In a commodities futures market, the cost of storing and insuring an asset is factored into the futures contract along with earned interest so they can be transacted and transferred efficiently. The incidence of cost-and-carry in concert with the level of open interest is used as a measure of market sentiment.
Related information about cost-of-carry market:
- Cost-of-carry market - Financial Dictionary - The Free Dictionary
Applies to derivative products. Futures contracts trade in a "cost-of-carry market" where the underlying commodity can be stored, insured, and converted into the ...
- Cost of Carry Calculator
Cost of Carry Calculator. The Cost of Carry Calculator is a matrix that shows the prices for a futures contract chain and calculates Cost of Carry, Market Carry and ...
- What is cost-of-carry market? definition and meaning
Definition of cost-of-carry market: In a commodities futures market, the cost of storing and insuring an asset is factored into the futures contract along with earned ...
- Cost of Carry Market Research Portals
To research another term or concept, type it and click. Research Analyst's Portal. Most updated research results on Cost of Carry Market served below. Click and ...
- Market Inversion in Commodity Futures Prices - AgEcon Search
Key words: convenience yield, cost of carry, market inversion, negative price of storage, risk premium. Introduction. A principal theory of futures markets tells that ...
- Market Inversion in Commodity Futures Prices - AgEcon Search
Wodr: convenience yield. cost of carry. market inversion .JEL Classification: Q 13. A principal theory of futures markets tells that futures prices for storable ...
- Trading Glossary Cost-of-carry Market underlying commodity
Trading Glossary and Cost-of-carry Market for underlying and commodity for insured and future for switching.
- SPOT PRICES - James Goulding.com
Suppose the futures price for soybean futures is greater than the spot price plus the cost of carry. Market participants will then purchase soybeans on the cash ...