A narrow basis suggests that the market is efficient, as the supply of and demand for the underlying commodity are in equilibrium.
The spot price and futures price should converge at maturity of the futures contract. If they don't, there is an arbitrage opportunity.
Investment dictionary. Academic. 2012.
Narrow class group — In algebraic number theory, the narrow class group of a number field K is a refinement of the class group of K that takes into account some information about embeddings of K into the field of real numbers. Contents 1 Formal definition 2 Uses 2.1… … Wikipedia
Narrow Money — A category of money supply that includes all physical money like coins and currency along with demand deposits and other liquid assets held by the central bank. In the United States narrow money is classified as M1 (M0 + demand accounts), while… … Investment dictionary
strong basis — A relatively small difference between cash prices and futures prices. A strong basis also can be called a narrow basis, or a more positive basis : for example, a strong basis usually occurs in grains in the spring before harvest when supplies are … Financial and business terms
ar-1*, themat. (a)re-, heavy basis arǝ-, rē- and i-basis (a)rī̆ -, rēi- — ar 1*, themat. (a)re , heavy basis arǝ , rē and i basis (a)rī̆ , rēi English meaning: to move, pass Deutsche Übersetzung: “fũgen, passen” Note: Root ar 1*, themat. (a)re , heavy basis arǝ , rē and i Basis (a)rī̆ , rēi : “to move … Proto-Indo-European etymological dictionary
North Wales Narrow Gauge Railways — Map of the NWNGRs Locale Wales Dates of operation 1877–1916 Successor Welsh Highland Railwa … Wikipedia
Australia–Canada relations — Canadian Australian relations Australia … Wikipedia
History of Cuba — 1736 map by Herman Moll of the West Indies and Mexico, together comprising New Spain , with Cuba visible in the center. The known history of Cuba, the largest of the Caribbean islands, predates Christopher Columbus sighting of the island during… … Wikipedia
Eisenhower, General Dwight D — 1890–1969 The son of a poor family from Texas, Eisenhower paved the ground for his military success at West Point where he became a football star and was universally popular. His army career made slow progress between the wars, but he had the… … Who’s Who in World War Two
Gwoyeu Romatzyh — Traditional Chinese 國語羅馬字 Simplified Chinese … Wikipedia
United States — a republic in the N Western Hemisphere comprising 48 conterminous states, the District of Columbia, and Alaska in North America, and Hawaii in the N Pacific. 267,954,767; conterminous United States, 3,022,387 sq. mi. (7,827,982 sq. km); with… … Universalium
