Desp: Are you interested in commodity trading? Then make sure to have a perfect vision, especially from the viewpoint of the producer.

Well we all notice thousands and thousands of products available in the markets for sale each and everyday. We buy item like raw meat poultry and also fish, then we also buy various house items, we get lots of clothes, different types of footwear, and many more items for some manufactured price. Trading is when you pay some price to the shop fellow and he gives you the product.

Trade is defined in economics as the trade when occurs between the buyers and the service provided by the shopkeeper for money you pay. Well the amount you pay to the shopkeeper for exchange of items you purchase is the set price for those items. To conclude you can say the medium you choose whether it is cash or credit is the selling price for the goods.

There are various reasons for existing trade. Different labor are responsible for different work because they specialize in that area of work and many people who focus themselves on those small area of production and then sell their product for different item traded from different area. These trades which occur for any reason for any product all contribute to the developing economy for that place.

From earlier days you will notice that trading has been an important aspect for the area. In older day’s trade used to be in exchange for any other good which was deficient in one area. In today’s world we see money for trade. Even during Stone Age there has been proof for trade.

There are evidence of long route trades which were developed in the third millennium, b.c Then the Sumerians who were the people of Mesopotamia used to trade with Harappan people who lived in the Indus valley. The sea traders were the Phoenicians had routes over the Mediterranean Sea had well developed trading colonies in many parts of the European continent.

Above information states the sure existence of the trading present in earlier times. Today trading is offered on various items other than commodities like stock markets, and the foreign currency, and different markets which offer trade for different items. The most acknowledges market in the present time is the commodity market trade.

If you have an idea of the product which is traded then you will understand trading well. Karl max mentions “that any external object though its quality satisfies any human needs of any kind.” commodities according to him is about the physical aspect of that item and he further explains by associating it with use value for that object. Hence commodity trading is the future most done trading.

To explain you how commodity trading works lets for example consider yourself as a wealthy farmer. So this rich farmer which is you for instance, will be able to sell a contract for future on his rice even when the rice would not be harvested for longer time. Rich farmer will be assured that the set correct price will be granted on delivery of the product. This way the client is also sure of getting a good product when harvested and also the price will be fixed and could not be changed by either parties.

This way both side parties will have a fruitful deal and this will in turn help in protecting the drop of rice cost.



By: Abhishek Agarwal

About the Author:

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LOA asked:


Please read and let me know how you would analyze this article:The Water Crisis: Analysis and Proposals

By Celine Tan

Water and sanitation is the first of five priority action areas under the
WEHAB plan for the post-WSSD implementation of sustainable development.
The challenge of providing safe and clean water and sanitary conditions for
an increasing world population, in the face of rising inequities, is
phenomenal.

Forty percent of the world’s population, in 80 countries, currently suffer
from serious water shortages. A billion people worldwide lack access to
safe drinking water and 2.4 billion people lack access to adequate
sanitation (Global Economic Outlook 2002).

Yet, the biggest threat to universal access to clean water and adequate
sanitation is not mother nature but corporate globalisation. Privatisation
of water is aggressively exported to the developing world under the rubric
of poverty reduction and debt relief strategies, free trade and economic
development. By turning a scarce resource into an economic commodity, the
world’s economic leaders and policy planners claim that existing water
resources can be managed and consumed efficiently in accordance with
competitive market principles. These claims are not only misguided, they
are deceitful. There are two myths being projected: first, that placing a
price on water will encourage conservation and wise water consumption.
Secondly, that market competition will lead to more consumer choice and
better services. In reality, the water sector is monopolistic when placed
in the hands of the market. It is thus alarming that the commodification of
water resources is now heralded as the answer to the world’s water woes.

Monopoly and subsidies for corporations

Water is a US$400 billion global business, controlled by a handful of
European transnational companies and consortiums, namely French
multinationals Vivendi and Suez Lyonnaise, SAUR and British water companies
Thames Water, Anglia Water and United Utilities. The global drive towards
privatisation of water services is thus pursued not by a collective of
democratically elected governments acting in the interest of the world’s
population, but by a cartel of corporations motivated by profit and market
conquest.

