Where are commodities traded?
Everywhere people buy and sell things. Some commodities are traded on a commodity exchange. In the United States and in most industrialized countries, commodity exchanges deal mainly in contracts for future delivery. A retail outlet, such as a grocery or department store, is not a commodity exchange because, while there are many buyers. There is only one seller, and prices are not subject to negotiable. In the United States, all contracts traded on a commodity exchange must be approved for trading by the Commodity Futures Trading Commission (CFTC), a government agency that regulates commodity futures trading.
