Commodity Exchange V
Commerce SSS1 Third Term
WEEK 5
Commodity Exchange V
Performance Objectives
The student should be able to:
1. Identify the major constraints to commodity trading in Nigeria.
Content
Constraints to Commodity Trading
The following are the constraints or problems of commodity trading:
1. Inadequate Supply: The supply of some commodities may be inadequate especially when unexpected poor harvest affects the discharge of a future contract.
2. Bad Weather: Most of the tradable commodities, especially agricultural products, are subjected to climatic or weather condition, thereby causing a limitation to commodity trading.
3. Inadequate Knowledge of the workings of the Commodity Exchanges: Inexperienced and unskilled agents and.... View More
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- Chapters 12
- Category SSS1
- Author ClassNotes Edu
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