Sentences with phrase «roll its contracts forward»

What happens is that oil futures contracts in contango are more expensive in future months meaning the USO needs to pay more to roll its contracts forward.

Not exact matches

Does a carry trade derived from roll yields of futures / forward contracts work within asset classes (undiversified) and across asset classes (iversified)?

However, if the commodity's forward price curve is downward sloping (in contango), then the roll process would involve rolling into a futures contract that is trading at a higher price than the current futures contract.

When rolling forward, a trader will simultaneously offset his current position and establish a new position in the next contract month.

Longer - dated futures contracts can be used to hedge or short - term futures can be rolled forward at little or no additional cost.

However, if the commodity's forward price curve is upward sloping (in contango), then the roll process would involve rolling into a futures contract that is trading at a higher price than the current futures contract, which results in a negative roll yield.

To avoid deliveries of expiring futures contracts as well as those resulting from futures options contracts, customers must roll forward or close out positions prior to the applicable notice periods for physical delivery.

«Hi Lily, I wanted to ask — my temporary contract just keeps rolling forward and now my boss has said they should be able to make it permanent in a month or so.