Commodities - Mexico

Mexico

The nominal value in the Commodities market is projected to reach US$1,845.00bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 3.24% resulting in a projected total amount of US$2,164.00bn by 2029.
The average price per contract in the Commodities market amounts to US$0.57 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$53,690.00bn in 2024).
In the Commodities market, the number of contracts is expected to amount to 3,929.00k by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Commodities market in Mexico has been experiencing notable developments in recent years. Customer preferences in the Mexican Commodities market are shifting towards more diverse investment options, driven by a growing interest in hedging against inflation and volatility.

Investors are increasingly looking for alternative assets that can provide a hedge against economic uncertainties. Trends in the market indicate a rise in the trading volume of financial derivatives linked to commodities, such as futures and options. This trend is fueled by the increasing participation of institutional investors seeking exposure to different commodity classes.

Additionally, the integration of technology in trading platforms has made it easier for retail investors to access the market. Local special circumstances, such as Mexico's significant role as a producer of commodities like silver, have a direct impact on the country's Commodities market. The performance of the local mining industry and agricultural sector influences the pricing and demand for commodity derivatives in the market.

Underlying macroeconomic factors, including Mexico's trade relationships with major global economies and fluctuations in the value of the Mexican Peso, play a crucial role in shaping the Commodities market. Economic policies and geopolitical events can create both opportunities and challenges for investors in the Mexican Commodities market.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.