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Settle
The last price paid for a commodity on any trading day. The exchange clearinghouse determines a firm's net gains or losses, margin requirements, and the next day's price limits, based on each futures and options contract settlement price. If there is a closing range of prices, the settlement price is determined by averaging those prices. Also referred to as settlemeny price or closing price.
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- Part of Speech: noun
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- Industry/Domain: Financial services
- Category: Commodity exchange
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