«Sun» continues to talk about the commodity. The main requirement for the product so that it could become commodity - widely distributed, mass production and consumption. But precisely because of massive commodity can not be many.
Ancient markets
The first classical kommoditi were cereals, more precisely, cereals: rice, wheat, corn. Farmers produced a limited number of types of goods for sale. Hence, there is a large market, where a particular batch of grain to repeatedly change hands. Kommoditi, as a rule, are not simply a commodity market, a commodity. The point is that with increasing degree of processing of raw material increases the number of end products. And the greater the degree of processing, the smaller markets have become, the less a good chance to become a full kommoditi. There is often kommoditi markets unfairly confused with the consumer. Typically, kommoditi lies at the base of the pyramid of economic sectors: cereals - the basis of bakery, flour, confectionery industry, the production of animal feed, cotton - yarn, fabric, clothing, gear, ropes, gold - the basis and the father of finance, etc. A large amount of the market - the necessary foundation to ensure that you are always able to sell or buy products without thinking, whom you sell or from whom exactly you'll buy. Not experiencing, whether you will be able to sell for a fair price. Not like a buyer - there is always another, approximately the same conditions. Only a small part of the goods can claim this property. With plenty of contractors is inextricably linked the concept of liquidity. This is the second necessary condition to ensure that the goods could be called kommoditi. It is well known that liquidity - the ability of the asset to be exchanged for cash. The faster and with fewer losses, it can be done, the liquid assets. For the standard adopted by the liquidity cash.
A single price is required
The large number of buyers, as a rule, to ensure liquidity, but it is not always the case. The classical part of applications for the purchase and sale on the exchange trading. Despite the fact that the application is only a small part of them are quoted at prices close to the price of the last transaction. The amount of spread between the buying and selling is an important determinant of liquidity. At the exchange trading almost always corresponds to the degree of liquidity of trading volume, because the large amounts of hard to keep a high spread.
High liquidity necessarily lead to the existence of a uniform price for kommoditi. This question is refracted in two aspects. First, the absence or, more accurately, minimizing the spread between the bids for the purchase and sale of applications. In order to freely resell, the overhead costs of the transaction should not be large. Most Russian stocks still can not boast of such property. To minimize the magnitude of spread of market-makers are obliged to quote a relatively close applications for the purchase and sale. However, in practice this does not always lead to a real reduction in spreads, as the economic sense of any market maker is to increase the spread and to earn it. Secondly, the possibility of introducing a uniform regional prices, which characterized the entire local market. Explain an example. In the United States are tender pork in almost every state, and prices, of course, they are different, so that in vivo a pig can not be considered kommoditi. However, if you type the synthesis of pork index, which is drawn from the state of prices, taken with some weights proportional to the volume of trades, then we get a product that already possesses the necessary property.
A similar situation exists in the markets of oil, grain, etc. Finally, kommoditi should have the institutional capacity to enable fast and low overhead sign on the transaction, to obtain information on prices in recent times, have a warranty on the calculation of the major financial institutions, the possibility of obtaining marzhevogo shoulder, etc. All these problems can be solved, for example, through the mechanism of exchange trading.
Shrimps as money
Mass distribution, as well as ease in sharing - a good prerequisite for the use of kommoditi as money. Historically, when classical money has not yet been kommoditi began to arise in the markets of the most frequently used in real products. In the hungry time kommoditi bread became real money. You can remember pieces of salt, shells and much more. A kommoditi gold and is still considered to be money in the last resort. Despite the fact that the quality of consumer goods is still very important, fundamental properties kommoditi become pure commerce. And to speculate in such products is very easy. Related factors should not be prevented from doing the main thing - to systematically enter into transactions for profit, the exchange of products and perform other functions inherent in money.
So to answer the question whether the goods related to kommoditi, try to present it as money, as a means of treatment, or accumulation, etc. Of course, this type of question, how much is a bunch of nuts - as you like, and is called. But in general, a logical connection. On this point, I recently discussed with one producer of shrimp, fashion business today, spread almost all over the world. He claimed that the money - this money, and the party crustaceans - that is another. However, considering how easily he could exchange the goods for real money, as far as bulk commodities, my opponent was forced to acknowledge that the shrimp could replace the money in most cases, its business.
Bulk goods are still widely used as a measure of value. It is not only a primitive embedding in the real estate or antiques, but, above all, the hedging portfolio with the help of various commodity indices. Most widespread in the world received the product index CRB, which even held a liquid futures trading. Sought out more on the composition of its commodities index Goldman Sach. There are other commodity indices. Various consumer basket, which has represented kommoditi are the benchmark standard of living of large segments of the population.
According to the schedule and rules
Purely commercial properties of any product dramatically improved when it begin to hold regular formatizirovannye bidding. The level of bidding may be different. The most primitive of their appearance - the specialized market, when in a certain place (including virtual) are bidding on only one product or group of interchangeable products. Various thematic bulletin boards, specialized vystavkiprodazhi, thematic physical markets (eg, fisheries, construction) may be a first step to recognize the product of his particular role, make it kommoditi.
An important element of the market - bidding schedule. This increases the intensity of transactions. Often, bids are organized once a week, but this kommoditi is, of course, must occur much more frequently. The next level of the market - introduction of special rules of trade. Here two main aspects.
