises in non-precious metals) and the Chicago Mercantile Exchange, which specialises in energy and metals. However, with Capital.com, you can trade commodities CFDs which provide greater liquidity and the ability to trade on leverage, which can amplify your wins as well as your losses. See live commodity prices below.
Capital.com makes the majority of it’s money through the spread, the difference between the buy and sell price.
Commodities are available to trade with up to 10:1 leverage. Start trading with as little as $100 to control a position of $1000
Trade 24/5 on a wide range of commodities
Buy and sell commodities to take advantage of rises and falls in price
You can easily define Stops and Limits to request positions to close at a specified price.
Set up price alerts to be informed of big moves.