Arbitrage is a way to make risk-free profits by taking advantage of a market’s price differences. Salman Khan of the Khan Academy shows two examples of using arbitrage in futures contracts, and he identifies important information you should know if you try this type of transaction.
When you see a futures curve trending downward, it’s possible you’re observing a market in backwardation. The inverse of contango, backwardation occurs when the futures price for a given date falls below the expected value
Unlike forward contracts, commodity futures can be bought and sold on the open market. Salman Khan of the Khan Academy explains the mechanics of futures contracts.
Contango may seem daunting to those new to investing or unfamiliar with futures contracts, but it doesn’t have to be. Salman Khan of the Khan Academy illustrates.
Do margin contracts really defend market participants from commodity price volatility? Salman Khan of the Khan Academy verifies the math. Then he explains how these contracts work in practice.
Yield curves help investors understand the relationship between bonds of differing time horizons to maturity. CNBC explains.
Futures curves are important for companies to understand trading commodities on the open market. Salman Khan of the Khan Academy explains.
Margin accounts are a big part of buying and selling futures contracts, which allow buyers and sellers to protect themselves against price volatility. Salman Khan of the Khan Academy demonstrates the reasons for the existence of margin accounts for futures contracts.
CNBC's Cadie Thompson and Mary Catherine Wellons chat about Twitter and how investors can use this useful tool to keep up with the latest business news.
Under Obamacare nearly everyone will have the same minimum level of benefits that kick in Jan. 1.
What is the debt ceiling and what happens if Congress decides not to raise it? Steve Liesman explains.