Nearby futures contract

Nearby futures contract

When several futures contracts are considered, the contract with the closest settlement date is called the nearby futures contract. The next (or the "next out") futures contract is the one that settles just after the nearby futures contract. The contract farthest away in time from settlement is called the most distant futures contract.

Nearby Month

Among several different futures contracts or options, describing the one with the shortest maturity. For example, given three futures contracts, one expiring in March, one in June, and one in September, the nearby month contract is the one expiring in March. It is also called the spot month. See also: Most distant futures contract.
References in periodicals archive ?
New York: The New York Mercantile Exchange's benchmark, the West Texas Intermediate light sweet crude nearby futures contract, continued to decline even as Brent sweet and Gulf heavy sours gained last week.
The purchasing manager (Figure 2- A) has arranged for particular items to be priced on a cost-plus formula from the nearby futures price for each raw commodity, where the nearby futures contract is the futures contract month closest to expiration.
t-1]) for the nearby futures contract (635 observations).
And therefore, the March delivery month nearby futures contract for West Texas Intermediate light sweet on the New York Mercantile Exchange, after reaching $43.
The Dynamic Long VIX Futures Index tracks the performance of the combination of a hypothetical money market instrument and a dynamic strategy that is designed to provide efficient long exposure to the first five nearby futures contracts on the CBOE Volatility Index VIX.