What does the futures delivery month mean?
The futures delivery month refers to the month in which the futures delivery date is located. The so-called delivery refers to the process in which both parties to the transaction end the expired open contract through the transfer of the ownership of the goods contained in the futures contract. Commodity ownership is the acquisition or transfer of commodities contained in futures contracts.
Most investors end futures trading by hedging their positions. For example, when they buy a position, they close it by selling it. After the liquidation, they no longer have the ownership of futures. Delivery is to end the transaction process by buying the physical assets after opening a position, or selling the physical assets after opening a position again.
Futures delivery is divided into physical delivery and cash delivery. In the futures market, commodity futures usually adopt physical delivery, and some varieties of financial futures also adopt physical delivery. Cash delivery does not take physical delivery, but only takes the spot price at the time of delivery as the basis for trading profit and loss and fund allocation.
The above is the introduction of futures delivery month, I hope it will help you.