Does anyone have experience trading on the floor/pit of a commodity exchange like the Kansas City Board of Trade. Is it worth buying/leasing a seat on the KCBT or will pit trading be extinct in the future. How much do floor traders make on these type of exchanges???
The wheat contract on the KCBoT is the most important US type and has decent volume (4 to 6K a day usually). That particular market is really dominated by professionals (hedgers with commercial interest). I think that any time you can gain a unique and valid perspective about the market then you are certainly not going to be hurt by it. Trading on the floor of the exchange you also quickly get a feel for who is winning and who is not. It gives you the opportunity to observe how a proven winners (and losers) go about their business on a minute by minute basis. This too will definatly help you in the long run, even if you did not stay on the floor. Brandon