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Backwardation
| Babylon English English dictionary | Download this dictionary |
backwardation
n.
reversal of prices (Economics)
| Wikipedia English The Free Encyclopedia | Download this dictionary |
Normal backwardation
Normal backwardation, also sometimes called backwardation, is the market condition wherein the price of a forward or futures contract is trading below the expected spot price at contract maturity. The resulting futures or forward curve would typically be downward sloping (i.e. "inverted"), since contracts for further dates would typically trade at even lower prices. (The curves in question plot market prices for various contracts at different maturities—cf. term structure of interest rates)
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| Webster's Revised Unabridged Dictionary (1913) | Download this dictionary |
Backwardation
(n.)
The seller's postponement of delivery of stock or shares, with the consent of the buyer, upon payment of a premium to the latter; -- also, the premium so paid. See Contango.
The seller's postponement of delivery of stock or shares, with the consent of the buyer, upon payment of a premium to the latter; -- also, the premium so paid. See Contango.
Webster's Revised Unabridged Dictionary (1913), edited by Noah Porter. About
| Campbell R. Harvey's Hypertextual Finance Dictionary | Download this dictionary |
Backwardation
A market condition in which futures prices are lower in the distant delivery months than in the nearest delivery month. This situation may occur when the costs of storing the product until eventual delivery are effectively subtracted from the price today. The opposite of contango.
| Dizionario inglese-italiano 1.0.012 | Download this dictionary |
BACKWARDATION
DEPORTO [BORSA FINANZIARIA]. RIPORTO PASSIVO [BORSA FINANZIARIA]. RIPORTO CON DEPORTO [BORSA FINANZIARIA]. DIFFERANZA FRA CORSO A PRONTI E CORSO A TERMINE [BORSA FINANZIARIA]
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