Economists generally consider commodity futures to be the solution to higher price volatility, not its cause.

(e) Price volatility

But their presence has also raised concerns that speculation in commodity futures could result in higher price volatility.

During the consultations, speakers discussed both the long term and the short term dimensions of the problem of commodity price volatility.

One apparent consequence is extreme price volatility.

Global economic instability correlates strongly with energy price volatility.

Security problems and disruptions in production also increased price volatility.

Also common to rentier states are short investment horizons, vulnerability to commodity price volatility euphoria when they surge, crisis when they collapse and an underdeveloped and uncompetitive manufacturing sector.

) When evaluated through the prism of poverty reduction, the notorious price volatility that has long plagued world commodity markets is among the most pressing of challenges facing developing countries.

Non fuel commodity price trends were also mostly unfavourable.

Because energy and food security are matters of economic as well as social and political stability, policies that reduce commodity price volatility should be in the interest of producers and consumers.

Commodity exchanges make it possible for farmers to achieve price predictability and security, despite the volatility, over a crop cycle (and, for storable commodities, for a further six months to one year).

Weather related events are a major cause of price volatility on agricultural markets.

The more energy efficient one is, the lower one s vulnerability to price volatility.

While this is keeping price volatility in check, it is also hindering employment growth.

3. Expresses the urgent need for supportive international policies to improve the functioning of commodity markets through efficient and transparent price formation mechanisms, including commodity exchanges, and through the use of commodity price risk management instruments

The price of this essential commodity has, in fact, already doubled.

It's bringing those externalities back into the price of the commodity.

While commodity prices are always more variable than those for manufactured goods and services, commodity markets over the last five years have seen extraordinary, almost unprecedented, volatility.

It was important for the international community to take action to improve their access to trade financing, protect them against the adverse effects of trade liberalization and commodity price volatility, and reduce their transport costs.

2. Expresses the urgent need for supportive international policies and measures to improve the functioning of commodity markets through efficient and transparent price formation mechanisms, including commodity exchanges, and through the use of commodity price risk management instruments

How can measures to increase commodity price stability and returns from commodity exports contribute to achieving the Millennium Development Goals?

Oil is a fungible commodity, and markets clear at a common price.

Expresses the urgent need for supportive international policies to improve the functioning of commodity markets through, inter alia, improving the efficiency and transparency of price fixation mechanisms, including commodity exchanges and the use of commodity price risk management instruments

2. Expresses the urgent need for supportive international policies and measures to improve the functioning of commodity markets through efficient and transparent price formation mechanisms, including commodity exchanges, and through the use of viable and effective commodity price risk management instruments

Since these responses are overdue, they are severe and lead to energy price spikes and volatility.

They thus provide an important instrument for hedging price risks in commodity markets.

The volatility of commodity prices poses a serious risk for the sustainability of growth, and better international coordination is required to reduce the instability of commodity prices and exchange rates.

Such measures will contribute to shaping a more stable market environment and ensure that commodity futures reduce risks and volatility.

While not a cause of price volatility, speculation on derivatives of essential food commodities significantly worsens it.

Given these findings, trading in futures markets seems to have amplified price volatility in the short term only.

Whatever your reason for wanting to do this, whether you're concerned about national security or price volatility (Laughter)

Commodity futures are formal agreements to buy or sell a specified amount of a commodity at a specified future date for a specified price.

This is called bundling. It's bringing those externalities back into the price of the commodity.

Finally, the practice means that women are treated as a commodity with a price tag.

In particular, the volatility of food and commodity prices, including petroleum prices, is seriously denting the financing capacity of many poor countries.

Many delegations drew attention to the continuing volatility of primary commodity prices and to the fact that in real terms commodity prices are still lower today than they were some 20 years ago.

Price volatility breeds risk, and vulnerability to risk is recognized as one of the four dimensions that constitute poverty.

50. The developing countries were all too dependent on price fluctuations on the international commodity markets.

But chronic hunger remains pervasive, particularly in developing countries, which are affected most by crop shortages and food price volatility.

Speaking of risk, we have seen that price volatility of food crops in Africa is the highest in the world.

Exporters of any particular commodity should issue debt that is denominated in terms of the price of that commodity, rather than in dollars or any other currency.

The rise in commodity prices since mid 2010 China s commodity price index has increased by more than 100 since its 2009 low has had an important impact.

Admittedly, the global commodity price boom has had profound, albeit enormously complex and uncertain, effects on poverty.

To achieve stable conditions in commodity trade, including avoidance of excessive price fluctuations, at levels which would