Fed Funds Futures trades the average Fed Funds rate for the contract month. Following the paper mentioned in this answer, the rate implied by the contract can be compared to the term (forward) rate for the same month. But can the implied rate be compared to a forward rate agreement, since the traded rate isn't a spot rate?

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    $\begingroup$ There are similarities but also differences. FRAs are not futures and rather trade OTC. The payoff of fed funds futures is based on an average rate in a month but there is no such averaging for FRAs. $\endgroup$
    – fes
    Jun 23 at 6:24


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