There are many spot trading markets in China, which mainly deal in all kinds of primary raw materials, including agricultural products, metals and building materials. Spot trading and futures trading are very similar. Both transactions are T+0, and there is a short-selling mechanism, so the transaction is very flexible, unlike stocks that can only be long.
The difference between futures and futures lies in: futures are forward contracts, which can amplify transactions, so the risks are great; There are physical goods in the spot transaction, generally 2%~20% margin, and the transaction risk is small; Of course, the risk is small and the return is relatively small.
Extended data:
State function
The entry point for spot trading to enter the market is e-commerce, participating in the operation of bulk primary raw materials (including agricultural products, household goods, metals, building materials and other trading varieties), and developing a professional and in-depth B2B business model.
1. Spot transactions provide online settlement services for buyers and sellers, thus avoiding the "triangular debt" problem of enterprises.
2. The standardization of spot warehouse receipts put an end to "counterfeit" goods.
3. Perfect logistics distribution system to meet the settlement needs of different traders.
4. The formation of spot trading industry has played an irreplaceable role in the development of spot trade circulation in China.
Spot trading is a new thing in the field of spot circulation in China, and it is still in its infancy in China's economic life. Its advanced mode of action and unique function have aroused widespread concern in the whole society.
References:
Baidu encyclopedia-spot investment