February Contango Report: Precious Metals and Softs

Contango is the process by which near month futures are cheaper than those expiring further into the future, creating an upward sloping curve for future prices over time. It usually stems from the cost of storing commodities prior to their sale, though a futures curve can also reflect market expectations of where a commodity is heading. Though contango often comes handcuffed to negative connotations, it typically is not a problem for traders and investors who are aware of it [for more commodity news and analysis subscribe to our free newsletter ]. See the full story here → Related Posts: For Day Traders: The Most Liquid ETF for Every Commodity For Long Term Investors: The Cheapest ETF for Every Commodity Contango Report: Precious Metals Sloping Up for 2014 Fed Tapering Puts Precious Metals In A Pickle Contango Report: Commodities Facing Uphill Curves