The difference between spot and foreign exchange 1. Different trading venues: spot foreign exchange is generally traded between banks or market makers, so there is often a buying and selling spread, which is charged by banks and market makers. Cost; while foreign exchange futures are traded through exchanges, such as the CME Exchange in the United States, which trades a large number of foreign exchange futures contracts in the world, it is a matching transaction, and the transaction method is similar to stocks, so there is no buying and selling spread. 2. Contract restrictions are different: For foreign exchange spot, generally speaking, the contract value is 100,000 U.S. dollars as one standard lot. Regular transactions are also conducted in lot units. The contract does not have a certain delivery period and can be held for a long time, but there is an interbank fee. interest; foreign exchange futures, the trading contract benchmark is the standard contract under the IMM settlement system. Generally speaking, the March, June, September, and December month contracts are the main annual contracts, but there are also monthly contracts basically every month. The normal trading period is the third Tuesday of the contract month, which is the post-delivery day. If the position has not been closed before, Delivery procedures must be completed for delivery. Foreign exchange futures positions do not require any interest. \"Spot and foreign exchange\" 3 The main investors are different: It is undeniable that the trading volume of foreign exchange spot is also very large, but more of it is transactions between banks, market makers and speculators; while foreign exchange futures Differently, the need for hedging is the main part of those engaged in foreign exchange futures trading, which occurs more among foreign trade industries and companies, while individual speculators only account for about 5% of the foreign exchange futures trading market. From this point of view, the investment nature of the foreign exchange futures market is much heavier than that of the foreign exchange spot market. 4. The safety and reliability of transactions are different: It is undeniable that foreign exchange futures belong to the futures industry in various countries and are strictly supervised by regulatory authorities in various countries. The safety of transactions is high; while foreign exchange spot transactions are subject to regulatory laws and The laws and regulations have not yet been perfected, and currently no country has a very complete regulatory mechanism to supervise it. Generally, after the incident, the regulatory regulations on foreign exchange futures are adopted for comprehensive supervision. In terms of reliability, foreign exchange futures have special exchanges to organize transactions, so they are more reliable; while foreign exchange spot is a tacit and spontaneous behavior among banks in various countries. Once there are political factors or other factors, the quotation will inevitably be affected. This is also a reason to worry.

The above is all about spot and foreign exchange