Timeline for What does the price for a wheat futures contract represent?
Current License: CC BY-SA 4.0
13 events
| when toggle format | what | by | license | comment | |
|---|---|---|---|---|---|
| Jun 22, 2018 at 22:32 | comment | added | dg99 | Were you ever able to learn the answers to your questions? | |
| Jun 7, 2018 at 16:47 | comment | added | TheMathemagician | The contract size (5000 bushels in this case) is not relevant for the price quotes, they are just per bushel. If the July contract is trading at 520 then that is the price. You can buy or sell at that price (more or less). If you want to know the spot price of a commodity then a futures exchange isn't the right place to look. | |
| Jun 7, 2018 at 13:32 | answer | added | D Stanley | timeline score: 1 | |
| Jun 7, 2018 at 11:06 | comment | added | MD-Tech | I should be shot for that mistake! I blame it on lack of coffee and the stress from the LSE outage this morning. | |
| Jun 7, 2018 at 11:05 | answer | added | MD-Tech | timeline score: 3 | |
| Jun 7, 2018 at 11:04 | comment | added | TripeHound |
@FiveBagger As I said, it was pure speculation (that seemed to make the numbers agree)! I had a quick look at the site, but couldn't see the 5000 figure (though now I've found it here). As MD-Tech has just said, the only way it can work is if the price (520) is in cents, despite what it says on that page (Quoted Units: US $ per bushel).
|
|
| Jun 7, 2018 at 11:02 | comment | added | MD-Tech | I'm an idiot - the price for the futures is in cents not dollars which is the discrepancy! see: cmegroup.com/trading/agricultural/grain-and-oilseed/… | |
| Jun 7, 2018 at 10:54 | comment | added | Five Bagger | @TripeHound I am pretty sure that SRW wheat contract is for 5000 bushels because that is what is says on the contract specs such as on the site I linked. This question is about commodity futures, not stock options. | |
| Jun 7, 2018 at 10:53 | comment | added | Five Bagger | @MD-Tech Those prices in your link are contract prices, not prices per bushel. A bushel of wheat weighs 60 pounds and sells for around $5 to $10. | |
| Jun 7, 2018 at 10:49 | comment | added | MD-Tech | @TripeHound I think we've found the same issue with OP's maths from opposite sides! | |
| Jun 7, 2018 at 10:45 | comment | added | TripeHound | Where does your 5000 figure come from? Speculation: elsewhere on PF&M, futures/calls/options contracts for shares seem to normally be for 100 of the underlying... at ~$5/bushel, that would fit with $520 if the contract was for 100 bushels. | |
| Jun 7, 2018 at 10:45 | comment | added | MD-Tech | Where does your spot price of around $5 per bushel come from? The spot wheat price on every website I look at is about 530 currently... (xtb.com/en/trading-services/range-of-markets/… for example) | |
| Jun 7, 2018 at 10:24 | history | asked | Five Bagger | CC BY-SA 4.0 |