futures contract

(finance/foreign exchange) A contract for the future delivery of a specified commodity, currency or security on a specific date at a rate determined in the present. Standardized forward contracts are officially traded on an exchange such as the Chicago Board of Trade (CBOT), London International Financial Futures Exchange (LIFFE), Commodity Exchange Inc. (COMEX), or New York Mercantile Exchange (NYMEX). The contract is valid for a specific amount of a commodity or a fixed amount of a financial instrument.

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