Similarly, the case of a short forward contract for selling the underlying asset is Payoff (short) = K – S, where S = spot price on the delivery date and K = delivery price or forward price agreed under the futures contract Suppose the spot price at the end of 6 months i.e. June 30, 2016 is 67.00 and the forward price to sell USD INR is at 66.7350. The gain would be calculated as below: Gain (short) = 66.7350 (futures price) - 67.00 = -0.2650. In this case, the futures contract holder suffers a loss of 0.2650 per USD because he would have received more INR if he had sold. in the spot market at 67.00 while it received only 66.7350 in the futures contract for selling USD. Positive or negative gains show the notional profit or loss generated by the contract owner. A profit for one party generates an equivalent loss for the other party because there is no cost to enter into a futures contract. Value of a futures contract