CFD stands for Contract for Difference and is a financial contract between two parties - typically a buyer and a seller which basically says that a seller will pay a buyer for the difference between the asset and the value at time of contract. This allows trader to take advantage of price movements in either direction of the asset (instrument) without actual ownership of the underlying asset. In a market sense - this allows traders to speculate about market movements.
CFDs exist for many different asset classes, but the most common are stock indices, oil, and precious metals. The following are the most common stock indices:
||Index of top 30 shares on Wall Street||
||US SPX500 Index||
||Tech 100 index of US listed shares||
||Germany 30 Index||
||Australia 200 Index||
||Japan 225 Index||