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Futures Contract

Futures Contract

Definition

An agreement to purchase or sell a commodity for delivery in the future: (1) at a price that is determined at initiation of the contract; (2) that obligates each party to the contract to fulfill the contract at the specified price; (3) that is used to assume or shift price risk; and (4) that may be satisfied by delivery or offset.

Related Terms

Other terms related to 'Futures Contract' starting with the letter 'F'

Fungibility, Financial Settlement, Forward Months, Freddie Mac, Full Carrying Charge Full Carry

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