Not necessarily, the rise in futures prices does not necessarily mean that spot prices will also rise. If the capital market is well funded, futures contracts may be speculated and futures prices will rise, then futures prices and spot prices will not rise together.

What is futures?

Futures refers to a trading method that spans time. By signing a contract, the buyer and the seller agree on the price and agree to deliver a certain amount of spot at a specific time and place in the future. This spot can be a commodity, a financial instrument or a financial indicator.