Commodities are actual physical goods such as Corn, Silver, Gold, Crude Oil, etc. You can think of them as generic terms to describe the markets. It is similar to the way “stocks” and “equities” are used when investors talk about the stock market. They are constantly in the news and it is always a good and lucrative place to start. Commodity trading allows individual investors to trade an array of financial products such as indices and commodities without having to physically own them. It has become a popular form of investment amongst individual investors as they allow the use of leverage. This results in maximizing your purchasing power by only risking your initial investment.