Resource

What are Futures?

Futures contracts are standardized financial instruments that trade on an exchange, such as the New York Mercantile Exchange or the Intercontinental Exchange (ICE). The most common U.S natural gas futures contract is the NYMEX Henry Hub contract with a physical trading point at Erath, LA. The value of futures contracts are settled and marked-to-market each day, and require the holder to place collateral commensurate with the value of their underlying futures position.



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