Financial futures are futures contracts in currencies, interest rates, or stock indices. These contracts commit both parties to a transaction on a future date at a pre-arranged price and are traded in organized exchanges.
An in-depth exploration of forward and futures contracts, their historical context, types, key events, mathematical models, charts, applicability, and more.
Comprehensive overview of futures contracts, their history, types, applications, and significance in the financial markets.
A comprehensive guide to the concept of hedging, including historical context, types, key events, and methods used in financial risk mitigation.
An in-depth examination of market risk, its types, historical context, mathematical models, and strategies to mitigate its impact.
An in-depth exploration of the New York Mercantile Exchange (NYMEX), including its history, importance, and functioning within the financial markets.
Price Risk Management involves the use of various techniques and instruments, such as futures contracts, to manage the risk of price volatility in commodities.
Rollovers involve moving an existing position to a new contract term, often used in finance to maintain a financial instrument's exposure and defer the need for settlement.
An in-depth exploration of Derivative Securities, their types, applications, and impact in financial markets.
A comprehensive overview of financial futures contracts, their characteristics, types, examples, and their relationship with interest rates.
An in-depth exploration of the 'Limit Up, Limit Down' mechanism in futures contracts, defining maximum allowed price movements, implications of dramatic developments, and possible consecutive limit moves.
The nearest month among currently traded contracts in which a commodity can be delivered, such as February for contracts in late January.
Explore the concept of Cheapest to Deliver (CTD) in futures contracts, including its definition, calculation formula, practical applications, and importance in trading strategies.
A comprehensive guide to understanding the definition, role, and registration process of Futures Commission Merchants (FCMs) in the financial markets.
Explore the intricacies of the futures market, an exchange for trading futures contracts. Learn how futures differ from forwards and their significance in financial trading.
A Comprehensive Guide to Understanding Hardening in Commodity and Futures Markets: Stabilization, Gradual Advances, and the Role of Speculators
An in-depth explanation of the term 'Job Lot,' its applications in commodities futures trading, and how it differs from standard lot sizes.
This entry explores the concept of 'limit down,' a critical mechanism that activates trading curbs when a futures contract or stock price experiences a significant decline.
Explore the concept of a long hedge, understand how it operates in financial markets, and see illustrative examples to grasp its practical applications.
A thorough exploration of look-alike contracts including their meaning, types, limitations, and criticism. Understand the intricacies of this derivative of a futures contract.
An in-depth exploration of Natural Gas ETFs, their structure, investment strategies, and impact on the market. Learn how these funds track natural gas prices and what factors influence their performance.
A comprehensive overview of the Options Clearing Corporation (OCC), including its role as an issuer and guarantor of options and futures contracts, historical context, and regulatory frameworks.
Explore the S&P GSCI, an index of 24 exchange-traded futures contracts representing a significant portion of the global commodities market. Learn about its definition, the types of commodities listed, and potential drawbacks.
An in-depth exploration of the Wild Card Option in financial markets, including its definition, how it works, and a practical example.
