backwardation
Definition
Inverted market situation in commodities and foreign exchange trading, where the prices for deliveries in the near future (spot prices) are higher than those for later deliveries. Occurs usually because of shortages caused by excess of demand over supply. Opposite of contango.
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backwardation is in the Commodities & Precious Metals Trading, Currency Trading and International Trade & Relations subjects.
backwardation appears in the definitions of the following terms: contango and basis
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