To make matters worse, these companies are subsidised by their governments
(and invariably their taxpayers) through support from domestic export
credit agencies, and by multilateral development banks, such as the World
Bank and the African Development Bank. They are also subsidised by
developing countries who raise credit from international financial
institutions to upgrade their water systems prior to private takeover. This
corporate subsidy comes at the expense of consumers, most of them in
developing countries, who are made to pay for what is a necessity of life.
For the poor this means no access to water.

Additional loans to facilitate the privatisation process are raised by
developing country governments from multilateral and bilateral sources.
Often, these loans are also used to finance the creation of an ‘enabling
environment’ for foreign water and wastewater investors. This includes the
drafting of local investor protection legislation to guard against
re-nationalisation of the water industry and to provide for hefty
compensation for any attempt to renege (for good reasons) against the
privatisation contracts.

In many cases, corporate access to a developing country’s water system is
paved by a loan or debt relief conditionality requiring the poor or
indebted country to privatise its water and sanitation services. For
example, the IMF insisted that Tanzania privatise its Dar es Salaam Water
and Sewerage Authority (DAWSA) as a condition of its debt relief package
under the Heavily Indebted Poor Countries (HIPC) Initiative.

Fallacy of privatisation

Experience shows that the privatisation of water services cannot ensure
universal delivery of safe water and efficient sanitation. Privatisation
imposes additional financial obligations on governments. They may have to
bail out failed privatisation project, and also shoulder the costly legal
risks of rescinding a privatisation contract with a wealthy transnational,
even if the company’s performance is unsatisfactory. Argentina, Hungary and
Bolivia have found that the legal claims for compensation by private water
companies in Tucuman, Szeged and Cochabamba respectively, have made
terminating contracts prohibitively expensive.

The dominance of foreign water companies and the liberalised investment
climate – mostly facilitated by structural adjustment, and now under trade
agreements including those under the WTO Ð in developing countries will
also ensure that a large portion of profits from water privatisation will
not accrue to the countries themselves but are repatriated abroad instead.

The imposition of full-cost water pricing as a result of privatisation will
only deprive more and more people of access to clean and safe water by
forcing poor communities to seek alternative sources of water for
consumption, such as untreated well water and water from sewage-ridden
urban rivers.

Forced upon rich and poor, consumers and industrial producers, similar
rates for water use will also result in greater income disparity and deeper
social cleavages, leading to higher risks of civil unrest. In 2000, martial
law was declared in the Bolivian city of Cochabamba as a result of
city-wide riots precipitated by high water prices. A private consortium led
by International Water doubled the water prices to city residents. Water
bills went up by 35% and some, twice that. The World Bank supported
full-cost water pricing and prohibited any use of its structural adjustment
loans to subsidise water services for the poor.

Future fears and WSSD outcomes

There is no agreement on the text in the WSSD Draft Plan of Implementation
that commits governments to supporting the UN Millennium Development Goal
of halving, by 2015, the proportion of people unable to reach, or afford,
safe drinking water and access improved sanitation (paragraphs 7 and 7[alt]).

However, the most pressing concerns over universal coverage of water and
sanitation services are not expressed in these bracketed paragraphs.
Rather, they are reflected in the general lack of political will
demonstrated by developed countries to address the systemic issues leading
to a crisis of sustainable development in the south, and the alarming
emphasis placed on public-private partnership funding and implementation of
sustainable development programmes. The relinquishing of responsibility by
developed countries is marked by their reluctance to commit to specific
disbursements of ODA and by repeated references to voluntary partnerships
and initiatives as a means of financing WSSD programmatic outcomes.

In the absence of firm commitments by governments, Type II partnerships on
water and sanitation services will only increase private sector involvement
in this crucial area. The private sector is already identified as a key
implementer of the ‘Water, Sanitation and Hygiene (WASH) for All
Initiative’ involving 28 countries, six UN agencies, the World Bank, and
the Asian and African Development Banks.

