™A ten-point move on a contract worth $50 per point changes gross value by $500 per contract. Margin posted is not the full exposure or maximum possible loss.
Trading
Futures contract
A standardized exchange-traded contract for an underlying asset or reference, settled by delivery or cash under its terms and generally marked to market daily.
Plain-English context
Put the definition to work.
A futures margin deposit is collateral, not full contract value or a loss cap; cash settlement and physical delivery differ.
Further reading and verification. Examples are hypothetical, not current quotes or recommendations. Product terms, tax treatment and market rules can change. CME — Mark to Market