Commodities

The nominal value in the Commodities market is projected to reach US$5.68bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.76% resulting in a projected total amount of US$7.16bn by 2029.
The average price per contract in the Commodities market amounts to US$0.02 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached United States (US$53.69tn in 2024).
In the Commodities market, the number of contracts is expected to amount to 334.10k by 2029.

Definition:

The commodities market refers to derivatives of commodities. These include financial vehicles such as options and futures. Derivatives allow investors to profit from a commodity’s value development without owning the physical commodity (e.g. instead of owning a unit of Gold, an investor could own a derivative of Gold). Therefore, physical commodities are out of scope in this analysis.

Structure:

The commodities market comprises derivatives of precious metals, industrial metals, energy products, agricultural products & the Emission Trade System. The segments of precious metals, industrial metals, energy products, and agricultural products are also providing price data of popular specific derivatives. The segment data of the Emission Trade System (ETS) is only provided for countries where an ETS is in place (therefore the number of countries where data is shown is reduced in comparison to other segments).

Additional information:

The market contains the following KPIs: annual notional value, the number of traded contracts, the open interest (number of outstanding contracts at the end of a year) as well as the average notional value per contract. Furthermore, the share of futures and options is provided for these KPIs to display even more insights into this market.

Options & Futures
Precious Metal Derivatives
Industry Metal Derivatives
Energy Product Derivatives
Agricultural Product Derivatives
Emission Trading System

Physical commodities
Other Derivative types
other Commodity Types

The Commodities market in Montenegro is experiencing a notable shift in recent years.

Customer preferences: Customers in Montenegro have shown an increasing interest in investing in commodities as a way to diversify their investment portfolios and hedge against market volatility. The appeal of commodities lies in their potential for high returns and as a way to spread risk.

Trends in the market: One of the significant trends in the Montenegrin Commodities market is the growing popularity of trading in financial derivatives. Investors are increasingly turning to derivatives such as futures and options to speculate on the price movements of commodities without actually owning the physical assets. This trend is driven by the potential for higher leverage and the ability to profit from both rising and falling prices in the market.

Local special circumstances: Montenegro's strategic location in Southeast Europe and its proximity to major global markets have played a crucial role in the development of its Commodities market. The country's open economy and efforts to attract foreign investment have created a favorable environment for trading in commodities. Additionally, Montenegro's stable political environment and commitment to economic reforms have instilled confidence among investors, further fueling the growth of the Commodities market.

Underlying macroeconomic factors: The Montenegrin Commodities market is also influenced by broader macroeconomic factors such as global economic conditions, geopolitical events, and changes in monetary policy. Fluctuations in commodity prices on the international market can have a significant impact on the local market in Montenegro. As a result, investors closely monitor global economic trends and geopolitical developments to make informed decisions in the Commodities market.

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.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.