Soybeans are the most popular and most widely used type of oilseeds in the world.
They have a wide range of potential uses, ranging from food for humans to feeding for animals.
Trading this commodity has become a new high risk investment strategy, allowing soy producers to hedge against price fluctuations.
At the same time, speculators can risk their risk capital for the chance of earning huge amounts of money by trading contracts related to this widely used and beneficial product.
This oilseed has become so popular that more and more ways for their use are being discovered each year.
There are publications being printed with soy ink which is considered as a better alternative to petroleum ink.
Soybeans are also used in the making of cleaning products, adhesives, polyesters and various textile products.
These new applications have increased the popularity related investments and attracted a huge number of new speculators.
The price of the commodity fluctuates with supply and demand and is further affected by weather patterns, economic trends and government policies.
It is possible to trade contracts over the Internet and speculate on future price developments.
Traders can make money with options, which convey a right to buy or sell this stuff at a predetermined price at a certain date in the future.
They can also speculate in futures which require them to engage in a future transaction under certain conditions.
The price of soybeans is changing very rapidly.
The best months for trading are said to be January, March, May, July, August, September and November.
As a result of the many uses for the oilseed, prices are expected to climb over the long term.