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Cash Markets

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Cash markets
Also called spot markets, these are markets that involve the immediate delivery of a security or instrument. Related: Derivative markets.

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.


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John Tyson, chairman and CEO of Tyson Foods, said that "thousands" of the nation's meat producers sell cattle through such agreements rather than in cash markets.
More recently, however, margin levels have been reduced on futures contracts and in some instances the level of protection provided as of June 1989 is less than in the cash markets.
NYSE Euronext's European cash markets executed record average daily volume of 2.
 
 
 
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