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(apex) a contract setting the price and date for a commodity purchase.
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What best explains what a forward contract is?
A contract to deliver a particular commodity to a buyer sometime in the future.
When did trading begin in foreign currency futures?
In 1972 it launched a contract in foreign currency futures.
How many bushels of corn in a futures contract?
fifty thousand bushels in a corn contract
What Commodity futures contracts can be bought and sold on the open market for reasons?
Futures contracts remain valid even if the original parties to the contract sell the rights.
Why commodity futures contracts re transferable?
They can be bought and sold but the obligation in the contract remains valid.
What statement best explains what a futures contract is?
A futures contract is a contract setting the price and date for a commodity purchase.
What best explains what a future's contract is?
A futures contract is a contract setting the price and date for a commodity purchase.
Which if the following best explains what a futures contract is?
(apex) a contract setting the price and date for a commodity purchase.
Is a futures contract a type of options contract where you are either a seller of a call or a seller of a put?
A futures contract is different from an option contract: an option contract allows the buyer to choose to exercise the contract. A futures contract obligates you to do it. Example: You and I decide to buy calls on 100 shares of Acme stock at 22 with June 1 settlement date. You buy a futures contract, and I get an option contract. On May 27, Acme drops to 10 and stays there. On June 1, you must buy 100 shares of $10 stock for $22 per share. My option is out of the money, and I never exercise it. The "obligation" part explains why futures contracts on stock are very, very rare. Almost all futures contracts are written against commodities.
How do you purchase a futures contract?
You purchase a futures contract by first opening a futures trading account, which is a margin account, with a futures broker. Once that is done, simply choose the specific futures contract you wish to buy and then pay its "Initial Margin", which is a deposit needed to start a futures trade.
Where can one find information on Emini futures trading?
Information on Emini futures trading can be found on the website Trading Concepts which explains the nature of a futures contract, and how much it costs to complete the trading. Detailed information could also be found by consulting a financial adviser.
What type of company is the Commodity Futures market?
there are two types that are part of the commodity futures market. A normal futures market is one where the price of the nearby contract is less than the price of the distant futures contract. The other is an inverted futures market, the price of the near contract is greater then the price of the distant contract.
Which of the following best explains why commodity futures contracts are transferable?
They can be bought and sold but the obligation in the contract remains a valid
What best explains the term social contract?
d
How many bushels of wheat in a futures contract?
A wheat futures contract covers 5000 bushels of whatever wheat (there are different kinds) is specified in the contract.
What type of market is the commodity market?
there are two types that are part of the commodity futures market. A normal futures market is one where the price of the nearby contract is less than the price of the distant futures contract. The other is an inverted futures market, the price of the near contract is greater then the price of the distant contract.
What best explains what a forward contract is?
A contract to deliver a particular commodity to a buyer sometime in the future.
