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Delivery Point

What does Delivery Point mean?

Delivery point is the place which is specified in the future contract where the commodity will be delivered. Delivery point has to be one of locations approved and notified by a commodity exchange. It is also known as delivery location.

Futures Knowledge Explains Delivery Point

The location is typically a transportation hub because of its accessibility from various medium which makes it easier to deliver at various location from this point. The cost of delivery is priced in the contract so that it can be standardized. The contract price for the same commodity having different location can be different because of the different delivery cost.

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