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Futures Spread |
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Futures Spread In arbitrage, the purchase of a future contract and the simultaneous sale of another contract on the same commodity when the price differs. For example, an arbitrageur may take advantage of a situation in which the purchase price and the sale price of a futures contract are different. In practice, a futures spread is relatively rare, as futures contracts are a liquid market, which holds down any price discrepancy. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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