Another major threat to universal access to water and sanitation is
liberalisation under the WTO’s rules. Although Member countries have the
right to liberalise at their own pace, and even choose not to open up a
sector under the WTO’s General Agreement on Trade in Services (GATS), there
is tremendous pressure especially on developing countries to liberalise.
Thus in the ongoing negotiations at the WTO, developed countries are
submitting extensive ÒrequestsÓ that seek access to every sector in the
developing world, including water services and sanitation.

If developing countries succumb, privatisation of water services initiated
under World Bank and IMF structural adjustment programmes could become
permanent under the binding rules of the WTO. Once a country is locked into
the GATS regime, the right of its government to regulate liberalized
service sectors will be diminished, paving the way for foreign
transnationals to enter the domestic market. Any attempt to reverse the
situation would be subject to WTO disciplines and penalties.

Any real effort to achieve the Millennium Development Goal must therefore
include commitments to review loan conditionalities that impose
privatisation and countries must not be pressured to offer water services
under GATS liberalisation. Essential services should be exempted from GATS.

Conclusion

Privatisation does not address the deeper economic and ecological issues of
water shortages. Questions of why there are water shortages in countries
not under water stress are not resolved by shifting responsibility of
service provision to private companies. Water management and water
distribution are also key factors in determining water supply and universal
coverage. Until and unless rich countries fulfil their commitment to
provide resources for developing countries to build solid, cost-effective
water delivery systems which support the needs of the world’s population
equitably and ecologically, the water woes of the world will not go away.

At the same time, all governments need to recognise and support the
diversity and replication of community water management systems and
practices. These have proven in many countries to be the most sustainable
approach to rural water management for rural populations. The WSSD process
and the last 10 years of the work of the CSD have called for good and best
practices in sustainable development. However, where water resources are
concerned the trend and emphasis are privatisation which has proven
destructive.

Firm commitments must be made at the WSSD to reverse the trend of corporate
takeover in the water and sanitation sector, rather than to accelerate the
process of privatisation and corporate monopoly. Undermining the sovereign
power of governments to regulate supply of water in their countries and
passing the bucket onto private transnationals to steward the world’s water
resources would probably be a most anti-development and anti-ecological step.

Onceuponatime asked:


These days CNBC is talking a lot about 20 years peak in commodities. From last week it appears it is in correction and Mad Money guy saying wait for few more days to buy at low. I am looking for info on how to trade and found a simple site http://uscommoditiestrader.com
This site is very good to have a bisic idea, is there any othersite to give more information?
OK Let me say how to buy gold and silver? This may make it easy.

Sally J asked:


True and false question identify key terms if its false
1 a (caravel) was an explorer who wished to subjugate natives in america

2 (imperialism) is the process of creating colonies for the exclusive benefit of the mother country

3 an (emigrant) is a person who came to america by trading his labor for a certain amount of time for the cost of passage to america

4 a (loyalist) was a colonist who fought for the british during the american revolution

5 (constitutionalism) is the concept whereby a country has several layers of goverment that are responsible for different goverment service

6 (broad construction) is the concept that the goverment can only use powers specifically granted to it by the constitution

7 (sedition) is the statement of malicious or negative comments against goverment officials

8 a (percedent) is the concept that the supreme court may rule on the consitutionality law

9 (diplomacy) is the making of a final demand before action is taken

10 when a new persident came to power, he appointed friends and suppoerers to goverment jobs called (suffrage)

11 an early concept that allowed the industrail revolution to take place was an improvement in manufacturing known as (interchaneable parts)

12 the (abolition) movement was a reform movement aimed at ending the sale of alcohol

13 (popular sovereignty) meant that the settlers themselves would decide on the issue of slavery in a territory

14 one way that opposition to the Civil war was supported was the denial of the right of (ex post facto)

15 (Misdemeanor) is the charging of the president with crimes worthy of removal from office

16 (jim crow laws) were created to keep most african americans in a lower legal status

17 a (homestead) was an area set aside exclusively for native american tribes

18 a (union) is a large corporation that is set up generally in an effort to control the market for a particular good, commodity or service

19 a (utopia) is a place set up to provide housing and a standard of living for the employees of a large factory

20 (greenbacking) is the rise in the prices of goods and services

Today many traders buy commodity trading systems and spent money on expensive software when really all they need is to do a bit of research on the net and build their own.

