(1) In the futures investment market, the interest rate futures price and the real interest rate are not on the same track, but they are actually contradictory, and the interest rate futures price and the real interest rate change inversely. Specifically, if the real interest rate shows an upward trend, then the interest rate futures price shows a downward trend, and the two are inversely proportional. Similarly, when the interest rate futures price shows an upward trend, then the real interest rate shows a downward trend.
(2) Because of the particularity of interest rate futures, its delivery method is essentially different from other futures. Generally speaking, interest rate futures mainly use cash delivery, which is very beneficial to the investment market to some extent. However, the market is flexible, so sometimes there will be cash delivery, of course, the frequency of this delivery is very small. So, what is cash delivery? In fact, cash delivery takes the existing interest rate of the bank as the conversion factor to determine the delivery price of futures contracts, so its completion needs to be based on the existing interest rate of the bank.
In order to form a diversified investment concept, investors can learn more about bonds and remember not to put all your eggs in one basket.