Definition of futures contract in English:
An agreement traded on an organized exchange to buy or sell assets, especially commodities or shares, at a fixed price but to be delivered and paid for later. Compare with forward contract.
- This year, the October average daily closing price for December Chicago Board of Trade futures contracts will determine the harvest price for corn crop revenue coverage.
- In Europe, when futures contracts have traded simultaneously on an exchange floor and on an electronic network, the liquidity has rapidly migrated online.
- When banks bought gilts or German bonds whose prices were falling, their systems automatically sold futures contracts in similar bonds to hedge their losses.