Why do both the buyer and the seller of futures contracts have to put up per for mance bonds? When does the seller profi t? When does the buyer profi t? How is the clearing house protected from losses...

Why do both the buyer and the seller of futures contracts have to put up per for mance bonds? When does the seller profi t? When does the buyer profi t? How is the clearing house protected from losses

Explain why the futures price is very close to the spot price on the day before the delivery date of a futures contract.