futures contract meaning
ENWFutures contract
- In finance, a futures contract (more colloquially, futures) is a contract between two parties to buy or sell an asset for a price agreed upon today (the futures price) with delivery and payment occurring at a future point, the delivery date.
- The original use of futures contracts was to mitigate the risk of price or exchange rate movements by allowing parties to fix prices or rates in advance for future transactions.
- However futures contracts also offer opportunities for speculation in that a trader who predicts that the price of an asset will move in a particular direction can contract to buy or sell it in the future at a price which (if the prediction is correc
- NounPLfutures contracts
- (finance) a standardized contract, traded on a futures exchange, to buy or sell a standardized quantity of a specified commodity (or financial instrument) of standardized quality at a certain date in the future, at a price (the futures price).
- (finance) a standardized contract, traded on a futures exchange, to buy or sell a standardized quantity of a specified commodity (or financial instrument) of standardized quality at a certain date in the future, at a price (the futures price).
Definition of futures contract in English Dictionary
- Part-of-Speech Hierarchy
- Nouns
- Countable nouns
- Countable nouns
- Nouns
Source: Wiktionary
Grammatically, this idiom "futures contract" is a noun, more specifically, a countable noun.