Treasury bond futures is a derivative trading method of treasury bonds. The buying and selling prices are determined in advance through organized trading places, and the currency and bonds are delivered at a specific time in the future. The so-called main contract refers to the contract with the largest turnover. Because it is the most active contract in the market, basically all speculators are participating in this contract.

The difference between futures and stocks is that the life cycle of futures contracts is limited and will not be delivered until after the last trading day of the contracts. The so-called main contract refers to the contract with the largest position. Under normal circumstances, the contract with the largest position has the largest turnover. Because it is the most active contract in the market and the easiest contract to clinch, speculators are basically participating in the main contract.

Extended data

Futures trading is a complex trading method, which has the following main characteristics different from spot trading:

1, treasury bond futures trading does not involve the transfer of bond ownership, but only the risk of price changes related to this ownership.

2. Treasury bond futures trading must be conducted at the designated trading place. The futures trading market aims at opening and liberalization, and OTC and private hedging are prohibited.

3. All treasury bond futures contracts are standardized contracts. Treasury bond futures trading is a leveraged transaction, and a margin system is implemented.

4. Treasury bond futures trading shall be subject to the debt-free day settlement system.

Generally speaking, there is little physical delivery in treasury bond futures trading.