Commodities - Argentina

Argentina

The nominal value in Argentina's Commodities market is forecasted to reach US$791.40bn in 2024.
It is anticipated to demonstrate an annual growth rate (CAGR 2024-2028) of 3.52%, resulting in a projected total amount of US$909.00bn by 2028.
The average price per contract in Argentina's Commodities market stands at US$0.58 in 2024.
When considering a global comparison, the in the United States achieves the highest nominal value (US$45,690.00bn in 2024).
In Argentina's Commodities market, the number of contracts is expected to reach 1,445.00k by 2028.
Argentina's Commodities market is seeing increased interest in futures contracts, reflecting growing confidence in the country's economic prospects.

Market

Region

Region comparison

Currency

Analyst Opinion

Argentina is experiencing a notable shift in its Commodities market dynamics. Customer preferences in Argentina are leaning towards alternative investment options such as Commodities, driven by a desire for portfolio diversification and potential high returns.

Investors are increasingly looking beyond traditional financial instruments to explore opportunities in the Commodities market. Trends in the market indicate a growing interest in Commodities trading among both retail and institutional investors in Argentina. The ease of access to global markets through online trading platforms has facilitated this trend, allowing investors to participate in Commodities trading with greater convenience.

Local special circumstances, such as the country's rich natural resources and its historical reliance on commodity exports, play a significant role in shaping the Commodities market in Argentina. The familiarity with commodity markets and the understanding of price fluctuations make it a favorable environment for investors looking to capitalize on commodity price movements. Underlying macroeconomic factors, including inflationary pressures and currency fluctuations, also drive interest in Commodities as a hedge against economic uncertainties in Argentina.

The volatility in the local currency and the impact of global economic events further contribute to the attractiveness of Commodities as a risk management tool for investors in the country.

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.