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1. Futures trading.

In futures or options trading, an unusual market condition in which longer-term contracts carry a lower price than near-term contracts.

(The usual relationship - known as contango - is that longer-term contracts carry a higher price than near-term contracts.)

2. Foreign exchange - spot price.

The extent to which a spot price of a foreign currency plus carrying cost exceeds the forward price.

3. Market conditions - price relationships.

More generally, any market conditions under which related market prices do not have their usual relationships to one other, potentially creating an arbitrage opportunity.

(Also sometimes known as a 'back price'.)

See also