In the futures market, the active month is the nearest base contract month that is not the current delivery month. For example, if the current delivery month is August, the active month is September. The August contract will be significantly less active because traders will be closing out their positions in order to avoid having to buy or sell the actual product or financial instruments. See also nearby month.
active month - Investment & Finance Definition
Webster's New World Finance and Investment Dictionary Copyright © 2010 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
Used by arrangement with John Wiley & Sons, Inc.
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"Active month." YourDictionary. LoveToKnow. www.yourdictionary.com/active-month.
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Active month. (n.d.). In YourDictionary. Retrieved from https://www.yourdictionary.com/active-month
