forward price

(redirected from Forward rate)
Also found in: Financial.

forward price

The price for a physical commodity to be delivered at some agreed time in the future. Forward prices are used in futures trading.
References in periodicals archive ?
ASC Topic 815, "Derivatives and Hedging," requires companies to measure foreign currency forward contracts at fair value, derived by discounting the difference between the contract rate and the current forward rate to the settlement date.
In this contract, only the net difference between the contracted forward rate and the spot rate should be settled in pesos upon maturity of the contract.
Under the facility, the parties agree that on the maturity of the forward contract, only the net difference between the contracted forward rate and the market rate would be settled and paid in pesos.
Under the facility, parties agree that, on maturity of the forward contract, only the net difference between the contracted forward rate and the spot rate shall be settled in pesos.
"This refinance was an exceptional execution providing for a six-month forward rate lock at a very minor increase to the overall spread at the end of 2017 before treasuries increased 50 basis points," Nalbandian said.
Because of the symmetric nature of relationships among foreign exchange currency pairs, we conjecture that forward rate biases should be small.
A forward rate is a rate applicable to a financial transaction that will take place in the future, and is based on the spot rate, and refers to the rate that will be used to deliver a currency, bond or commodity in the future.
For example, in December 2008, the convenience yield defined by the December 2009 and December 2010 contracts is a one-year forward rate starting approximately one year from the current date.
The 4.2% ultimate forward rate to extrapolate the forward curve for valuing long-term liabilities looks set to be reduced; this would weaken S2 ratios for several Dutch life insurers and accelerate the decline in German guaranteed savings business.
After the new rule, foreign central banks, global financial institutions and sovereign-wealth funds will only need to register with the central bank to trade bonds in the spot and forward markets, conduct interest rate swaps, and trade forward rate agreements.
There are 19 articles: history of American corporate governance; blockholders and corporate governance; corporate takeovers and economic efficiency; payout policy; corporate liquidity management; corporate pension plans; bank capital and financial stability; contingent capital instruments for large financial institutions; counterparty risk; the industrial organization of the US residential mortgage market; investor flows to asset managers; exchange-traded funds; stock prices and earnings; information transmission in finance; insider trading controversies; security market manipulation; financialization of commodity markets; forward rate curve smoothing; optimal exercise for derivative securities.

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