Image for Spot Pricing

Spot Pricing

Spot pricing refers to the current market price at which a commodity or asset can be bought or sold for immediate delivery. It is often used in contexts like energy markets or stock trading, where the price fluctuates based on supply and demand dynamics. Spot prices contrast with futures prices, which are set for transactions that will occur at a later date. Essentially, spot pricing provides a real-time snapshot of the value of an asset, reflecting the most recent transactions and market conditions.