E-mini SP 500 Futures Settlements: A Comprehensive Guide
Introduction
E-mini SP 500 Futures are financial contracts that track the performance of the S&P 500 index, a benchmark of the 500 largest publicly traded companies in the United States. These contracts allow traders to speculate on the future direction of the index and hedge against risk.
Settlement Process
E-mini SP 500 Futures are cash-settled contracts, meaning they do not involve the physical delivery of the underlying index. Instead, the settlement price is determined based on the closing value of the S&P 500 index on the settlement date.
Settlement Dates
E-mini SP 500 Futures contracts expire on the third Friday of each month. The settlement dates for the next three months are:
* March 17, 2023 * June 16, 2023 * September 15, 2023Settlement Price
The settlement price for E-mini SP 500 Futures is calculated as the average of the final prices of the S&P 500 index during the last 15 minutes of trading on the settlement date.
Trading Information
E-mini SP 500 Futures are traded on the Chicago Mercantile Exchange (CME Group). The contract specifications are as follows:
Contract Size
Each E-mini SP 500 Futures contract represents 50 times the value of the S&P 500 index. This means that a contract with a settlement price of 4,000 would have a notional value of $200,000.
Tick Size
The minimum price change for E-mini SP 500 Futures is $0.25.
Trading Hours
E-mini SP 500 Futures are traded almost 24 hours a day, from 6:00 PM CT on Sunday to 5:00 PM CT on Friday.
Conclusion
E-mini SP 500 Futures settlements are an important part of the trading process. By understanding the settlement process and trading information, traders can better navigate the E-mini SP 500 Futures market.
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