Here we will show you how to build your own commodity trading system that will help you pile up big gains, even if you have never traded before.

First things first!

Let’s look at the logic the commodity trading system is based on:

1. Catching the big long term trends and these only come a few times a year. These are the ones to focus on not short term moves or day trading, this system is geared for profit not low odds trades in short term market noise.

2. This commodity trading system does not predict, it only acts on confirmation of the tend.

3. The system is simple. Traders think that the more complicated a system the better it is likely to perform, the exact opposite is however true.

4. This system uses the same trading methodology for ALL markets and is based on a psychological flaw most traders have and lose.

5. As this system is based on long term trends it should take no more than 30 minutes a day and will work off the closing price ONLY.

Putting it together

This commodity trading system is technically based, so let’s look at what we Need the package to contain. All we want is weekly and daily charts and two basic indictors Bollinger bands and stochastics.

A good package on the web is available at futuresource.com, but there are many others, don’t buy one! You don’t need to.

Trading rules

Trading rules are simple:

1. Look for important valid (several tests over long time span) resistance and support on the weekly chart and note the trend, then look for the same pattern on the daily charts.

2. Once you have found a market that fits the above criteria look for breaks of support or resistance. Don’try and predict wait for the move to get underway i.e you have confirmation (via the stochastic indicator) this is when the odds of the trend continuing are highest.

3. Check the stochastic indicator supports the move this VERY important.

4. Enter with at the money or in the money. Do not buy out eh money options and remember keep time on your side.

5. Don’t move stops to soon, get stop in below breakout point and move immediately to entry if the position moves your way. Wait for larger profits and cover the position with covered write position.

That’s it; If you are not familiar with all the terms check our other articles.

Why will this commodity system work?

It’s based on sound logic, breakouts are easy to understand and trade, most traders wait for market pullbacks and miss the major moves. This system gets you in on ALL the major moves and confirms strength before buying, to get the odds on your side.

Keep this fact in mind Most major trends develop from market highs, that means you have to trade breakouts.

Most traders get stopped out by volatility, but this system assumes the trend will continue rather than reverse as it’s already in motion, so stops are kept wide. When the profit becomes big you can put in an insurance policy, in the form of a covered write option strategy.

Finally, options can be used but unlike the losing majority you won’t buy out the money options with little chance of success. You will keep time on your side and buy in at or near the money.

The other advantage of this system is it costs nothing and is easy to understand.

This means when you practice it, you will have confidence and be able to trade with Discipline, which is a key to trading success with a commodity trading system.

Don’t listen to traders who try and tell you trading commodity systems needs to be complicated, it does not. A simple commodity trading system like the above, traded with discipline is all you need.



By: Sacha Tarkovsky

About the Author:

Caffeinated Content – Members-Only Content for WordPress

actress2be! asked:


i dont know these questions and i have searched and searched please put the number first and then the answer to the question. The Person with the best and most answers will get best answer! Thx a bunch.

28. The internal combustion engine gave rise to what social and technological issues?
29. The Janissaries were specially trained soldiers who were basically slaves to what empire?
30. Why were the Chinese uninterested in trading with Europeans during the late 1700 and early 1800′s?
33. The 1904 war between Russia and Japan resulted in?
43. The Bessemer process allowed the cost-effective and reliable production of what commodity?
46. The Marshall Plan was designed to do what in Europe?
49. The ruler who introduced many reforms in Turkey, including changing the alphabet, the type of clothing typically worn and school system was
50. The entire German Sixth Army, considered the best of German troops, was lost at which battle?

brendon n asked:


