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Spot Trade 💗
Spot trade refers to the purchase or sale of a financial instrument, commodity, or asset for immediate delivery and payment. In a spot trade, the transaction is settled "on the spot," meaning that the buyer pays for the asset, and the seller delivers it right away, usually within two business days. This type of trading is common in foreign exchange markets, commodities, and securities, and it contrasts with futures or forward contracts, where the delivery occurs at a later date.
Spot trade refers to the purchase or sale of a financial instrument, commodity, or asset for immediate delivery and payment. In a spot trade, the transaction is settled "on the spot," meaning that the buyer pays for the asset, and the seller delivers it right away, usually within two business days. This type of trading is common in foreign exchange markets, commodities, and securities, and it contrasts with futures or forward contracts, where the delivery occurs at a later date.