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Cash Market

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Spot Market
A market in which an asset bought or sold is delivered immediately. To give a basic example, if one buys a stock and it is delivered immediately, one utilizes the spot market. It differs from derivatives markets like futures. Perhaps less commonly, it is called the cash market.

cash market
The market in which trades are made for the immediate sale or purchase of a particular item. Cash market is commonly used in commodities trading to differentiate transactions involving immediate or nearly immediate delivery from transactions requiring delivery at a future time. Also called spot market.

Cash market. In a cash market, buyers pay the market price for securities, currency, or commodities "on the spot," just as you would pay cash for groceries or other consumer products.

Cash markets are also called spot markets. A cash market is the opposite of a futures market, where commodities or financial products are scheduled for delivery and payment at a set price at a specified time in the future.

In a cash market, ownership is transferred promptly, and payment is made upon delivery.



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T8Design, a provider of web services for the financial industry, announced a partnership with Bozeman, a Montana-based source of cash grain market intelligence, to allow community banks and credit unions to provide cash market prices for commodities to members.
Market participants are concerned that sharp falls in the Nikkei futures may lead to massive unwinding on the cash market of arbitrage-linked long positions that have swelled to record high levels since 1990, they said.
The lawsuit said the company artificially depressed prices by using its captive supply to avoid higher prices on the cash market.
 
 
 
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