The situation in a futures market where costs for future delivery tend to be lower than costs for immediate (or nearer) distribution. Generally arising from a near-term shortage of a commodity.
charge compensated by a seller on settlement day either to your buyer or to a 3rd party who lends stock, once the vendor wants to defer settlement through to the after that settlement day.
owner's postponement of distribution of stock or stocks, with the permission associated with purchaser, upon repayment of reduced toward latter; -- additionally, the premium so compensated. See contango.
regarding the London stock-exchange, the premium compensated by a seller of stock for privilege of postponing its distribution towards buyer before after that fortnightly settling-day. See contango.