Some of the most fascinating areas of trading are, to my mind, the commodities markets. Trading in commodity futures means trading in physical items – all well-known and all of which touch the lives of most of us. The commodity markets are also arguably the least understood by the majority of traders and therefore often avoided.
And within the commodity markets, perhaps the most arcane item to trade, at least by non-specialists, are the meats.
A recent article by veteran commodity trader Kevin Kerr in The Daily Reckoning gives us a rare insight into just what exactly are meat futures. Here are some extracts:
“Few markets conjure up as many images from investors as the meat futures markets do. Some people will think of Old West cattle auctions, with cowboys and ranchers bidding on prized bulls. Others know the meat markets are just like any other market, though they still hold on to […]