CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Trade your opinion of the global commodity market with products such as gold, oil, natural gas and copper.
Have an opinion of the oil market? Want to speculate on gold? With FXCM, you can dive deeper into a variety of natural resources. Like all FXCM products, you can trade commodities as a spread bet or a CFD.
Trade oil, gold, and silver on enhanced execution with no stop and limit restrictions and no requotes. Learn More
Enter the market with only a fraction of the total trade size. See Margin Requirements
Trade commission free1 with no exchange fees and no clearing fees—you pay only the spread. See Spread Costs
Trade commodities alongside forex and indices on the same powerful platform with intuitive charting.
Launch Platform
With FXCM, you can bet on the price movement of metals, oil and gas, similar to forex. All you need to know is the symbol for the product you want to trade and the contract size.
Corn, is a cereal grain predominantly produced in the United States. Corn's price is driven largely by the demand for Corn ethanol (a renewable fuel source), climate in areas of large production (US, China, South America) and is often correlated with the performance of the US Dollar as well as both the Commodity and Energy sectors.
Wheat, is one of the largest soft commodities produced globally and its production is spread all around the world, with the largest crops being found in China, the US, India and Russia, France and Australia. Wheat's pricing is heavily impacted by global climate factors in addition to the economies and production output of its largest producers.
Soybean is a renewable resource produced mainly in the US, South America and China that can be used both as a source for oil and a substitute for meat. Soybean's price deviates due to a large amount of economic variables including climate, demand, and production factors.
West Texas Intermediate (WTI), also known as Texas light sweet, is a grade of crude oil used as a benchmark in oil pricing. WTI contracts are sold chiefly on the New York Mercantile Exchange.
Historically, WTI has traded closely to Brent and the OPEC basket, but it currently is discounted against Brent crude oil. Historical price data for WTI can be found at the Energy Information Administration of the Department of Energy.
Brent Crude is a trading classification of sweet light crude oil that serves as a major benchmark price for purchases of oil worldwide. Brent Crude is sourced from the North Sea, and comprises Brent Blend, Forties Blend, Oseberg and Ekofisk crudes (also known as the BFOE Quotation). The index represents the average price of trading in the 21-day BFOE market in the relevant delivery month as reported and confirmed by the industry media. Only published cargo size (600,000 barrels [95,000 m3]) trades and assessments are taken into consideration.
NGAS is the pricing point for natural gas futures contracts on the New York Mercantile Exchange (NYMEX) and the OTC swaps traded on Intercontinental Exchange (ICE). Spot and future prices set at Henry Hub are denominated in $/mmbtu (millions of British thermal units) and are generally seen to be the primary price set for the North American natural gas market. North American unregulated wellhead and burner tip natural gas prices are closely correlated to those set at Henry Hub.
COMEX Copper is widely considered as one of the key cyclical commodities, given its extensive usage in construction, infrastructure and an array of equipment manufacturing. The biggest end-use is for the production of cables, wiring and electrical goods because of its excellent electricity conducting properties. The construction sector is the second largest user of copper, for plumbing, HVAC and building wiring applications. Although found in abundance and widely extracted as well as recycled, the copper value chain is quite capital intensive. This makes the market susceptible to supply-side constraints, and therefore, volatile price fluctuations.
Gold is traded in the spot market, and the gold spot price is quoted as US dollar per troy ounce. Since 1919, the most common benchmark for the price of gold has been the London gold fixing, a twice-daily telephone meeting of representatives from five bullion-trading firms of the London bullion market. Gold is traded continuously throughout the world based on the intra-day spot price, derived from over-the-counter gold-trading markets around the world (code XAU).
The price of silver is driven by speculation and supply and demand—mainly by large traders or investors, short selling, industrial, consumer and commercial demand, and to hedge against financial stress. Compared to gold, the price of silver is notoriously volatile. This is because of lower market liquidity, and demand fluctuations between industrial and store of value uses. At times this can cause wide-ranging valuations in the market creating volatility.
Because the market is always moving, you can find up-to-date info for each product on your trading platform, or check out the Commodity Product Guide.
Trading on margin gives you increased access to the market. Margin requirements vary by instrument. Find up-to-date margin requirements on your platform. Learn More
With all FXCM accounts, you pay only the spread to trade commodities. Plus, with our decimalized pricing, you see smaller price movements, giving you more accuracy on USOil, UKOil and NGAS. See Spread Costs
There are currently no overnight Financing Costs on futures energy products. USOilSpot, UKOilSpot, Gold and Silver, however, are spot products, so financing charges apply if you hold your position past 5:00 PM ET.
With FXCM's energy products, your trading hours are based on the underlying market—just like your prices. You can open and close trades during the week, before the weekend closing. FXCM's metal products trade 24 hours a day, five days a week, with a one-hour break each day. See Trading Hours
Oil and Gas products, that are not spot, expire periodically. Oil and gas contracts expire monthly, typically a day before First Notice or when the underlying market contracts expire. This means you may want to manage your positions before the contract expires and your positions are automatically closed. See more details in our CFD Expirations Guide.
What Is A Commodity Stock? A commodity stock is a debt offering from a corporation involved in the consumption, extraction, refinement or delivery of raw materials. Accordingly, both company performance…
What Is Seasonality? In finance, the term seasonality is used to describe periodic trends in supply/demand, business performance and asset pricing. This phenomenon occurs consistently on an annual basis, in…
The Commodity Futures Trading Commission (CFTC) is an independent agency of the U.S. federal government. It regulates the futures, options, derivatives and swaps markets. Learn more about how the CFTC…
Our goal is to keep your commodity pricing as low as possible. With competitive average spreads, you can keep your transactions cost low as you speculate on oil, natural gas and more.
When you trade with FXCM, your spread costs are automatically calculated on your platform, so you see real-time spreads and pip costs when you trade. To calculate the trading cost in the currency of your account:
Spread
x Pip Cost
x Number of Contracts
= Total Transaction Cost
Compensation: When executing customers' trades, FXCM can be compensated in several ways, which include, but are not limited to: spreads, charging fixed lot-based commissions at the open and close of a trade, adding a markup to the spreads it receives from its liquidity providers for certain account types, and adding a markup to rollover, etc.
CME Group Market Data is used under license as a source of information for certain FXCM products. CME Group has no other connection to FXCM products and services as listed above and does not sponsor, endorse, recommend or promote any FXCM products or services. CME Group has no obligation or liability in connection with the FXCM products and services. CME Group does not guarantee the accuracy and/or the completeness of any market data licensed to FXCM and shall not have any liability for any errors, omissions, or interruptions therein. There are no third party beneficiaries of any agreements or arrangements between CME Group and FXCM.
Average Spreads: Time-weighted average spreads are derived from tradable prices at FXCM from July 1, 2020 to September 30, 2020. Spreads are variable and are subject to delay. The spread figures are for informational purposes only. FXCM is not liable for errors, omissions or delays or for actions relying on this information.
