Most common commidities and why?

 Most common commidities and why?

 

 

 

The most common commodities are typically those that are in high demand and are widely used in industry and daily life. These include energy commodities such as crude oil and natural gas, precious metals like gold and silver, and agricultural products like wheat and corn. 

 

These commodities are considered essential for modern society and are traded on commodity markets around the world. Their prices are determined by a variety of factors such as supply and demand, political and economic conditions, and weather events.

 

Energy commodities, such as crude oil and natural gas, are some of the most important and widely traded commodities in the world. They are used to power transportation, industry, and homes, and their prices can have a significant impact on the global economy. The price of crude oil, for example, is determined by factors such as production levels, geopolitical tensions, and global demand.

 

Precious metals like gold and silver are also widely traded commodities. They are often used as a store of value and a hedge against inflation, and their prices can be affected by factors such as interest rates, currency fluctuations, and economic uncertainty.

 

Agricultural products like wheat, corn, and soybeans are also commonly traded commodities. These products are essential for food production and their prices can be affected by factors such as weather events, crop yields, and global demand.

 

In addition to these commodities, others such as base metals like copper, nickel and aluminium, industrial metals like palladium, platinum, and rhodium, and soft commodities like cocoa, coffee, and cotton are also widely traded on global markets.

In general, the demand for any specific commodity is driven by the industries that use it. 

 

For instance, the demand for crude oil is driven by the transportation and energy sectors, while the demand for gold is driven by the jewelry and technology sectors. Factors such as population growth, urbanization and technological advancements also play important role in determining the demand for the commodities.