As we all know, a futures product is divided into many futures contracts. It is divided into many contracts because the purpose of futures itself is to hedge the spot enterprises. Futures can be delivered, involving specific spot, so many contracts have been set up to facilitate spot enterprises to hedge and deliver.

Such as futures rebar.

It has 12 futures contracts. Obviously, rebar 18 10 is the thread delivered in June of 20 18, which is completely different from the price of rebar 190 1. So, why are the prices of different futures contracts of a futures product different?

Because this involves a key factor: time.

Rebar 18 10 Current price 4 139. Rebar 190 1 current price 3943. What does this mean? This shows that all the ideas of rebar investors have come to a conclusion after the game: the spot rebar in June 20 19 is cheaper than that in June 20 18.

I personally don't know the specific logical relationship, but during the period of 201810-20191,I think there are many factors that will lead to lower prices. It may be a production restriction policy, it may be a low season and a peak season, or it may be a macro economy.

Because the price of futures varieties is people's expectation of future prices. This expectation can be a number of factors. There is a time difference between the futures contracts of rebar. Many things may happen during this period, leading to different expectations. People's expectations are different, and people's trading behavior for each futures product will be different, which leads to different prices for each contract of futures products.

This is the root cause.