(FINANCE) a financial derivative that consists of a contract to buy a fixed amount of a thing at a fixed price at a fixed time in the future,. For example, a commodity future may specify 1000 British barrels (bbl) of West Texas Intermediate (WTI) crude oil for $85.75/bbl, for delivery at Cushing, OK, on 31 November 2010.
Futures are "written" by the person with the commodity to sell, and sold to either a financial speculator or else to someone who wants the product--in this case, an oil refinery. Sellers/owners do this because they want to be assured of a fixed price for the thing they're selling. The official reason for buying a future is to get a fixed price for something. This allows businesses to plan ahead.
However, since futures contracts are traded on secondary markets, it's possible to make (or lose) a lot of money trading them.
Futures are "written" by the person with the commodity to sell, and sold to either a financial speculator or else to someone who wants the product--in this case, an oil refinery. Sellers/owners do this because they want to be assured of a fixed price for the thing they're selling. The official reason for buying a future is to get a fixed price for something. This allows businesses to plan ahead.
However, since futures contracts are traded on secondary markets, it's possible to make (or lose) a lot of money trading them.
SOMEBODY: A futures contract can be extremely valuable for doing business. One of the best examples was Southwest Airlines, which weathered the oil crisis of 2007-2008 with futures for aviation fuel. When the market price of fuel doubled, Southwest was able pay a low, low contract price.
SOMEBODY ELSE: Doesn't it ever backfire?
SOMEBODY: Yes, the market price could fall through the floor and you'd be stuck paying THAT instead of the new, lower price. But at least you know what your cash flow will be.
SOMEBODY ELSE: Doesn't it ever backfire?
SOMEBODY: Yes, the market price could fall through the floor and you'd be stuck paying THAT instead of the new, lower price. But at least you know what your cash flow will be.
by Abu Yahya April 5, 2010
an assassion for hire. paid to kill, and not leave a trace of evidence that can lead back to the customer.
by Ric0 September 5, 2007
by Coastiewife May 21, 2016
by Cazador301 May 21, 2015
A term used in Theraputic Community to describe when a person is not holding their peers accountable.
Chase was jerking off in the restroom and Matt was watching. I'm going to drop Matt in the box for negative contracting.
by TC Machine September 11, 2008
One who accepts money for "wetwork" or the assassination of others. A hitman. There are about 500 "gangsta" movies out there that unrealistically portray suppossed contract killers who go soft and become the good guys. Usually black ghetto homies are portrayed as the benevolent "gangstas", but everyone knows that the best of the best are usally professional white ex military/Italian mafiosos /Russian mafiosos who know what they're doing and don't pull up in front of their contract's house blaring rap music in a retarded looking "pimp-mobile" hummer H2 with lights on the bottom. Usually but not always in formal business attire. Weapon of choice is generally a silenced 9 millimeter pistol, but some of the better and more adacious (or crazy) bring out the heavy stuff, Colt Anacondas, .357s, assualt rifles, SAWs etc. The best have military connections for LAWs and RPGs, and other stuff that might be needed for the execution of their contract.
Those stupid Bloods down the street kept drawing unnecessary attention to the business matters we have been pursuing, so I had to hire a contract killer to appropriate everything below their leader's neck. I hope that now the stupid "hommie" bitches will conduct themselves with more discretion and temperance.
by Jack Death March 15, 2005
trick-taking card game
"He phoned the fallen daughter in the sauna playing contract bridge" (on the song "Grounded", by Pavement)
by Gustavo Reis February 12, 2008