The final day that a futures or options contract may trade or be closed out before delivery of the underlying asset must occur.
Investopedia Says:
If the buying and selling parties do not arrange an alternate agreement, the physical commodity must be delivered from the seller to the buyer. For example, if you were long on a pork belly futures contract and didn't close out the position by the end of the last trading day, you should be prepared to accept delivery of real pork bellies.
Related Links:
For those who are new to futures but want a solid understanding of them, this tutorial explains what futures contracts are, how they work and why investors use them. Futures Fundamentals
An introduction to the world of options, covering everything from primary concepts to how options work and why you might use them. Options Basics Tutorial
There's one simple hurdle in the transition from stock to futures options: learning about product specifications. Becoming Fluent in Options on Futures
