Derivatives, such as futures or options, are financial contracts whose value is derived from a spot price, known as the “underlying.” Wheat producers, for example, may prefer to engage into an agreement to supply their harvest at a future date in order to remove the risk of price changes by that date. A forward or futures market would be used for such a transaction. This market is known as the “derivatives market,” and its prices are determined by the spot market price of wheat, which is known as the “underlying.”