ELI5: futures
// explanation
What are futures?
Futures are like making a promise to buy or sell something later at a price you agree on today [3][5]. Imagine promising your friend you'll buy their baseball card for $10 next month, even though it might cost more or less by then—that's basically what futures do, except people do it with things like crops, oil, or stocks [3].
Why do people use futures?
Futures help people and businesses plan ahead when prices might change [5]. A farmer might sell their future corn harvest at a set price so they know exactly how much money they'll make, even if corn prices go up or down later [3].
How does the price get decided?
The price is decided right now between a buyer and seller, based on what they think something will be worth in the future [3][5]. It's like negotiating with your friend about what you think that baseball card will be worth next month.
Who watches over futures?
The government has a special agency called the Commodity Futures Trading Commission (CFTC) that makes sure futures trading is fair and honest [5].
// sources
FUTURES is building a world where everyone can live with safety, health, and economic opportunity. It is work that will take all of us to succeed.
Part exhibition, part festival, FUTURES presents nearly 32,000 square feet of new immersive site-specific art installations, interactives, ...
Pre-market stock trading coverage from CNN. View pre-market trading, including futures information for the S&P 500, Nasdaq Composite and Dow Jones ...
FUTURES was your guide to a vast array of interactives, artworks, technologies, and ideas that are glimpses into humanity's next chapter.
Strengthening the regulatory framework of U.S. financial markets where the CFTC and SEC coordinate seamlessly, reduce duplicative regulation, and provide ...
Video by Harvest Public Media
Video by The Plain Bagel
Video by Riley Coleman
