Question
Which of the following can explain a contango? a. futures prices exceed forward prices b. the cost of carry is negative c. when spot prices
Which of the following can explain a contango?
| a. | futures prices exceed forward prices | |
| b. | the cost of carry is negative | |
| c. | when spot prices and futures prices dance around each other over time | |
| d. | excess current supply causes the spot price to be less than the futures price | |
| e. | none of the above |
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Commodity Finance Principles And Practice
Authors: Weixin Huang
1st Edition
1781371938, 978-1781371930
