An offer to sell, or a fulfilled sale of, a cash commodity in terms of a specified amount above or below a futures price. In other words, a basis quote expresses the variation above or below the price of an existing futures contract. For example, a basis quote could be determined as $1 below a soybeans futures contract which expires in October, and this would indicate that the price is $1 less than the value of the October soybeans futures contract.
November 13, 2023