Over the past twenty years there has 1 been a large inflow of investment capital into commodity futures markets-the financialization of commodities. This chapter analyses the behavior of commodity futures contract returns before and since finalization of the markets. We believe that Professor...

J.M. Keynes coined the term normal backwardation, a situation where a futures price for a particular expiry month is less than the expected spot price for that month. He argued hedgers pay speculators a premium for assuming price risk. We study the behavior of commodity futures before and since...

J.M. Keynes coined the term normal backwardation, a situation where a futures price for a particular expiry month is less than the expected spot price for that month. He argued hedgers pay speculators a premium for assuming price risk. We study the behavior of commodity futures before and since...