Trading has been around for hundreds of years and this practice of
exchanging goods and produce continues to thrive even in the modern world. From
its humble beginnings of bartering food for metals, present commodities trading
include several additions of high-valued resources needed to sustain the current
demands of daily life.
Commodities come in the forms of energy, metals, raw materials or food and
all are equally important in different fields and industries. This is the
reason why many investors make the practical choice of diversifying their
portfolio through investing in the most actively traded commodities in the
market. And they are:
1.
Crude Oil
One of the most in-demand and actively traded commodities
today is crude oil. It’s not surprising since every industry needs the energy
derived from this type of fossil fuel. In fact, the expected global consumption will be above 100 million
barrels per day (bpd) in 2018.
2. Coffee
Are you aware that
people around the world consume over 2.25 billion cups of coffee
every day? Americans alone contribute 400
million cups to this figure. This impressive global demand on this
commodity makes it one of the top traded goods today.
3. Natural Gas
Just like crude oil,
natural gas is one of the main sources of fuel and energy used for daily
consumption for almost everything. Even with the growing effort to switch to a
more renewable energy source, this commodity continues to hit trading records.
4. Gold
Considered as a
dependable and reliable material, gold continues to be a valuable commodity
especially for investors because of its relatively stable and progressive
increase in value over the long term.
5. Wheat
The base ingredient
in making bread, cakes, and similar items is the fifth most traded commodity in
the world. Grown mainly in temperate regions, wheat is a staple food in many
countries. In 2013, the trade value of this agricultural produce was
approximately $45 billion with the export volume reaching 154 million tonnes.
Investing in businesses that deal with these highly
valuable commodities can be very lucrative. Consult with a LOM financial advisor now to get
started.
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