I would like to understand the technical details how shorting in the futures market works.
In equities it is clear:
The client sells shares which he borrows from the broker.
The broker has the shares because it was lent to them by investment companies.
Investment companies lend the shares they own to brokerages because they recive some yield for it.
The broker is interested in the deal because they can pass these charges to clients and also add their fees as a form of financing fees payable by clients doing the short sale.
Does it work similarly with futures?
How can the market get net long or short if there is a buyer for every seller and seller for every buyer. Who can provide securities for brokerages to lend?