Soybean futures are relative to soybean spot. Spot is cash delivery, while futures are contract (contract) transactions, that is, mutual transfer of contracts. Soybean futures is a contract to buy or sell (deliver) a certain amount of soybeans at the current agreed price at some time in the future. Before the expiration of the contract, you can buy and sell the contract; At maturity, no matter how the soybean price changes, it is risky to honor the contract and deliver it on the spot. The contract is legally binding and formulated by the Soybean Futures Exchange, which stipulates the quantity, price, place and quality standard of delivered soybeans.

By observing the futures market, people have an expectation of the supply, demand and price of soybeans in the future, which can guide soybean production; You can also sell future soybeans in the futures market first, lock in profits and avoid the risk of soybean price fluctuation.