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Noun: contango  kun'tang-gow
  1. (finance) a situation where the futures price of a commodity is higher than the spot price
    "The oil market was in contango, with future prices exceeding current prices"
     
  2. (finance) the premium paid by a buyer to a seller to postpone delivery of a commodity or security
    "The trader paid a contango to delay taking delivery of the wheat"

Derived forms: contangos

Encyclopedia: Contango