Future or forward price = F = contract price of underlying asset at T Spot price = S(0) = current price of underlying asset Expected spot price = S(T) = market price of underlying asset at time T All of this correct?
thank you topher. so how is F different than S(T)? or is the whole point that F must equal S(T)?
Yes I think F should equal S(T) as long as parity relations hold.
yup agreed. thanks for the help. good luck.