Derivative

chandniwadhwani92
Finance Junkie
Posts: 166
Joined: Mon Oct 06, 2014 7:36 am

Derivative

Postby chandniwadhwani92 » Wed Dec 17, 2014 6:38 pm

What is settlement price and equilibrium price in future market

edupristine
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Joined: Wed Apr 09, 2014 6:28 am

Derivative

Postby edupristine » Mon Apr 06, 2015 11:55 am

Settlement price of the future market is the average price of the last few biddings of the day which determines the profit/loss of the same day. for eg. if the last bidding has to be done till 5 pm, then the average of last few biddings of last few minutes will be the settlement price.

Equilibrium price of the future market is the price at which the quantity of product supplied= price at which quantity of product demanded.


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