A product or a material that can be bought and sold is known as commodity market. A commodity market is a market where you can buy and sell the goods taken from the earth, cattle to gold, oil to oranges, orange juice to wheat. Commodities can be flipped into products like baked goods, gasoline, or high-end jewellery, which can be sold and bought one at a time by the consumers and other businesses. Products like for example, wheat, coffee, natural resources, gold, silver, crude oil, etc. we trade on products contract instead of actually buying that particular product. And commodity market is regulated by SEBI.
There are two types of Commodity Market:
> Hard commodities: natural resources Metals and Energy.
> Soft Commodities: Agriculture.