Trading equity indices an introduction. Professor Carter discusses 
commodity price relationships, explaining inter-temporal commodity 
pricing relationships - soybeans and wheat are used as examples. The 
importance of storage and how storage affects markets, and accounting 
for the costs of storage.<br>

ARE139: Lecture 8, Fall 2015

This course focuses on the institutional structure and economic functions of futures and options markets. Price formation in both commodity (e.g., corn, crude oil, cotton, and cattle) and financial (e.g., Eurodollar, Treasury Bonds, and stock indexes) futures and options markets will be examined in detail. The theory and practice of hedging will be explored in depth. Additional topics include: the theory of inter-temporal price formation for commodities and financials, common approaches used to forecast prices, statistical analysis of historical price behavior, and futures and options market regulation.