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Financial Market Management — CBSE Class 10 board question

Q1. [1]
What is the role of the commodity derivatives market ?
  1. (A) Facilitating buying and selling in spot market.
  2. (B) Providing logistic services and other facilities.
  3. (C) Assists, regulates, or controls the business of buying, selling or dealing only in commodity derivatives.
  4. (D) Promoting over-the counter markets.
Previously asked in CBSE board exam
2026 92 Q3 (v)
Generated by claude-sonnet-4-6 · 2026-06-15 07:08 · grounding rag
Model Answer

(C) Assists, regulates, or controls the business of buying, selling or dealing only in commodity derivatives.

Explanation

The commodity derivatives market specifically deals with contracts whose underlying asset is a commodity (agricultural or precious metals). Option (C) correctly captures its regulatory and facilitative role limited to commodity derivatives, distinguishing it from spot markets, logistics, or OTC markets.

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