Physical commodity trading is one of the least understood - and poorly explained - parts of global markets.
This definitive guide walks the reader through the full lifecycle of physical commodity trading, including:
Why commodity traders exist and the role they play between producers and consumers
How physical supply chains work - from mine, well, or farm to end user
The difference between physical trading and futures or paper markets
How commodities are prices, contracted, and delivered
Hedging, mark-to-market, and exposure management
Logistics, shipping, storage, and operational risk
Trade finance, title documents, and cash-flow constraints
Counterparty risk, defaults, and periods of market stress
Where real profits are made, and where costly mistakes occur
Alongside structured explanations, this book includes personal stories from the trading floor, illustrating:
How decisions are made under pressure
Where mistakes are most commonly made, and why
How small operational errors can lead to large financial losses
The human side of trading that rarely makes it into textbooks
If you want to understand physical commodity trading, not just the prices on a screen but the flows, risks, and decisions behind them, this book was written for you.
