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#274 - Commodity Trading Through Futures Contracts

Informações:

Synopsis

Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to be talking about commodity trading through futures contracts. This is a topic which we don't often cover and we’re doing kind of a couple of little episodes here because I’m on the topic of futures trading and futures contracts. But I wanted to bring up this idea of trading with commodity contracts not necessarily because I think people should be trading commodity contracts, though you can if you want to. It’s not something that we do here at Option Alpha. But just as an understanding of why it's out there and really, what the importance of having these futures contracts are in the market. I feel like the market for futures contracts and commodity trading gets a really bad rap from people who are not in the industry or people who don't understand the industry. And so, I want people to understand why we have it and why it’s important and I hopefully want to use a really quick simple example here to