There is a relatively stable relationship between spot and futures prices.

Question

Quizplus · Accepted Answer

The relationship between spot and futures prices is relatively stable due to the cost of carry model, which accounts for the costs and benefits of holding the underlying asset versus entering into a futures contract. This relationship is influenced by factors such as storage costs, interest rates, and dividends, which help to align the prices over time.

There Is a Relatively Stable Relationship Between Spot and Futures