Finance and Economics Discussion Series: Why and When Do Spot Prices of Crude Oil Revert to Futures Price Levels by Mark W. French

Finance and Economics Discussion Series: Why and When Do Spot Prices of Crude Oil Revert to Futures Price Levels

Mark W. French

32 pages missing pub info (editions)

nonfiction politics
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Recent studies of crude oil price formation emphasize the role of interest rates and convenience yield (the adjusted spot-futures spread), confirming that spot prices mean-revert and normally exceed discounted futures. However, these studies don't...

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