      There are two factors to consider when evaluating the S&P futurescontract and the relationship between the futures contract ("futures") andthe S&P 500 index ("cash"). First is the spread between the futures and thecash. In almost all cases, the futures will trade at a value above thecash. This is called "trading at a premium." In the rare instance that thefutures trade at a value below the cash, it is called "trading at adiscount." To calculate the premium (discount), subtract the cash value ofthe S&P 500 index from the value of the S&P futures contract.