First, the quality control of goods. The buyer should not spend the time and money with the deal it is most interested in price. Historically, the control function to assume the major trading houses, which are dealt in the goods and have an extensive representational structure. In ensuring the delivery was also attended by insurance companies and various financial institutions that act as guarantors, and transaction. Secondly, there must be a precise description of the supply.
The most optimum variant - to impose standard rules of contract, as is customary in any exchange. It describes the main characteristics of the goods and the rules of where and how it should be placed. All the classic kommoditi allow the standardization of delivery. If the standard can not go another way. Represents a single installment on the sale of goods, in advance experts describe its main characteristics, as potential buyers or sellers are sometimes in a fairly long time to learn the key lead.
For the organization of each product market is very important the form of tender. Started with the auction of various types: classical, Dutch, tenders, etc. However, the highest form, of course, are the exchange contracts, when both of the counterparties are few sellers, and everyone finds a bargain only with the stock exchange, not knowing each other.
Ten years - unsuccessfully
The Exchange began trading with the goods. These were the auctions in Japan on rice for more than 300 years ago. Then there were the American wheat, copper, corn, etc. It is therefore logical to impose a strict interpretation kommoditi as financial derivatives only for the goods. Many do so and understand that. Historically, very widespread view that kommoditi - are goods for which there are necessarily trade futures. Even there is a definition: kommoditi - this commodity futures contracts.
Indeed, in the lexicon treydersky this word has come from exchange of contracts on the most popular goods. And so far that is what the word distinguish a group of financial instruments in currencies, equities, bonds, etc. In actual practice such a definition is convenient. But it should be noted that the word kommoditi emerged long before the first exchanges. Therefore, an important condition for kommoditi as an opportunity to introduce standardization of supplies, while almost universally present, but not necessarily. And if the MICEX can not run commercial contracts with physical delivery, this does not mean that in Russia, white sugar - not kommoditi. In ten years, Russia has unsuccessfully tried to enter the stock trading in commodities. In doing so, I have never met, that someone carried out an analysis on the above items, and said, whether the necessary conditions are ripe for starting such auction.
Among other markets
Only professionals working at kommoditi. By some estimates, in Russia, only about 3-5% selling kommoditi. By the way, about the same protsentsistematicheski winning traders in the global statistics. How many bushel of corn weighs how to define Lean pork carcasses, not razdelyvaya it when poured soybean pods in the delta of the Mississippi, but weighs a bag of coffee, on a route normally move from the center of the Atlantic, typhoons in the United States? A listing of these issues can completely discourage any desire to work with commodity contracts. Rejection of the past is often based on ignorance of basic production methods of predicting the characteristics and prices. And in fact kommoditi not so scary. Price kommoditi market analysis is not fundamentally different from the analysis of other markets. Technical analysis was born three centuries ago in Japan just for this market, the analysis of the price of rice, and then was moved to other markets - stocks, currencies, bonds.
Of course, as it might say that tehanaliz the same for all graphics, features all the same there. For example, in the fact that the price of the product, unlike stock, can never go to zero, which affects the forms of many shapes tehanaliza. However, these differences are not so significant. An important difference from the financial futures is that the real value of commodity futures price is determined, in addition to interest rates, a cost of storage and insurance products. But usually the trader is not necessary to understand deeply the entire set of problems related to the definition of futures price and its value at the time of the expiration of the specified period. If the market elimination, the price fluctuations will occur in the same way as in any other market. As a consequence, the behavior of the trader, if its purpose is merely speculation, can not and should not fundamentally differ from the actions of any other market.
Based on personal experience, I can assert that the analysis of basic information of goods easier, and the laws in force in sprosapredlozheniya products more tightly, predictably and quickly.
The important fact is that marzhevye requirements on futures markets essentially liberal than in other markets. Perhaps the only competitor is the market FOREX. Typically, futures margin is within 4-7% of the contract - its front cost, which is calculated as the product of the physical volume of shipments to points and the cost of one item.
The tail attempting to wag the dog?
The main purpose of kommoditi - serve the purpose resales to be an ideal tool for cross capital investment shifts. It is an ideal tool for portfolio investment, financial instrument of the so-called «Belgian dentist» (the symbol of a new type of investor, a source of «hot money»).
Modern speculator absolutely still, which is a basic asset for the futures contract. He trades in future expectations. And very often, while reading various texts in English treyderskie, to meet with the view that kommoditi - that is all that is well traded. Therefore, the main challenger for the title kommoditi steel futures on stock indices. They have been very convenient for short-term speculation. And now nobody is surprised assertion that kommoditi number 1 in the world - an American index S & P, although it is not real good. He has the greatest liquidity, the biggest volume of trades, the lowest spread. In kommoditi become as different currency futures, shares of the largest global companies. FOREX market is much larger than the market for classical kommoditi. Therefore, those who are trying to call the currency kommoditi, like the tail, which is trying to wag the dog. You can include the currency, shares, bonds to kommoditi, but only theoretically. At any site financial derivatives are separated, and commodity contracts - separately. And as soon as it comes to classification, especially for clients, then there under kommoditi refers only to product markets. Just so easy to understand and highlight the types of assets.
More important than others. For all readers interested in topics that enable them to managing their own or to outside capital, to earn a price fluctuations of an asset. The name he kommoditi or as something in a different way, not so significant. We are under this term will continue to be aware of any commodity market, which is interesting for the readers for their transactions in order to earn money.
