Energy commodities includes oil, natural gas, and coal, which are vital source of energy for many industrial activities.

Characteristic of energy commodities:

1. Cyclical Demand: The demand of energy commodities tends to be heavily influenced by the current state of economy. During economic expansion, their prices usually rise and vice versa
2. Impact of Weather and Seasons: During winter, prices of some energy such as natural gas might peak while during the summer, gasoline price will increase due to increased travel.
3. High Volatility: Energy commodities especially oil and natural gas are highly volatile due to fluctuation in global supply and demand along with other geopolitical event and natural disasters.

Overall, energy commodities may be a good investment as it is an asset which can be invested in long or short term. However, as renewable energy is becoming more and more popular, the future for energy commodities are still uncertain.

Prices crude oil throught the years: