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Is delivery mandatory in futures contract trading?

April 26, 2017DELIVERY futures contract mandatory trading

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Is delivery mandatory in futures contract trading?

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The provision for delivery is made in the Byelaws of the Associations so as to ensure that the futures prices in commodities are in conformity with the underlying. Delivery is generally at the option of the sellers. However, provisions vary from Exchange to Exchange. Byelaws of some Associations give both the buyer and seller the right to demand/give delivery.