|
| U/Z went off at a 9 cent carry in 2013. While that’s important, one needs to know “the rest of the story”. What the open interest was and the subsequent delivery intentions made….Who put them out? Who stopped them? What the quality was? Where the receipts were located? Outstanding from a previous month of new? Etc.
Also need to consider the rules have changed over time. Not apples and apples when talking about spread and cash behavior when adding the time element relative to CME.
CME has added new delivery points along River via shipping certificates and other misc. Grade discounts , Position limits into FND etc.
I did not go look at 1996. Again, in today’s shuttle world and the various changes to the delivery rules and process, it’s irrelevant as one tries to
Navigate today’s waters.
Adding: There is no message in Z “taking over” U that anyone will care about or listen to….Basis is the message the cash market participants will pay attention to for the next 45 days.
Edited by Rod@night 8/2/2021 12:41
| |
|
U vs Z
