Fundamental Analysis of Commodities

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In a market economy, price is determined by the interaction of supply and demand. The study of supply and demand is also known as the study of fundamentals or "fundamental analysis". In this section you will learn how to estimate a market price for commodities using the law of supply and demand as reflected in the "stocks to use ratio". The stocks to use ratio is a closely watched figure in when establishing asking prices for commodities. In order to understand stocks to use, you must understand the economic theory of supply and demand. Supply and demand graphs are useful tools used to illustrate this concept.

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This educational material is provided courtesy of Keystone Marketing Services, a leader in commodity market training.
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Lt Crude 56.65
Nat Gas 3.079
Corn 343
Cotton #2 69.35
Gold 1292.4
Copper 3.0600
Euro 1.17620
USD Index 93.825
SP500 E-mini 2570.50
DJIA E-mini 23261
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