What affects the supply of oil? How important is the weather in determining grain prices? Why has the price of copper skyrocketed? This unique book analyses the economics of key commodity groups, including energy, agriculture and metals. It examines the supply/demand fundamentals of several major and minor commodities, physical characteristics, production and consumption patterns, trade flows and pricing mechanisms. It also explains the main tools used to hedge price risk, such as futures, options and swaps. This second edition has been fully revised and restructured, and contains four new chapters, including oil refining, electricity and price risk management for energy, metals and agricultural commodities This book is an indispensable reference text for students, academics and those working in the commodity business.

What affects the supply of oil? How important is the weather in determining grain prices? Why has the price of copper skyrocketed? Following recent hikes in oil, gas, coppper and wheat prices, commodities have once again become a key issue for the investment community. In order to explain the issues that underpin this volatile market, Commodity Trade and Finance analyses the economics of key commodity groups, including energy, agriculture and metals. It examines the supply/demand fundamentals of several major and minor commodities, physical characteristics, production and consumption patterns, trade flows and pricing mechanisms. It also covers the main tools used to hedge price risk, such as futures, options and swaps.

Offering economic analysis and a wealth of information on a broad range of commodities including oil, oil products, gas, coal, iron and steel, aluminium, copper, grains, coffee, sugar, cocoa, forest products and rubber, this book is an indispensable reference text for both students of the subject and those working in the commodity business.