Gold futures are contracts that allow investors to buy or sell a specific amount of gold at a predetermined price on a future date. These contracts are traded on exchanges, and they help investors hedge against price fluctuations in the gold market. Investors use gold futures to speculate on the future price of gold or to protect their investments from potential losses. If the price of gold rises above the contract price, the investor can profit by selling the contract. Conversely, if the price falls, they may incur losses.