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What Is the Futures Market: How It Works

By Benjamin LockeUpdated Sep 14, 2025 at 10:38 PM

Key Points

  • Futures markets let investors hedge risks or speculate by trading asset contracts for future dates.
  • Locking in prices through futures helps businesses manage cost risks and price their products.
  • Using wheat futures, businesses can lock in current prices, protecting against future price increases.

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