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Inverted Market

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Inverted market
A futures market in which the nearer months are selling at price premiums to the more-distant months. Related: Premium.

Inverted Market
In options and futures, a situation where prices on contracts with short expirations or maturities are higher than those with longer expirations or maturities. This is rather unusual, as most investors demand a premium for longer term investments. An inverted market usually occurs when the underlying securities have low supply in the short term.

inverted market
In futures or options trading, a market with nearby contracts having a price that is higher than more distant contracts. This unusual situation may occur when the underlying asset is heavily in demand. Also called backwardation. Compare contango.


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The decline in earnings reflected an increase in the Company's loan loss provision, the negative effects of an inverted market rate curve on the Company's net interest margin, and a slowing real estate economy.
 
 
 
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