In the seller's outcry trading of basis hedging, what determines the basis and the futures price?
The futures price is determined by the futures market, and the seller's asking price is that the seller chooses a certain day to execute within the agreed time limit. The basis is the spot price minus the futures price. When the buyer and the seller reach an agreement, they will increase or decrease the discount at the futures price in a certain period in the future and sell it in the futures market at the same time to hedge and lock the basis.