What is Contango and Backwardation

Contango and backwardation are terms used to define the structure of the forward curve. When a market is in contango, the forward price of a futures contract is higher than the spot price. Conversely, when a market is in backwardation, the forward price of the futures contract is lower than the spot price.
0
0
0
All information here are provided by CME, a company separate from and unaffiliated with Webull Financial, and do not reflect any official policy or position of Webull. These are not a recommendation or solicitation to buy or sell securities, or use any trading strategy or service.