Commodities III: Speculation on (Agricultural) Commodity Derivatives and Financialization of Commodity-Price Formation

Billions of human beings rely on commodities to eat, heat, and commute. Brutal hikes in agricultural commodities in 2008 and 2011 — and to a certain degree on a continued basis ever since — caused malnutrition for hundreds of millions of people, and related “food riots.” The rise of energy prices and agricultural-related commodity prices weighs on the daily lives of billions as well, as the part they take in monthly spending increases. For these reasons, the issue of excessive speculation in commodity derivatives has been covered by substantial reports and research. 2 These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.