Because futures contracts have a term, the last trading day is the day after the last trading day, and trading is not allowed. However, in the actual trading process, ordinary speculators will not do so unless the institutional customers who participate in hedging will hold positions until the last trading day.
As far as futures contracts are concerned, the delivery date refers to the date when the goods must be delivered. In commodity futures trading, individual investors have no right to hold positions before the final delivery date. If they don't close their positions themselves, they will be forced to close their positions by the exchange. Only the spot enterprises that apply for hedging qualification from the exchange and get approval can hold their positions until the final delivery date and enter the delivery procedure.
Five delivery days
First delivery date
1. The buyer declares its intention. Within the first delivery date, the buyer submits a letter of intent for the required goods to the exchange. The contents include variety, brand, quantity and the name of the designated delivery warehouse.
2. The seller shall submit the standard warehouse receipt. The seller shall submit to the exchange a valid standard warehouse receipt that has paid the storage fee within the first delivery day.
Second, the second delivery date
Exchange allocates standard warehouse receipts. On the second delivery day, the exchange will issue the standard warehouse receipt to the buyer according to the existing resources and the principle of "time first, quantity rounding, nearest matching and overall arrangement". For the standard warehouse receipt that cannot be used for the delivery of the next futures contract, the exchange will distribute it to the buyer according to the proportion of the total delivery in the current month.
Third, the third delivery date
1, the buyer pays and takes the bill. The buyer must deliver the payment to the exchange and obtain the standard warehouse receipt before the third delivery date 14:00.
2. The seller collects money. The exchange shall pay the payment to the seller before the third delivery date 16:00.
Fourth, fourth and fifth delivery days
The seller pays the special invoice for VAT.
Fifth, the final delivery date.
If the last trading day falls on a legal holiday or the delivery date falls on a legal holiday, the delivery date will be postponed accordingly and five delivery days will be guaranteed. These five delivery days are called the first, second, third, fourth and fifth delivery days respectively, and the fifth delivery day is the final delivery day.