DEFINITION of 'Tokyo Commodity Exchange - TOCOM'
The largest marketplace in Japan, and one of the largest marketplaces in the world, for the buying and selling of raw or primary goods, such as natural resources. The Tokyo Commodity Exchange was formed in November 1984 when the Tokyo Textile Exchange, Tokyo Rubber Exchange and Tokyo Gold Exchange merged. TOCOM is a for-profit stock company.
BREAKING DOWN 'Tokyo Commodity Exchange - TOCOM'
Through the Tokyo Commodity Exchange, which uses an electronic trading system, investors can trade contracts for rubber, gold, silver, crude oil, gasoline, gas oil, kerosene, platinum and palladium. Gold sees the highest trading volume of all the commodities traded on the exchange, followed by platinum, gasoline, crude oil and rubber.