Futures Market


DEFINITION of 'Futures Market'

An auction market in which participants buy and sell commodity/future contracts for delivery on a specified future date. Trading is carried on through open yelling and hand signals in a trading pit.


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BREAKING DOWN 'Futures Market'

Volume in the futures market usually increases when the stock market outlook is uncertain.

  1. Political Futures

    An investment wherein the payout comes after an election, based ...
  2. Backwardation

    A theory developed in respect to the price of a futures contract ...
  3. Chicago Board Of Trade - CBOT

    A commodity exchange established in 1848 that today trades in ...
  4. Index Futures

    A futures contract on a stock or financial index. For each index ...
  5. Bond Futures

    A bond future is a contractual obligation for the contract holder ...
  6. Pit

    A specific area of the trading floor that is designated for the ...
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  2. Can mutual funds invest in options and futures?

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