Glossary A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z | 1 | 3 | 4 | 5 Definitions by InvestorWords.com   What is...? commodity A physical substance, such as food, grains, and metals, which is interchangeable with other product of the same type, and which investors buy or sell, usually through futures contracts. Or more generally, a product which trades on a commodity exchange; this would also include foreign currencies and financial instruments and indexes. see also cash commodity, certificated stock, commodity pool, Commodity Trading Advisor, backwardation, contango, contract, crop year, daily trading limit, derivative, grade, deliverable grades, intercommodity spread, intracommodity spread, interdelivery spread, spot commodity, underlier, softs, trade house. Copyright ©2009 by InvestorGuide.com. All Rights Reserved.