What happens when gold futures expire?
Gold futures are closed with a “physical settlement” where the clearinghouse matches a long contract holder against a short position holder and the holder of the short position delivers the asset.
Can I settle a gold future before it expires?
Yes, the majority of futures contracts are settled before they expire.
How do you hedge gold futures?
You can hedge gold futures by selling a futures contract at the same time you buy gold on the spot market.