If a trader holding a long position in corn futures fails to meet the obligations of a futures contract, the party that is hurt by the failure is

Question

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If the trader fails to meet the obligations of the futures contract, the clearinghouse will be responsible for ensuring that the contract is fulfilled. The clearinghouse will be hurt if the trader fails to fulfill their obligations, as they will be responsible for finding another party to fulfill the contract or incurring any losses if they cannot find another party. The offsetting short trader and corn farmer would not necessarily be hurt by the trader's failure to meet obligations, as they could potentially find another trader to fulfill the contract or sell their corn at a different price. The broker is also not the party that is directly hurt by the failure to meet obligations.

If a Trader Holding a Long Position in Corn Futures