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Options and Futures

Position Day

Commodity futures contracts are a crucial aspect of the financial market, and understanding the process behind them is essential. In accordance with the rules set by the Chicago Board of Trade, the first day of this process is known as the "first notice day." On this day, the clearing firm representing the seller informs the Board of Trade Clearing Corporation of their short customers' intent to deliver on a futures contract. This step marks the beginning of the delivery process for the actual commodity involved in the contract.
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