Futures trading began in the mid-western United States in the 1970s and has since grown to be a global, 24-hour market. A futures contract is an agreement between two parties to buy or sell an asset at a specified price, quantity, and time in the future. There are various types of traders in the futures market, including hedgers who seek to reduce risk exposure, speculators who take risks in hopes of earning profits, and spreaders who believe in lower risk and returns. Key functions of futures markets are hedging, price discovery, financing, and providing liquidity.