World Basics · Physical world
Climate zones & biomes
Why deserts sit at ~30° latitude, rainforests at the Equator, and how climate shapes crops and commodities.
Step 1 of 4 · Overview15 min read ·
| Köppen group | Climate | Where | Commodity link |
|---|---|---|---|
| A | tropical | Equator: Amazon, Congo, SE Asia | coffee, cocoa, palm oil |
| B | dry/desert | ~30° N/S: Sahara, Arabia, Australia | oil fields, solar |
| C | temperate | Europe, eastern US, eastern China | wheat, wine |
| D | continental | Russia, Canada, US Midwest | wheat, corn, timber |
| E | polar | Arctic, Antarctica | shipping routes as ice melts |
Hot air rises at the Equator (lots of rain), cools, and sinks around 30° latitude. Sinking dry air creates the world's great deserts. These are the Hadley cells.
Key idea
Markets: a drought in the US Midwest or Brazil moves corn, soy and coffee futures. Weather is a tradable risk.Next: Practice