Market Specifications & Commercial Notes

The following notes provide context for industrial buyers regarding the commercial specifications of the benchmark assets listed above.

🥛 Dairy Sector

  • GDT (Global Dairy Trade): Unlike continuous futures markets, GDT prices are established via Trading Events (auctions) that occur twice a month (typically the 1st and 3rd Tuesday). Prices represent physical spot product for shipment across 6 contract periods.
  • CME Class III Milk: Represents the US domestic benchmark for milk used in cheese production. Traded in contracts of 200,000 lbs (~90 Metric Tonnes). It is cash-settled against USDA prices. Source: CME Group.

🌾 Grains & Oilseeds (Unit Differences)

  • European Wheat (Euronext): The “Milling Wheat No. 2” contract is the European benchmark for bread-making wheat. It trades in Metric Tonnes (50 MT per contract) and quotes in Euros. Source: Euronext.
  • US Wheat (Chicago/CBOT): The “Soft Red Winter” (SRW) contract is the global benchmark, often used for cookies and crackers. It trades in Bushels (5,000 bu per contract, approx. 136 MT). Prices are in US Cents per Bushel. Source: CME Group.
  • Palm Oil (FCPO): Traded on Bursa Malaysia, this is the global reference price for crude palm oil. Contracts are for 25 Metric Tonnes. Source: Bursa Malaysia.

🍫 Soft Commodities

  • Sugar No. 11 (ICE): Represents Raw Cane Sugar (bulk, FOB origin). Industrial users requiring refined sugar should refer to the White Sugar Futures (London/Euronext).
  • Cocoa: The London contract (GBP) and NY contract (USD) often diverge due to origin specifics (West African vs. diverse origins). The NY contract size is 10 Metric Tonnes. Source: ICE Futures.

⚡ Energy

  • Dutch TTF Gas: The primary benchmark for European natural gas prices, traded in Euros per Megawatt Hour (€/MWh).
  • Henry Hub (US): The primary benchmark for US natural gas, traded in USD per Million British Thermal Units ($/MMBtu).

⚠️ Disclaimer & Liability Waiver

For Informational Purposes Only: The data presented in this report is aggregated from public market sources and third-party feeds. It is intended solely for general information and industrial reference, not as financial or investment advice.

Accuracy & Latency: While we strive to ensure the accuracy of the data, commodity markets are volatile and subject to rapid changes. Prices listed may represent the “Last Close” or “Settlement Price” of the previous trading session and may not reflect real-time executable prices. Currency conversions (where applicable) are estimates based on recent exchange rates.

Liability: We accept no liability for any loss or damage, including without limitation, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Industrial procurement decisions should be verified with your broker or physical supplier.