The exact market value of a futures contract at any moment is determined by factors both subjective and quantitative. The futures price for a commodity depends in part on the cost to produce and store the goods, current supply and demand, and anticipated supply and demand into the future.Valu...
Before we get to know what are futures, we must understand the concept of derivatives. A derivative is a contract based on the ‘derived value’ of an underlying asset. Definition of a futures contract A futures contract gives the buyer (or seller) the right to buy (or sell) a specific...
A.futures contract prices. B.the market price of the specific commodity. C.the average market price of a basket of similar commodities.相关知识点: 试题来源: 解析 A A is correct. Commodity indexes consist of futures contracts on one or more commodities.[释义] 大宗商品指数是建立在期货合约上建...
the May 2020 NYMEX West Texas Intermediate (WTI) futures contract fell to -$37. It was the first time that the value of a futures contract was negative. Such a scenario led many to a question – can the
Economists have long known that corners and squeezes result from the exercise of market power during the delivery period of a futures contract but have not rigorously detailed either the factors that make it possible for traders to exercise such power or the implications of this behavior. This ...
In the futures market, a contract does not trade for two days because trades are not permitted at the equilibrium price. The market for this contract is: A. 相关知识点: 试题来源: 解析 B This describes the situation when the equilibrium price is either above or below the prior day's ...
Answer to: A futures contract is used for hedging. Explain why the marking to market of the contract can give rise to cash flow problems. By...
现在Mark to Market (MTM),意为以市值计价，是指根据当时市场价值纪录一种证券、投资组合或账户的价格或价值，交易商计算买卖收益及损失。以及在交易商的报税表上申报这些收益及损失的会计方法。一般该术语在期货中出现，即Futures are margined daily to the daily spot price of a forward with the ...
obligations. Initial margin requirements in futures vary depending on the futures contract, but are usually just a small percentage (3% to 12%) of the underlying (notional) value of the asset. Through margin, a trader can control a large position with a relatively small amount of money down....
The market value of a security or financial contract is the amount you can buy it for in the marketplace. For example, assume that the S&P 500 Indexfuturesare trading at $2,700. The market value of one unit of the S&P 500 Index is $2,700. ...