Futures contracts are traded
A)face-to-face by investors.
B)on exchanges by commodity brokers.
C)over-the-counter by dealers.
D)on the floor of the New York Stock Exchange.

Question

Quizplus · Accepted Answer

Futures contracts are typically traded on exchanges by commodity brokers, such as the Chicago Mercantile Exchange (CME) or the New York Mercantile Exchange (NYMEX). This allows for standardized contracts and transparent pricing. While some trading may still occur face-to-face or over-the-counter, the majority of trading happens on these exchanges.

Futures Contracts Are Traded