S&P 500 futures are standardized financial contracts that allow traders to speculate on the future value of the S&P 500 Index, which represents the performance of 500 large-cap U.S. companies. These futures are traded on exchanges like the CME (Chicago Mercantile Exchange) and come in various sizes, including the popular E-mini and Micro E-mini contracts, making them accessible to both institutional and retail traders. S&P 500 futures are used for hedging portfolios, managing market exposure, and taking advantage of price movements in either direction. They offer high liquidity, 23-hour trading access five days a week, and leverage, enabling traders to control large market positions with relatively small capital—though this also increases the level of risk.