Using Commodity Futures as a Price Forecasting Tool

Joe Parcell, Jason R.V. Franken, and Vern Pierce ( August, 2011 )

Summary

Commodity futures prices can serve as a mechanism for price discovery for either present or expected future prices. Commodity futures markets are often considered the most efficient markets in the price discovery process. That is, the price quoted for a commodity on the futures market is thought to be the best measure of the actual price, either current or future.

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University of Missouri Extension

Publisher

University of Missouri

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381

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Written Material