Commodity exchange

Commodity exchange

Industry: Financial services

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Commodity exchange

futures price

Financial services; Commodity exchange

(1) Commonly held to mean the price of a commodity for future delivery that is traded on a futures exchange. (2) The price of any futures contract.

hardening

Financial services; Commodity exchange

(1) Describes a price which is gradually stabilizing; (2) a term indicating a slowly advancing market.

(1) In determining whether assets meet capital requirements, a percentage reduction in the stated value of assets. (2) In computing the worth of assets deposited as collateral or margin, a reduction ...

long

Financial services; Commodity exchange

(1) One who has bought a futures contract to establish a market position; (2) a market position which obligates the holder to take delivery; (3) one who owns an inventory of commodities. See Short.

cover

Financial services; Commodity exchange

(1) Purchasing futures to offset a short position. Same as Short Covering. See Offset, Liquidation; (2) To have in hand the physical commodity when a short futures or leverage sale is made, or to ...

corner

Financial services; Commodity exchange

(1) Securing such relative control of a commodity or security that its price can be manipulated; (2) In the extreme situation, obtaining contracts requiring the delivery of more commodities or ...

premium

Financial services; Commodity exchange

(1) The additional payment allowed by exchange regulation for delivery of higher-than-required standards or grades of a commodity against a futures contract. (2) In speaking of price relationships ...