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Spot Price
The Spot price of an instrument is the current cash price right now in the market to take delivery of a stock, bond, foreign currency, commodity or any other tradable instrument.
The Futures and Forward prices are the market values for the same instrument at some point in the future and will usually trade at a Premium or Discount to the Spot price up until expiry when they will converge to the Spot price. Some Futures stop trading before delivery and as such will never or rarely converge with the Spot price.
The Futures and Forward prices are the market values for the same instrument at some point in the future and will usually trade at a Premium or Discount to the Spot price up until expiry when they will converge to the Spot price. Some Futures stop trading before delivery and as such will never or rarely converge with the Spot price.
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