Basis - The difference between the underlying product price and the futures price.
Regarding a futures contract, the difference between the cash price and the futures price observed in the market. Also, it is the price an investor pays for a security plus any out-of-pocket expenses. It is used to determine capital gains or losses for tax purposes when the stock is sold.
1. A term used to describe the variation between the spot price of a deliverable commodity and the relative price of the futures contract for the same actual that has the shortest duration until maturity.
The difference between the price of a futures contract and the spot or cash price. The item being traded may be a commodity or a financial instrument.
Basis : the difference between the underlying product price and the futures price.
regarding a futures contract, the difference between the cash price and the futures price observed in the market. also, it is the price an investor pays for a security plus any out-of-pocket expenses. it is used to determine capital gains or losses for tax purposes when the stock is sold.
1. a term used to describe the variation between the spot price of a deliverable commodity and the relative price of the futures contract for the same actual that has the shortest duration until maturity.
the difference between the price of a futures contract and the spot or cash price. the item being traded may be a commodity or a financial instrument.