What does Dojima Rice Exchange mean?
Established in 1697 in Osaka, Japan, the Dojima Rice Exchange was the first commodity trading exchange of the modern economy. In 1730, it got official license for the trading of rice contracts and futures. It was however dissolved in 1939.
Futures Knowledge Explains Dojima Rice Exchange
Initially, the Dojima Rice Exchange was established as a market place where which rice could be bartered as a medium of exchange for other goods or for money. The Dojima Rice Exchange underwent several changes and turned into a model of futures exchange. But the exchange could not sustained a series of poor harvests and other adverse factors leading to dissolution of the exchange. The Dojima Rice Exchange is also remembered today as the first place where ‘candlesticks’ were used for the first time in trading, now a popular chart type used in technical analysis.