The mcx full form is Multi Commodity Exchange. As the name implies, the MCX is a commodity exchange similar to the BSE and NSE. It was established in November 2003 under the auspices of FMC’s regulatory structure. The FMC was integrated with SEBI in 2016, and the MCX, as an exchange, now comes under SEBI’s regulatory purview.
M = Multi
C = Commodity
X = Exchange
Commodity Price Influencing Factors
- Demand and Supply The rule of supply and demand still applies to the commodity market; however, it changes over time, based on domestic, season and global factors.
- Cost and Technology Geopolitical considerations influence commodity product trading prices both directly and indirectly. However, there are times when they have a favorable impact on oil markets.
- Geopolitical Concerns Another aspect that affects consumer prices is the availability of raw materials. Raw materials, R&D, benefits, licensing, and taxes are just a few of the expenses. Long-term technical advancements can also result in higher yields, lowering the marginal cost of output.