Our country
Our nation
Our territory
Our dwelling
Have suffered long enough
May you cancel our debt please
Zimbabweans are destitute
Companies are closing up
The dollar weaken daily
Prices of basic commodities
Are sky rocketing daily
Please cancel the debt
The economy is ailing
Trading is becoming less and less
Foreign currency no longer available
Imports are now limited
Poverty, poverty is the daily song
We are in true economic quagmire
Please cancel our debts
Breadwinners are jobless
De-investments at its peak
Unemployment ever-increasing
Mines are closing down
Owing to forex shortages
Please cancel our debt
You the rich giver and the lender
Consider our problems seriously
Have mercy on the masses of Zimbabwe
Health institution faces drug shortages
For the sake of development
We need your best support
Cancel our debt please

fordfan444 asked:


Not only that, we’re using a lot less oil because we’re starting to take advantage of alternative fuels like Ethenol and Hydrogen and we’re also trading in our gas guzzling SUVs for Hybrids. So, I ask the question Why is gas $4 a gallon now? Why isn’t the whole “Supply and Demand” thing working with oil? It’s quite obvious that this is a conspiracy. I also keep hearing about China and India buying up all the oil and oil is a global commodity and that’s why Americans aren’t making an impact. I don’t understand why we don’t keep our oil a domestic commodity and tell OPEC that they can keep their oil. We need to stop buying foreignoil and start tapping into our own oil reserves. I’m all about preservation, but when families are going hungry because they have to pay $150 a week for gas to get to work then we need to tell the environmentalist to step out of the way because making people go hungry is a lot worse that killing a couple of trees and a few birds.

aguy189 asked:


I have a second bed-room that I use for day-trading.
(I would rather trade this room for less rent, but second-bedrooms aren’t exactly a liquid commodity.)

I’m more than fully employed in an unrelated field.
I do none of my other work in that bedroom, nor anything else.

Basically, 1 hour a day I’m self-employed as a day trader, and have reasonable income from it. The rest of the time I’m employed elsewhere. The room (right now) is only used for the trading.

Can I write this room off as a side-business expense, or am I just an employed person who invests personal savings on my personal computer?

Thanks.
In follow-up to v b: Is there an IRS definition of that, or is it just accepted that there’s some minimum number of hours one has to work, though not precisely defined is certainly above 1? There are many people who day trade one hour a day, and many many books/strategies on trading for the first hour after the bell. If I can’t write off, that’s fine, profit is profit, but less taxes is more profit, so I asked.

Commodity trading is quickly becoming a weapon of choice of an increasing number of people that wish to make large returns from investments. This is thanks to the fact that commodities represent a constantly growing list of wares which could be bought or sold, and the list contains all kinds of consumables available on the markets today.

In comparison to some other trading options, commodity trading represents innumerable options, and they are easily figured out by people new on the trading scenario.

Smaller traders at first trade with commodities like metals, poultry and such thanks to the fact they have lesser margin as compared to other products.

Gurus say that people new to the scene should start using a combination of around 6 to 8 products at their initial attempt to make sure they have proper monitoring and to play it safe at the same time. Commodities trading are usually evaluated on an everyday basis, so it is done when there are fewer details to look at when you are a beginner.

To tell you the truth even a trader with a lot of experience would not be too comfortable dealing with more than around eight commodities at a time. This is because it is just too hard for any individual to evaluate the constant changes of more number of products in the market, single handedly.

It is best to avoid larger commodities when you are a beginner, for the obvious reason that you risk losing more money.

You would do well to begin with a market like corn, the ups and downs here are something you can usually foresee, and you do not have to worry a lot about high margins. And then wheat could be a good option as well, thanks to similar reasons. As far as a meat market goes cattle is an option, but some gurus do not recommend it.

Commodities like beans and sugar are some with higher ranges. Sugar was earlier considered as a low margin commodity due to the fact that it does not involve too much of risk. The current scene on the markets tells us it is not too good to make a gamble on this thou.

Future trading is definitely a very good way to buy and sell on commodities. You need to begin with a separate account, and you would have access to it with the help of a broker or maybe even directly using one of the futures commission merchants.

You could also trade using an account under the name of a selected executor, one to whom you have given a power of attorney to do so. However we do not recommend this route unless you have an executor who you can trust completely, since this person will be dealing with your money. If you are not confident to deal single handedly then partnership may be a good idea.



By: Abhishek Agarwal

About the Author:

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