What Are Some Different Types of Commodities?
Some different types of commodities include grains, “softs” and livestock, according to About.com. Energy and metals are also among some of the most commonly traded commodities. Each of these categories includes multiple types of commodities. For example, the grains category includes commodities such as corn, soybeans, wheat, rough rice and oats.
Grains commodities are among the most popular to trade, says About.com. These commodities are most active in the spring and summer.
Softs are commodities in the food and fiber categories, explains About.com. This category includes cotton, coffee, lumber, sugar, cocoa and orange juice. These are also known as exotic commodities because they typically grow in regions other than the United States. Livestock commodities include lean hogs and live cattle. These, too, are among the most commonly traded commodities because beef and pork are a staple of many diets.
Energy commodities are a good option because heat and fuel are necessities, notes About.com. Some energy commodities are natural gas, crude oil, heating oil and unleaded gas. Trading in these commodities allows investors to take advantage of natural fluctuations in the energy market, such as increases in the price of crude oil and disruptions in the supply of natural gas. Metal commodities include precious metals and industrial metals, such as gold, silver and copper.