The term basis refers to the difference between the market price and the actual cost in commodity trading. Basis usually fluctuates with the changes of supply, demand, production cost and other factors. When the basis is at the lowest level in history, it shows that the market supply and demand are balanced and the commodity trading price tends to be stable. For market participants, this is a relatively stable market. However, people should pay attention to the fact that the historical minimum base is not absolute minimum base, and it may change with the development of market economy and the change of production mode.

The lowest basis in history often appears in the trading of agricultural products, oil, metals and other commodities. In agriculture, when the season and climate conditions are favorable, the production cost of crops decreases, the supply increases and the market price drops, leading to the lowest base in history. In the oil and metal markets, when the global economy is weak, the demand will drop, the output will increase, and the market price will drop to some extent. This situation may lead to the lowest basis in the oil and metal market in history.

Although the historical lowest basis is helpful to the stability of commodity trading, it does not necessarily represent the price trend. For example, in the agricultural product market, although the lowest basis in history indicates that the market is stable, it does not mean that the future price will remain unchanged. In the new season and climate, the production cost of crops may rise again, which will make the market price rise again. Therefore, although the historical lowest level of basis change has certain reference significance, we need to pay attention to the timing and changes of the market in order to make more effective decisions.