Energy, metals and agriculture: supply and demand shocks, storage and cost of carry, how gold and oil are priced, benchmark prices, physical premiums and seasonality.
For: learners interested in physical commodities like gold, oil and crops
Crude oil, gold, copper, wheat… standardized physical goods traded in bulk. They're the raw materials of the world economy.
A drought or a production-cut deal can send prices swinging. See how prices change when the supply and demand curves shift.
Physical goods need warehouse space and insurance, and they tie up money. The cost of carry sets the price gap between buying now and buying later.
Gold pays no interest, so why do people hold it? See how real interest rates, the dollar and fear in the market drive the gold price.
Weekly crude inventory data is the market's weathervane: rising inventories mean oversupply, falling inventories mean strong demand.
It's all called "crude oil", but oil from different fields and ports sells at different prices. Physical price = benchmark + quality premium/discount + freight.
Grain is harvested once a year and natural gas is used most in winter. Seasons give supply and demand a rhythm, and prices and inventories rise and fall with it.