futures contract (Meaning)
futures contract (n)
an agreement to buy or sell a specific amount of a commodity or financial instrument at a particular price on a stipulated future date; the contract can be sold before the settlement date
Synonyms & Antonyms of futures contract
No Synonyms and anytonyms found
futures contract Sentence Examples
- Futures contracts are standardized agreements to buy or sell a specific asset at a specified price on a future date.
- Investors use futures contracts to hedge against price fluctuations in the underlying asset.
- Futures contracts provide leverage, allowing investors to control a larger position with a smaller investment.
- Futures markets offer traders the ability to speculate on future price movements.
- The price of a futures contract is determined by the spot price of the underlying asset and interest rates.
- Futures contracts expire on a specific date, at which point the contract is settled with physical delivery or cash payment.
- Futures contracts can be traded on exchanges or over-the-counter.
- Commodity markets, such as wheat and oil, use futures contracts to facilitate efficient trading.
- The use of futures contracts has grown significantly in recent years due to increased volatility in financial markets.
- Futures contracts are an essential tool for managing risk and speculating on future market conditions.
FAQs About the word futures contract
an agreement to buy or sell a specific amount of a commodity or financial instrument at a particular price on a stipulated future date; the contract can be sold
No synonyms found.
No antonyms found.
Futures contracts are standardized agreements to buy or sell a specific asset at a specified price on a future date.
Investors use futures contracts to hedge against price fluctuations in the underlying asset.
Futures contracts provide leverage, allowing investors to control a larger position with a smaller investment.
Futures markets offer traders the ability to speculate on future price movements.
