Futures Contract

A futures contract (“future”) is an agreement to buy or sell an underlying commodity (such as an agricultural product or a financial instrument) at a specified time, price, and quantity. A futures contract is identified by its underlying commodity and the month and year of its expiration date. Futures are used to speculate in or hedge against the future price of the underlying commodity.


This guide is not intended to provide investment advice, and you should not rely on statements in this guide when making investment decisions.

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