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 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.
Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
costly cost-of-living allowance