Commodities

COMMODITIES TRADING

At Daio Markets, a plethora of commodities encompassing both soft and hard categories, such as cocoa, coffee, and copper, present themselves as distinct trading prospects or valuable additions to a well-rounded investment portfolio. Seize the advantage of CFDs to leverage the potential of fluctuating prices in this asset class, all while benefitting from the unparalleled trading conditions that Daio Markets is renowned for offering in the industry.

WHY TRADE CFDs ON COMMODITIES WITH DAIO

Ultra-fast execution

Trade on both rising and falling prices

Instant access to global markets

WHAT IS COMMODITIES TRADING?

At Daio Market, the world of commodities trading unfolds, encompassing the buying and selling of tangible goods sourced from the earth’s bounty – be it precious metals like gold, energy resources like oil, or agricultural essentials like coffee and sugar. The value of these commodities is intertwined with the production of various goods and services, leading their prices to be influenced by an array of factors, including supply and demand shifts, climatic conditions, geopolitical occurrences, and more.

Enterprising investors and traders can immerse themselves in commodities trading by engaging with diverse financial instruments, most notably futures contracts. These instruments pave the way for traders to forecast the forthcoming price trajectories of commodities, safeguard against price volatility, and capitalize on trading with leverage.

Daio Market extends the opportunity to trade CFDs linked to both soft and hard commodities, all enriched by leveraging capabilities and rapid execution.

Embark on your commodities trading journey with the flexibility of choosing the Daio App, for an immersive CFD trading experience in the realm of Commodities.

FAQs

How do I get started with Commodity trading?

Firstly, learn about the different types of commodities that are traded and their market dynamics. This can include reading industry reports, following commodity prices, and understanding supply and demand factors. Then, open an Daio Live or Demo trading account and choose your platform, strategy and trading opportunity. Open your position and monitor.

What moves a Commodity’s price?

The price of commodities is influenced by a wide range of factors, including:

Supply and Demand: The basic principle of supply and demand plays a significant role in determining commodity prices. If the supply of a commodity exceeds demand, prices may fall, whereas if demand exceeds supply, prices may rise.
Geopolitical events: Geopolitical events, such as wars, natural disasters, and political instability can disrupt the supply of commodities and impact prices. For example, political unrest in oil-producing countries can lead to disruptions in oil supply, causing prices to rise.
Weather conditions: Weather conditions such as droughts, floods, and hurricanes can impact the production of agricultural commodities, such as wheat and corn, and impact prices.
Global economic conditions: The health of the global economy can impact the demand for commodities. During periods of economic growth, demand for commodities such as industrial metals and energy can increase, while during economic downturns, demand may decrease.
Currency exchange rates: Commodity prices are often denominated in U.S. dollars, so changes in exchange rates can impact prices for buyers using other currencies.
Government policies: Government policies such as trade tariffs, subsidies, and regulations can impact the production, consumption, and pricing of commodities.
Seasonal factors: Some commodities, such as natural gas and heating oil, have seasonal demand patterns that can impact prices.

What are the most traded Commodities?

The most traded commodities in the world include:

Crude Oil

Gold

Natural Gas

Corn

Copper

How much do I need to start trading Commodities?

At Daio, we offer multiple account types to suit the specific requirements of different traders. Whatever your trading strategy, level of funding or appetite for risk, there is an account to match your needs. Please, check our Accounts Page for more information.