I'm glad to serve you. In the future market, the spot price is lower than the futures price, the basis is negative, and the forward futures price is higher than the recent futures price. This situation is called "futures premium", also called "spot premium", and the part of a good futures price that exceeds the recent futures price is called "Contango"; If the forward futures price is lower than the recent futures price and the spot price is higher than the futures price, the basic difference is positive. This situation is called "futures premium" or "spot premium", and the part of the forward futures price lower than the recent futures price is called "futures premium".

Premium and discount are important concepts in futures trading. It originally refers to the difference between the spot price of a commodity and the futures price of that commodity. This is the basic difference of the concept of futures market. Now the scope of this concept has been expanded, which can represent: (1) the price relationship between the spot month and the delivery month of a commodity or different delivery months; (2) the price relationship between the material delivered in kind and the material delivered in place of the standard delivery; (3) the multi-year delivery price relationship of a commodity; (4) the relationship between the prices delivered to different commodities. Premium and discount reflect the specific price relationship of a commodity under certain conditions, and the changes of premium and discount have great influence on futures prices, so investors are very concerned about the changes of premium and discount.