Spot Date


DEFINITION of 'Spot Date'

The day when a spot transaction is typically settled, meaning when the funds involved in the transaction are transferred. The spot date is calculated from the horizon, which is the date when the transaction is initiated. In forex, the spot date for most currency pairs is usually two business days after the date the order is placed.


An exception to the usual two-day spot-date guideline is the USD/CAD pair, which settles in one business day because this currency pair is commonly traded and its financial centers are in the same time zone. Furthermore, settlement does not have to occur on the spot date. In a short date forward, for example, the transaction is settled in advance of the normal spot date.

  1. Settlement Date

    1. The date by which an executed security trade must be settled. ...
  2. Cash Delivery

    1. The same-day settlement of a currency trade in the forex market. ...
  3. Currency Pair

    The quotation and pricing structure of the currencies traded ...
  4. Base Currency

    The first currency quoted in a currency pair on forex. It is ...
  5. Value Date

    A future date used in determining the value of a product that ...
  6. Forex Spot Rate

    The current exchange rate at which a currency pair can be bought ...
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  3. What is the difference between pips, points, and ticks?

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