settlement price

Settlement price

A figure determined by the closing range that is used to calculate gains and losses in futures market accounts. Settlement prices are used to determine gains, losses, margin calls, and invoice prices for deliveries. Related: Closing range.

Settlement Price

In futures, the average price at which a futures contract trades on a given day. It is calculated by taking the average of the opening price and the closing price on that day. The settlement price helps a broker determine whether a client's margin account needs to be called, if the price changes too much, and the client holds the contract in question.

settlement price

In futures trading, an official price established at the end of each trading day by using the range of closing prices for a particular contract. This price, similar to the closing price for stock, is used to determine margin requirements and the following day's price limits.
References in periodicals archive ?
The Platts Rebar FOB Turkey Price assessment is being used as the monthly settlement price of the LME Steel Rebar futures contract.
25, 2015 /PRNewswire/ -- OptionsCity Software, a global provider of futures and options trading and analytics solutions, has been selected by Nasdaq to provide a settlement price solution for derivatives contracts traded on Nasdaq Futures, Inc.
d) Changes related to final settlement price on the expiration day is determined using the last 30 minutes volume weighted average price of the underlying Security (4.
70 lower than the average daily settlement price of the Oman Crude Oil Financial Contract in Dubai Mercantile Exchange for contracts being traded during March.
49/b, while on that day the settlement price for paper Brent was $110.
Penguin had earlier this month offered the largest settlement price with $75 million.
Yang Jung-shan, chairman of Proview Technology Group, expressed that the settlement price is unsatisfactory but acceptable, adding that it could have won more settlement payment had it not been for the company's business plight.
In particular, we seek to understand how three reference prices--reservation, aspiration and initial price offering--influence the settlement price ultimately achieved in a negotiation.
A single settlement price will be issued for July 6.
There was no settlement price on Monday because of the Memorial Day holiday in the United States.
The daytime settlement price for the one-year futures contract on gold was the highest since Feb.
77 a barrel Tuesday, the highest settlement price on the New York Mercantile Exchange since Oct.