It Takes One to Contango

Published: March 11, 2022, 5:36 a.m.

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Nickel futures shot up 90% on Monday in a matter of minutes. On top of that, several other commodities, such as aluminum, palladium, and zinc, also hit all time highs; while wheat futures breached 14-year highs. According to Contango theory, commodity futures in a normal market are more expensive than spot prices. But too bad we\'re in backwardation.

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