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commodity market
commodity market organized traders' exchange in which standardized, graded products are bought and sold. Worldwide, there are 48 major commodity exchanges that trade over 96 commodities, ranging from wheat and cotton to silver and oil. Most trading is done in futures contracts, that is, agreements... Read more |
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hedge fund
hedge fund in finance, a highly speculative, largely unregulated investment device. Originating in the 1950s, the funds "hedge" by offsetting "short" positions (borrowing a security and then selling it at a higher price before repaying the lender) against "long" positions (borrowing... Read more |
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Capital Gain
CAPITAL GAIN If you buy a piece of land or a company's stock in January and then sell it the next January for a higher amount, you have realized a capital gain on that asset. (If the value of that land or stock has gone down between the time you bought and sold it you have experienced a capital... Read more |
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hedging
hedging in commerce, method by which traders use two counterbalancing investment strategies so as to minimize any losses caused by price fluctuations. It is generally used by traders on the commodities market . Typically, hedging involves a trader contracting to buy or sell one particular good at... Read more |
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production
production in economics, all those activities that have to do with the creation of commodities, by imparting to raw materials utility, added value, or the ability to satisfy human wants. The farmer who grows wheat, the miller who grinds the wheat into flour, and the baker who transforms flour into... Read more |
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Commodities industry
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black market
black market the selling or buying of commodities at prices above the legal ceiling or beyond the amount allotted to a customer in countries that have placed restrictions on sales and prices. Such trading was common during World War II wherever the demand and the means of payment exceeded the... Read more |
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Straddle
STRADDLE In the stock and commodity markets, a strategy in options contracts consisting of an equal number of put options and call options on the same underlying share, index, or commodity future. A straddle is a type of option contract that gives the holder of the contract the option to either... Read more |
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Arbitrage
ARBITRAGE The simultaneous purchase in one market and sale in another of a security or commodity in hope of making a profit on price differences in the different markets. In its simplest form, arbitrage is "buying low and selling high." In this sense, any trader who buys something in one... Read more |
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Contango
Contango BIBLIOGRAPHY The term contango refers to a case where the futures price exceeds the expected future spot price of the underlying commodity. Futures prices are the prices of futures contracts for the commodity. Expected future spot prices are the prices of the commodity in the spot... Read more |
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Gold, Silver Advance As Dollar Drops
...Tuesday, and investors widely expect...and gave investors reason to...metal rose as high as $818...trading, the highest since Nov...ounce, while January platinum...eased some market worries about...strategic investor in the Middle...Street and investors in the ... |
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Precious metals, agricultural futures make gains as US dollar declines
...Tuesday, and investors widely expect...and gave investors reason to...metal rose as high as $818...trading, the highest since Nov...ounce, while January platinum...eased some market worries about...strategic investor in the Middle...Street and investors in the ... |