Which of the following is the best definition of a spot market?
A) A market in which a good is bought or sold with the idea that the price will increase in the future
B) A market in which a good is bought or sold with the hope that the price will decrease in the future
C) A market in which prices do not fluctuate up or down very easily
D) A market in which a good is bought or sold for immediate delivery or consumption
E) A market in which the good being traded is used to remove spots on clothes

Question

Quizplus · Accepted Answer

A spot market is a market in which a good is bought or sold for immediate delivery or consumption. It is also known as a cash market, as opposed to a futures market where goods are traded with delivery at a future date. Therefore, option D is the correct definition of a spot market.

Which of the Following Is the Best Definition of a Spot