forward market

The same futures variety

Hedging transaction

Because geography and

Institutional environment

Different, the price of the same futures product in different markets at the same time is likely to be different and constantly changing.

In this way, you can buy long positions in one market and sell short positions in another market at the same time, and then close positions or deliver at the same time after a period of time, thus completing hedging transactions in different markets. Short for this hedging transaction.

Cross-market arbitrage