Commodities

Commodities are physical raw materials used in production, energy, and global trade. They move with supply, demand, inflation, and world events. They are important for diversification and often rise when markets struggle. Commodities protect against inflation because they hold real value. They are used by governments, industries, and investors. Many investors use them during recessions or political tension. They have been traded for thousands of years.

Metals like gold, silver, copper, lithium are used in manufacturing, electronics, and wealth storage. They protect against inflation and currency risk. Gold is the safest and oldest store of value. Energy such as oil, gas, coal powers the world’s industry, transport, and electricity. Their prices rise with demand or war. They are essential for global activity. Agriculture includes wheat, corn, soybeans, rice which feed the world. Their prices depend on weather, demand, and global shortages. Livestock such as cattle and hogs are used for meat production. They fluctuate with food demand and farming costs. Softs like coffee, cocoa, sugar, cotton grow in tropical regions. They depend on weather and global consumption.