What does Nominal Quotation mean?
A nominal quotation is a type of quotation where the quote for the price of a security is subject to change. A nominal quote is generally given for a futures contract where the contract has not been traded or had a firm offer and bid over an extended period of time. Such a quote is mainly given for valuation or information purposes. A broker/dealer is not obligated to trade at that price as it is just a nominal quote and not a firm quote or an offer. Such a quote is also called a subject quote or nominal price.
Futures Knowledge Explains Nominal Quotation
For example, some issues may not have been traded in the secondary market for an extended period of time. However, if a dealer enquires about the quote for such an issue, the dealer receiving the quote request may give a nominal quote.